TN State Board 12th Economics Question Paper 2021

The Reserve Bank of India (RBI) acts as the banker to the Government of India, managing its accounts, public debt, and payments. ICICI, SBI, and NABARD are commercial or development banks that do not perform the function of a central bank for the state.

The term 'Econometrics' was coined by Ragnar Frisch, a Norwegian economist, who also co-founded the Econometric Society. Karl Pearson, Francis Galton, and Spearman are primarily associated with statistics and psychology, not the coining of this specific term.

MEC stands for Marginal Efficiency of Capital. This concept was introduced by J.M. Keynes in his seminal work, 'The General Theory of Employment, Interest and Money'. Ricardo, Adam Smith, and Malthus belong to the Classical school of economics.

The Gandhian Plan, proposed by S.N. Agarwal in 1944, focused on agriculture, small-scale industries, and the development of the rural economy, reflecting the Gandhian ideology of village self-sufficiency.

Aggregate supply in an open economy is represented by the sum of Consumption (C), Savings (S), Taxes (T), and Net Imports (Imports minus Exports, which here includes the net flow). Option (a) C+S+T+(X-M) correctly identifies the components of the total income/expenditure flow.