Topics
National Income and Related Aggregates
- Macroeconomics Vs Microeconomics
- Representative Goods and Sectors
- Macroeconomic Agents and Government Role
- Emergence of Macroeconomics
- Context of the Present Book of Macroeconomics
- Meaning of Economic Wealth and Final Goods
- Stocks, Flows, and Depreciation
- Capital Formation, Trade-off & Circular Flow of Income
- Circular Flow of Income and Methods of Calculating National Income
- Output Method/Product Method
- Expenditure Method
- Income Method
- Factor Cost, Basic Prices and Market Prices
- Some Macroeconomic Identities
- National Disposable Income
- Private Income
- National Income Aggregates
- Real GDP and Nominal GDP
- GDP and Welfare
Introductory Macroeconomics
Introduction
- A Simple Economy
- Central Problems of an Economy
- Concepts of Production Possibility Frontier
- Organisation of Economic Activities
- Positive and Normative Economics
- Macroeconomics Vs Microeconomics
Development Experience (1947-90) and Economic Reforms since 1991
- India's Economy Before Independence
- Low Level of Economic Development Under the Colonial Rule
- Agricultural Sector in India
- Industrial Sector
- Foreign Trade of India
- Demographic Condition
- Occupational Structure
- Infrastructure
- Post-Independence Economic Systems and Planning
- Five Year Plans (FYP)
- Agriculture
- Industry and Trade
- Trade Policy: Import Substitution
- The 1991 Economic Crisis and Reforms
- Background of the New Economic Policy
- Liberalisation
- Privatisation
- Globalisation
- World Trade Organisation (WTO)
- Impact of the Economic Reforms
Current Challenges Facing Indian Economy
- Concept of Human Capital
- Sources of Human Capital
- Human Capital and Economic Growth
- Human Capital and Human Development
- State of Human Capital Formation in India
- Growth of Education Sector in India
- Challenges and Future Prospects in Education
- Rural Development in India
- Credit and Marketing in Rural Areas
- Agricultural Market System
- Diversification into Productive Activities
- Sustainable Development and Organic Farming
- The Nature and Importance of Work in Society
- Workers and Employment
- Participation of People in Employment
- Self-employed and Hired Workers
- Employment in Firms, Factories and Offices
- Growth and Changing Structure of Employment
- Informalisation of Indian Workforce
- Concept of Unemployment
- Government and Employment Generation
- Environment and Sustainable Development in India
- State of India’s Environment
- Concept of Sustainable Development
- Strategies for Sustainable Development
Money and Banking
- Concept of Money
- Functions of Money
- Demand for Money and Supply of Money
- Money Creation by Banking System
- Limits to Credit Creation and Money Multiplier
- Policy Tools To Control Money Supply
- Demand and Supply for Money : A Detailed Discussion
- The Transaction Motive
- The Speculative Motive
- Various Measures of Supply of Money
- Narrow and Broad Money
- Demonetisation
Theory of Consumer Behaviour
- Consumer Behaviour: The Problem of Choice
- Basic Concepts of Microeconomics > Utility
- Cardinal Approach (Utility Analysis)
- Derivation of Demand Curve in the Case of a Single Commodity
- Ordinal Utility Analysis/Indifference Curve Analysis
Indian Economic Development
Determination of Income and Employment
- Aggregate Demand and Its Components
- Consumption
- Investment
- Determination of Income in Two-sector Model
- Determination of Equilibrium Income in the Short Run
- Macroeconomic Equilibrium with Price Level Fixed
- Effect of an Autonomous Change in Aggregate Demand on Income and Output
- The Multiplier Mechanism
- Paradox of Thrift
- Equilibrium Output and Employment
Development Experience of India – a Comparison with Neighbours
Introductory Microeconomics
Production and Costs
- Production Function
- Basics of Production Theory
- Variation of Output in the Short-Run Returns to a Factor
- Relation Between Total, Average and Marginal Product
- Law of Variable Proportions
- Average and Marginal Physical Products
- Changes in Production
- Cost - Fixed Cost
- Cost -variable Cost
- Behaviour of Cost in the Short - Run
- Relationship Between Average Variable Cost and Average Total Cost and Marginal Cost
- Concept of Opportunity Cost
- Marginal Revenue
- Producer's Equilibrium
- Law of Supply
- Market Supply Schedule
- Distinguish between Stock and Supply
- Determinants of Supply
- Movements Along and Shifts in Supply Curve
- Measurement of Elasticity of Supply > Percentage Method
- Methods of Measurement of National Income
- Cost Concepts > Marginal Cost
- The Law of Diminishing Marginal Product
- Shapes of Product Curves
- Costs in Long Run Period
- Returns to Scale
The Theory of the Firm Under Perfect Competition
- Concept of Market
- Market Equilibrium
- Determination of Market Equilibrium
- Effects of Changes (Shifts) in Demand on Equilibrium Price and Equilibrium Quantity
- Perfect Competition
- Imperfect Competition
- Classification of Market Structure
- Oligopoly
- Market Forms - Perfect Oligopoly
- Market Forms - Imperfect Oligopoly
- Equilibrium Price
- Applications of Tools of Demand and Supply Price Control
- Price Ceiling
- Price Floor
- Revenue Concepts
- Profit Maximisation Objective
- Determinants of a Firm’s Supply Curve
- Market Supply Schedule
- Price Elasticity of Supply
Government Budget and the Economy
Market Equilibrium
- Simple Monopoly in the Commodity Market
- Other Non - Perfectly Competitive Markets
Balance of Payments
- Open Economy and Its Linkages
- Concept of Balance of Payments
- Current Account
- Capital Account
- Balance of Payments Surplus and Deficit
- Foreign Exchange Market
- Foreign Exchange Rate
- Determination of the Exchange Rate
- Merits and Demerits of Flexible and Fixed Exchange Rate Systems
- Managed Floating Exchange Rate System
Estimated time: 13 minutes
CBSE: Class 12
Two Key Indicators of Employment
- Growth of employment – how employment has changed over the planned development period.
- GDP growth – used alongside employment growth to assess economic progress.
CBSE: Class 12
Employment Growth vs. GDP Growth
- Over ~70 years of planned development, GDP growth was positive and higher than employment growth.
- Employment growth did not exceed 2%.
- GDP fluctuated, but the gap between GDP growth and employment growth widened.
- This widening gap is called "Jobless Growth" - GDP rises without proportional employment generation.
CBSE: Class 12
Structural Shift in Employment
- India is largely an agrarian nation, but developmental strategies aim to reduce dependence on agriculture.
- Workforce is shifting from the primary sector to the secondary and services sectors.
| Sector | 1972–73 | 2023–24 |
|---|---|---|
| Primary | 74.3% | 46.1% |
| Secondary | 10.9% | 24.1% |
| Services | 14.8% | 29.8% |
| Total | 100% | 100% |
CBSE: Class 12
Status-wise Employment Trends
| Status | 1972–73 | 2011–12 | 2023–24 |
|---|---|---|---|
| Self-employed | 61.4% | 52.0% | 58.4% |
| Regular salaried | ~13–15% | — | 21.7% |
| Casual wage labourers | — | 31.8% (peak at 1993–94) | 19.9%* |
CBSE: Class 12
Casualisation of Workforce
- Movement from self-employment and regular salaried work to casual wage work.
- Makes workers more vulnerable.
- Example from source: marginal farmers and regular industrial workers becoming daily-wage labourers.
- Higher earnings through casualisation do not necessarily make workers happier.
CBSE: Class 12
Key Points: Growth and Changing Structure of Employment
- Jobless growth = GDP grows faster than employment — the defining challenge of India's planned development.
- Employment growth remained below 2% despite positive and fluctuating GDP growth.
- Primary sector share in employment fell sharply (74.3% → 46.1%), while secondary and services rose.
- Self-employment declined from 1972 to 2011–12 but recovered to 58.4% by 2023–24.
- Casual wage employment peaked around 1993–94 and has since declined to 19.9%.
- Regular salaried employment has been gradually rising, reaching 21.7% by 2023–24.
- Casualisation increases worker vulnerability regardless of earnings levels.
Related QuestionsVIEW ALL [6]
Compare and analyse the sector-wise trends in employment, based on following information:
Trends in Employment (Sector-wise)
| Sector | 1999-2000 | 2011-12 |
| Primary sector | 60.4 | 48.9 |
| Secondary sector | 15.8 | 24.3 |
| Tertiary sector | 23.8 | 26.8 |
| Total | 100 | 100 |
