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(Download) NCERT Books for UPSC & State PSC Exams: Class XII (Economics - Macroeconomics)

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Content:

1. INTRODUCTION

• Emergence of Macroeconomics
• Context of the Present Book of Macroeconomics

2. NATIONAL INCOME ACCOUNTING

• Some Basic Concepts of Macroeconomics
• Circular Flow of Income and Methods of Calculating National Income

• The Product or Value Added Method
• Expenditure Method
• Income Method
• Factor Cost, Basic Prices and Market Prices

• Some Macroeconomic Identities
• Nominal and Real GDP
• GDP and Welfare

3. MONEY AND BANKING

• Functions of Money
• Demand for Money and Supply of Money

• Demand for Money
• Supply of Money

• Money Creation by Banking System

• Balance Sheet of a Fictional Bank
• Limits to Credit Creation and Money Multiplier

• Policy Tools to Control Money Supply

4. 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

• Some More Concepts

5. GOVERNMENT BUDGET AND THE ECONOMY

• Government Budget – Meaning and its Components

• Objectives of Government Budget
• Classification of Receipts
• Classification of Expenditure

• Balanced, Surplus and Deficit Budget

• Measures of Government Deficit

6. OPEN ECONOMY MACROECONOMICS

• The Balance of Payments

• Current Account
• Capital Account
• Balance of Payments Surplus and Deficit

• The Foreign Exchange Market

• Foreign Exchange Rate
• Determination of the Exchange Rate
• Merits and Demerits of Flexible and Fixed Exchange Rate Systems
• Managed Floating

GLOSSARY

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Courtesy: NCERT