IAS Prelims Economic and Social Development Syllabus: An Overview
This subject is often called as Economics or Indian” Economy, while this is neither right or wrong but the appropriate word to use would be “Economic and Social Development” as it covers sustainable development, poverty, inclusion, demographics, social sector initiatives, etc.
The Economic section of GS Paper I Syllabus in IAS Prelims Exam comprises topics such as ‘sustainable development, poverty, inclusion, demographics, social sector initiatives, etc. These topics cover economic growth and development, banking, finance, budget, balance of payments, international financial institutions, poverty and related issues, population composition and related characteristics, social sector initiatives related to education, health and sanitation.
Candidates should work upon fundamental concepts of economy and related topics as a number of conceptual questions are asked related to these in the IAS prelims question paper. Candidates should also try to link various events going on in the field of economy and apart from this focus should be given on various social sector schemes related to education, health and sanitation.
After going through the the questions of the economic section asked in the UPSC prelims exam, all it requires is the basic understanding of the topic in the context of current happenings. So IAS aspirants should focus on those national and international issues, bilateral relations, treaties, etc that affect basic structure of Indian economy.
Most of the questions asked in the exam are tricky, so it is advised to the candidates to prepare extensively on these questions as insufficient attention may lead to erroneous interpretation of these questions. All topics under this section needed to be covered, while emphasizing on those topics and issues that has intense effect on Indian Economy.
Watch the above video where one of our faculty discusses about the new monetary policy committee that made in the news and had an effect on Indian Economy. This video will make you to understand the concept easily and effectively
Economics and Social Development Syllabus for Preliminary Examination
1) Micro-economics : (a) Production : Agents of Production; Costs and Supply; Isoquants (b) Consumption and Demand; Elasticity concept (c) Market Structure and concepts of equilibrium; (d) Determination of prices; (e) Components and Theories of Distribution (f) Elementary concepts of Welfare economics : Pareto-optimality-Private and social products-consumers surplus.
2) Macro-economics : (a) National Income concepts; (b) Determinants of National Income Employment (c) Determinants of consumption, savings and Investment (d) Rate of Interest and its determination (e) Interest and profit.
3) Money, Banking and Public Finance : (a) Concepts of Money and measures of money supply; velocity of money (b) Banks and credit creation; Banks and portfolio management. (c) Central Bank and control over money supply (d) Determination of the price level. (e) Inflation, its causes and remedies. (f) Public, Finance-Budgets-Taxes and non-tax revenues-Types of Budget deficits.
4) International Economics : (a) Theories of International Trade-comparative costs-Heckscher-Ohlin-Gains from Trade-Terms of Trade. (b) Free Trade and Protection. (c) Balance of Payments accounts and Adjustment. (d) Exchange rate under free exchange markets. (e) Evolution of the International Monetary System and World Trading order-Gold Standard-the Brettonwoods system. IMF and the World Bank and their associates. Floating rates-GATT and WTO
(5) Growth and Development : (a) Meaning and measurement of growth; Growth, distribution and Welfare; (b) Characteristics of underdevelopment; (c) Stages of Development; (d) Sources of growth-capital, Human capital, population, productivity, Trade and aid, non-economic factors; growth Strategies, (e) Planning in a mixed economy-Indicative planning-Planning and growth.
(6) Economic Statistics : Types of averages-measures of dispersion-correlation-Index numbers; types, uses and limitations.
1. Main features; Geographic size-Endowment of natural resources, Population; size, composition quality and growth trend-Occupational distribution-Effects of British Rule with reference to Drain theory and Laissez Faire policy.
2. Major problems, their dimensions, nature and broad causes; Mass poverty-Unemployment and its types-Economics effects of population pressure-Inequality and types thereof-Low productivity and low per capita income, Rural-urban disparities-Foreign Trade and payments imbalances. Balance of Payments and External Debt- Inflation, and parallel economy and its effects-Fiscal deficit.
3. Growth in income and employment since Independence-Rate, Pattern, Sectoral trends-Distributional Changes-Regional disparities.
4. Economic Planning in India : Major controversies on planning in India-Alternative strategies-goals and achievements, shortfalls of different plans-planning and the Market.
5. Broad Fiscal, monetary, industrial trade and agricultural policies-objectives, rationale, constraints and effects.