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Class 12 Economics Syllabus 2023-24 PSEB: PSEB Class 12 Economics subject explains concepts and principles of economics in detail. The course aims to provide students with an understanding of both microeconomics and macroeconomics. The syllabus of class 12 economics by Punjab Board is a comprehensive and well-rounded curriculum that covers a wide range of topics in both microeconomics and macroeconomics which are prescribed for the current academic session 2023-24. It is designed to provide students with a strong foundation in economic theory to help students prepare for their exams in the right manner.

In this article, you will get to know the detailed syllabus of PSEB Class 12 Economics subject which has been released by the Punjab School Education Board on its official website. You can find here the complete syllabus to know the list of topics for theory and check details of project work marks which will contribute towards internal assessment. Therefore, it is necessary to check and analyse the new PSEB Class 12 Economics Syllabus before starting with the study of any new chapter and while referring to the reference textbooks for economics.

PSEB Class 12 Economics Syllabus 2023-24

Course Structure:

The PSEB Class 12 Economics question paper in PSEB Board Exam 2024 will be for 80 marks. Students will be allowed to complete their paper within a time limit of 3 hours.

Also Check: PSEB Class 12 Syllabus 2023-24 All Subjects

Check unit-wise syllabus for PSEB Class 12 Economics (humanities/commerce group) below:

Part A: Introductory Macroeconomics

Unit 1: National Income and Related Aggregates

What is Macro Economics? Classical and Keynesian views about Macro Economics. Scope, Importance and Limitations of Macro Economics. Concept of Equilibrium: Partial Equilibrium and General Equilibrium. Basic concepts in Macro Economics: consumption goods, capital goods, final goods, intermediate goods, stock and flow variables, etc.

Circular flow of income and output (two sector economy model). Real flow and Monetary flow. Concept of Injections and withdrawals in Circular flow of Income and Output.

Aggregates related to National Income: Gross National Product (GNP), Net National Product (NNP), Gross and Net Domestic Product (GDP and NDP) – at market price, at factor cost.

Methods of calculating National Income – Value Added or Product method, Expenditure method, Income method with numerical questions.

Unit 2: Determination of Income and Employment

Aggregate Demand- Aggregate Supply and their components. Consumption function, Saving function, Investment function. Propensity to consume and propensity to save (average and marginal). Short-run equilibrium output. Meaning of full employment and involuntary unemployment.

Investment multiplier and its mechanism.

Problems of excess demand and deficient demand.

Measures to correct excess and deficient demand through Monetary and Fiscal policies of the government along with the instruments of monetary and fiscal policies.

Unit 3: Money and Banking

Money – Barter System of Exchange: Meaning and Limitations. Money: Meaning, types, Importance, Functions of Money, advantages and disadvantages of money.

Concept of Supply of Money and its measurement.

Banking: Meaning and Functions of Commercial Banks. Meaning and functions of Central bank (example of the Reserve Bank of India). Control of Credit by Central Bank through quantitative and qualitative measures.

Unit 4: Government Budget and the Economy

Government Budget – meaning, objectives and components. Classification of receipts – revenue receipts and capital receipts; tax: meaning and types of taxes; classification of expenditure – revenue expenditure and capital expenditure, planned expenditure and nonplanned expenditure, developmental and non-developmental expenditure.

Measures of government budget deficit – revenue deficit, fiscal deficit, primary deficit their

meaning and measurement.

Unit 5: Foreign Exchange Rate and Balance of Payments

Foreign exchange rate – Meaning of fixed and flexible exchange rates and methods of their determination along with their advantages and limitations. Foreign Exchange market Meaning, types and Functions.

Balance of Payments- Meaning and components. Various types of accounts in Balance of Payment. Deficit in Balance of Payment: Meaning, causes and measures to correct it.

Part B: Indian Economic Development

Unit 6: Development Experience (1947-90) and Economic Reforms since 1991

A brief introduction of the state of Indian economy on the eve of independence.

Five Year Plans and NITI Aayog; Rational behind the adoption of five years economic plans, common goals of five-year economic plans with their success and failures. NITI AAYOG; A brief introduction, structure, objectives and its working.

Agriculture: Meaning, Importance, main features, problems and policies of agriculture (institutional aspects and new agricultural strategy).

Industry: Meaning, Importance, problems and policies for industrial development (industrial licensing, etc.).

Economic Reforms since 1991: Features of Liberalisation, Privatization and Globalisation (LPG policy) and measures adopted in this policy of LPG. A critical evaluation of LPG Policy.

Unit 7: Current challenges faced by Indian Economy

Poverty: absolute and relative. Causes of Poverty, suggestions to solve the problem of poverty from India and main programmes for poverty alleviation: A critical assessment.

Unemployment: Meaning, types and causes, suggestions to solve the problem of unemployment from India. Main programmes for the solution of the problem of unemployment from India.

Rural development: Key issues – rural credit and rural marketing – role of cooperatives; agricultural diversification; – organic farming.

Human Capital Formation: Meaning, how people become human capital; Role of human capital in economic development; Growth of Education Sector in India.

Infrastructure: Meaning and Types: Energy and Health: Problems and Policies: A critical assessment.

Sustainable Economic Development: Meaning, Effects of Economic Development on Resources and Environment, including global warming.

Concept of Pollution: Types and suggestions to solve the problem of pollution.

Part C: Statistics in Economics

Unit 8: Correlation and Index Numbers

Coefficient of Correlation – meaning and properties. Methods for the measurement of coefficient of correlation: scatter diagram method, Karl Pearson’s method (only by direct method) (two variables ungrouped data) Spearman’s rank order correlation (in case of untied ranks only).

Index Numbers – Meaning, objectives, problems in the construction of index numbers, methods of constructing; Unweighted Index (Simple aggregative and simple average of price relative method). Weighted Index Numbers (Weighted aggregative methods including Laspeyre’s, Pasche’s and Fisher’s Index Numbers). Wholesale price index, Consumer price index and index of industrial production. Uses of index numbers; Inflation and index numbers.

Download the Class 12th Economics PSEB Syllabus in PDF from the following link:

Related: PSEB Syllabus 2023-24 for Classes 1-12 (All Subjects)