CBSE(NCERT) GRADE 12 ECONOMICS 2023 SET3

Read the following statements carefully: Statement 1: Borrowings by a nation from the World Bank to finance Balance of Payment (BoP) deficit will be recorded in the capital account. Statement 2: Autonomous transactions are independent of the condition of Balance of Payment (BoP) account. In light of the given statements, choose the correct alternative from the following:

The difference between National Income at market price and National Income at factor cost is ________. (Choose the correct alternative to fill up the blank) OR Identify which of the following represents only the real flow:

Read the following news report carefully: central bank has imposed fine on Hisar Urban Cooperative Bank Ltd. and Andaman and Nicobar State Cooperative Bank Ltd. for violation. According to the given report, identify the function of the central bank.

The rate at which commercial banks borrow from the Reserve Bank of India to meet their long term requirements is known as ______________. (Choose the correct alternative to fill up the blank)

Read the following statements carefully: Statement 1: Primary deposits are the cash deposits by general public with commercial banks. Statement 2: Secondary deposits are those deposits which arise on account of credit provided by the commercial banks to the people. In light of the given statements, choose the correct alternative from the following:

Read the following statements: Assertion (A) and Reason (R). Choose the correct alternative given below: Assertion (A): Before reaching the Break-Even level of income, the value of Average Propensity to Consume (APC) is greater than one. Reason (R): The Average Propensity to Consume (APC) is the ratio of the total consumption and total income. Alternatives:

Suppose that the Balance of Trade of a nation exhibits a deficit of 50,000 crore. The import of visible items are five times the exports of visible items. The value of exports of visible items would be _______ crore. (Choose the correct alternative to fill up the blank)

Gifts and remittances sent abroad are recorded on the _______ side of the _________ account in Balance of Payment. (Choose the correct alternative to fill up the blanks)

If the value of investment multiplier = 4 and Dissavings = 60, identify the correct Saving function from the following:

For the given Consumption function, $C = 205 + 0.9Y$, the value of investment multiplier would be _________. (Choose the correct alternative to fill up the blank)

A situation in which an able bodied person is not willing to work at the existing wage rate, is referred to as _____________ situation. (Choose the correct alternative to fill up the blank)

Identify which of the following equations is true? (Choose the correct alternative)

foreign exchange rate and Justify your answer with valid arguments.

(b) Using a hypothetical numerical example, explain the effect of rise in Reserve Ratio on credit creation by the commercial banks.

Describe the adjustment mechanism, if ex-ante savings are less than ex-ante investments.

Read the following news published on September 26, 2022 : central bank has increased the benchmark lending rate by 140 basis points. Identify the likely cause and consequences behind this action taken by the Reserve Bank of India.

(b) Increase in national income always implies increase in domestic income. Elucidate.

(a) (i) From the information given in the diagram, categorize the items into revenue receipts and capital receipts, stating valid reasons. (ii) Distinguish between Revenue deficit and Fiscal deficit.

(b) (i) From the following data, calculate the primary deficit.

(ii) Function of the Government Budget.

Read the following statements carefully: Statement 1: Commercialization of agriculture under the British rule was responsible for frequent famines between 1875 and 1900. Statement 2: During British rule, India began to export food grains. In light of the given statements, choose the correct alternative from the following:

Mini-hydel plants are good for the environment because: (i) they generate electricity only for local areas. (ii) they do not change the land use pattern. (iii) they rely on the perennial streams. Choose the correct alternative.

Government is not an attempt to increase ___________ in India. Choose the correct alternative to fill up the blank.

Identify the incorrect statement from the following :

Read the following statements carefully: Statement 1: The purchase of food grains made by the Government on the Minimum Support Price (MSP) is maintained as buffer stock. Statement 2: Minimum Support Price safeguards the farmers against any sharp fall in farm product prices. In light of the given statements, choose the correct alternative from the following:

Identify the correct alternative with reference to the following statement : 1966-76, Mao introduced this movement under which professionals and students were asked to work and learn from real life

Read the following statements carefully : Statement 1 : In both India and Pakistan, the service sector has been emerging as a major source of development. Statement 2 : Amongst the neighbours of India, China has the highest life expectancy rate. In light of the given statements, choose the correct alternative from the following :

The Great Leap Forward (GLF) campaign in China focused on _________. (Choose the correct alternative to fill up the blank)

Production of diverse varieties of crops rather than one specialized crop is called __________. (Choose the correct alternative to fill up the blank)

India is not a member of which of the following regional / global economic groups ?

Read the given statements carefully : Statement 1 : India announced its first Five Year Plan in 1951. Statement 2 : India, Pakistan and China adopted economic planning as their main development strategy. In light of the given statements, choose the correct alternative from the following :

Workers who are on the permanent pay-roll of their employer are called ___________ workers. (Choose the correct alternative to fill up the blank)

Interpret the given picture, on account of current environmental challenges:

Explain any one current environmental challenge.

Jobless growth leads to unemployment because __________ . (Choose the correct alternative to fill up the blank)

(a) Critically evaluate the role of rural banking system in the process of rural development in India. OR (b) They were running a clinic. They were earning a comparatively low income. So, he Identify and explain the type of expenditure incurred by Dr. Khurana, which directly contributed to the process of human capital formation.

(a) Industrial Policy Resolution, 1956. (b) Define Multilateral trade.

(a) State and elaborate whether the following statement is true or false, with valid arguments: In the past, the Indian economy has made substantial progress towards capital intensive development. OR (b) In India, around 60% employees are self-employed. The possible incidence of under employment is the highest among the self-employed. As an economist, suggest and elaborate any two measures that may be taken to ensure more productive employment for the self-employed.

Compare and contrast India and China Gross Value Added (GVA). What does it indicate?

(a) (i) What are regular wage employees? (ii) Distinguish between human capital and physical capital. OR (b) (i) Mention and discuss any one strategy included in achieving sustainable development in India. (ii) Discuss briefly the importance of micro-credit programme in rural India.

Read the following text carefully : According to NITI Aayog, India has a technological advantage to facilitate digital banks. There is a need for creating a regulatory framework for promoting this. Proposal for Licensing admap for a digital infrastructure, especially Unified Payments Interface (UPI) has successfully faced this. With Aadhar, India is at the cusp of operationalizing its own open banking framework. This demonstrates that India has the technology stock to fully facilitate digital banks. Digital banking allows a user to set up automatic payments for regular utility bills. Digital banking enables fund transfers to reduce the risk of counterfeit currency. By promoting a cashless society, digital banking restricts the circulation of black money. On the basis of the given text and common understanding, answer the following questions : (a) Which institution has been replaced by NITI Aayog in India? Who is the ex-officio Chairman of NITI Aayog? (b) State and discuss any two main advantages of digital banking.

Which institution has been replaced by NITI Aayog in India? Who is the ex-officio Chairman of NITI Aayog?

State and discuss any two main advantages of digital banking.