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Senior Secondary Course ECONOMICS (318) Senior Secondary Course ECONOMICS (318) 2 Course Coordinator Dr. Manish Chugh fo|k/kue~ loZ/kua iz/kkue~ NATIONAL INSTITUTE OF OPEN SCHOOLING (An Autonomous Institution under MHRD, Govt. of India) A-24-25, Institutional Area, Sector-62, NOIDA-201309 (U.P.) Website: www.nios.ac.in, Toll Free No. 18001809393 Printed on 60 GSM Paper with NIOS Watermark. © National Institute of Open Schooling May, 2015 (,000 Copies) Published by the Secretary, National Institute of Open Schooling, A-24-25, Institutional Area, Sector-62, Noida and printed at M/s #1PGQHHUGV Printers, 5/3, Kirti Nagar, Industrial Area, New Delhi. ADVISORY COMMITTEE Prof. C.B. Sharma Dr. Kuldeep Agarwal Dr. Rachna Bhatia Chairman Director (Academic) Assistant Director (Academic) NIOS, NOIDA (UP) NIOS, NOIDA (UP) NIOS, NOIDA (UP) CURRICULUM COMMITTEE Dr. O.P. Agarwal Sh. J. Khuntia Dr. Padma Suresh (Former Director of the Eco. Deptt.) Associate Professor (Economics) Associate Professor (Economics) NREC College, Meerut University School of Open Learning Sri Venkateshwara College Khurja (UP) Delhi University, Delhi Delhi University, Delhi Prof. Renu Jatana Sh. H.K. Gupta Sh. A.S. Garg Associate Professor, MLSU, Rtd.PGT, From NCT Rtd.Vice Principal, From NCT Udaipur (Rajasthan) New Delhi. New Delhi. Sh. Ramesh Chandra Dr.Manish Chugh Retd. Reader (Economics) Academic Officer (Economics), NCERT, Delhi. NIOS, NOIDA LESSON WRITERS Sh. J. Khuntia Dr. Anupama Rajput Ms.Sapna Chugh Associate Professor (Eco.), Associate Professor, PGT (Economics) School of Open Learning, Janki Devi Memorial College S.V. Public School, Jaipur Univ. of Delhi Univ. of Delhi Dr. Bhawna Rajput Sh. A.S. Garg Dr. Bharat Singh Associate Professor, Retd. Vice Principal Associate Professor, AditiMahavidyalay, RPVV, Gandhinagar, Delhi Satyawati Co-educational College, Univ. of Delhi. Univ. of Delhi. Sh. Hari Kishore Gupta Dr. Bharat Bhushan Dr. Manish Chugh Retd. PGT, Govt. Babu Ram School, Assistant Professor, Academic Officer Shadra, Delhi Shyamlal College, NIOS Univ. of Delhi. EDITORS Sh. J. Khuntia Prof. Renu Jatana Sh. A.S. Garg Associate Professor (Eco.), Associate Professor, Retd. Vice Principal School of Open Learning, MLSU, Udaipur (Rajasthan) RPVV, Gandhinagar, Delhi Univ. of Delhi. Sh. Hari Kishore Gupta Retd. PGT, Govt. Babu Ram School, Shadra, Delhi COURSE COORDINATOR Dr. Manish Chugh Academic Officer (Economics) NIOS GRAPHIC ILLUSTRATORS Sri Krishna Graphics C-90, West Vinod Nagar Delhi-110092 &KDLUPDQ·V0HVVDJH Dear learner, As the needs of the society in general, and some groups in particular, keep on changing with time, the methods and techniques required for fulfilling those aspirations also have to be modified accordingly. Education is an instrument of change. The right type of education at right time can bring about positivity in the outlook of society, attitudinal changes to face the new/fresh challenges and the courage to face difficult situations. This can be very effectively achieved by regular periodic curriculum renewal. A static curriculum does not serve any purpose, as it does not cater to the current needs and aspirations of the individual and society. For this purpose only, educationists from all over the country come together at regular intervals to deliberate on the issues of changes needed and required. As an outcome of such deliberations, the National Curriculum Framework (NCF 2005) came out, which spells out in detail the type of education desirable/needed at various levels of education - primary, elementary, secondary or senior secondary. Keeping this framework and other national and societal concerns in mind, we have currently revised the curriculum of Economics course at Senior Secondary level, as per the Common Core Curriculum provided by National Council of Educational Research and Training (NCERT) and the Council of Boards of School Education in India (COBSE) making it current and need based. Textual material production is an integral and essential part of all NIOS programmes offered through open and distance learning system. Therefore, we have taken special care to make the learning material user friendly, interesting and attractive for you. I would like to thank all the eminent persons involved in making this material interesting and relevant to your needs. I hope you will find it appealing and absorbing. On behalf of National Institute of Open Schooling, I wish you all a bright and successful future. Prof. C.B. Sharma Chairman, NIOS $1RWH)URPWKH'LUHFWRU Dear Learner, The Academic Department at the National Institute of Open Schooling tries to bring you new programmes every now and then in accordance with your needs and requirements. The Economics course at Senior Secondary level has now been revised as per the Common Core Curriculum developed by COBSE (Council of Boards of School Education) and NCERT (National Council for Educational Research and Training) making it current and need based. The National Curriculum Framework developed by the National Council for Educational Research and Training was kept as a reference point. Leading expertsin the subject of the country were involved and with their active involvement, study materials based on the new curriculum have been updated. Old, outdated information has been removed and new, relevant things have been added. I am happy to place this new revised study material in Senior Secondary Economics in your hand. I hope you will find the new material that is now in your hands interesting and exciting. Any suggestions for further improvement are welcome. Let me wish you all a happy and successful future. (Dr. Kuldeep Agarwal) Director (Academic) National Institute of Open Schooling $/HWWHUWR/HDUQHU Dear Learner I welcome you all to this Senior Secondary Course in Economics. It gives me immense pleasure that you have opted Economics as one of your subjects of study. The study of economics contributes to the development of systematic framework for analyzing, researching and writing about a wide array of financial and regional economic issues and also making sense of our complex environment. An earnest attempt has been made to revise this book as per Common Core Curriculum developed by COBSE (Council of Boards of School Education) and NCERT (National Council for Educational Research and Training) making it current and need based. The present curriculum in Economics has been distributed into two parts and eleven modules. Part I Consists of three modules, namely: Indian Economic Development, Current challenges before the Indian Economy and Economic growth and Economic Development. Similarly Part- II consists of eight modules, namely: Statistical Tools, Introduction to Economics, Consumer’s Behaviour, Producer’s Behaviour, Market and Price Determination, National Income Accounting, Theory of Income and Employment and money, Banking and Government Budget. Each module has been divided further into different lessons. All efforts have been made to give related illustrations and examples for your better understanding. You should go through all solved examples and try to solve all problems under “Check Your Progress” and “Terminal Exercise” independently given at the end of each lesson. If you face any difficulty, please do not hesitate to write to me. Your suggestions and doubts are most welcome. Wish you a bright future! Yours, Dr. Manish Chugh Academic Officer (Economics), NIOS [email protected] +RZWRXVHWKH6WXG\0DWH YourULDO learning material has been developed by a team of economics experts in open and distance learning. A consistent format has been developed for self-study. The following points will give you an idea on how to make best use of the print material. Title is an advance organisor and conveys an idea about the contents of the lesson. Reflect on it. Introduction highlights the contents of the lesson and correlates it with your prior knowledge as well as the natural phenomena in operation in our immediate environment. Read it thoroughly. Objectives relate the contents to your desired achievements after you have learnt the lesson. Remember these. Content of the lesson has been divided into sections and sub-sections depending on thematic unity of concepts. Read the text carefully and make notes on the side margin of the page. After completing each section, answer intext questions and solve numerical problems yourself. This will give you an opportunity to check your understanding. You should continue reading a section till such time that you gain mastery over it. At some places you will find some text in italics and bold. This indicates that it is important. You must learn them. Intext Questions are based on the concepts discussed in every section. Answer these questions yourself in the space given below the question and then check your answers with the model answers given at the end of the lesson. This will help you to judge your progress. If you are not satisfied with the quality and authenticity of your answers, turn the pages back and study the section again. What have you learnt is essentially summary of the learning points for quick recapitulation. You may like to add more points in this list. Terminal exercises in the form of short, long and numerical question will help you to develop a perspective of the subject, if you answer these meticulously. Discuss your responses with your peers or counsellors. Answers to intext questions : These will help you to know how correctly you have answered the intext questions. Audio: For understanding difficult or abstract concepts, audio programmes are available on certain content areas. You may listen to these on FM Gyanvani or may buy the CDs from Priced Publication Unit, NIOS Video: Video programmes on certain elements related to your subject have been made to clarify certain concepts. You may watch these at your study center or may purchase these CDs from Priced Publication Unit, NIOS. www These are few selected websites that you can access for extended learning. Studying at a distance requires self-motivation, self-discipline and self-regulation. Therefore you must develop regular study habit. Drawing a daily schedule will help you in this endeavour.
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