Economy
An economy is a region where products and services are produced, distributed, traded, and consumed. It is generally understood to be a social domain that places an emphasis on the behaviours, discourses, and tangible manifestations connected to the creation, use, and management of finite resources. In other words, the economic realm is a social domain made up of connected human behaviours and exchanges that cannot exist independently.
Economy for UPSC
A country, a region, a single industry, or even a family may be represented by an economy. Few economies in the modern world are completely market- or command-based. While command-based economies are governed by a government agency, market-based economies, also known as free market economies, are self-regulatory. Check the links below for getting the all essential information’s based on economy required for UPSC and other competitive examination.
Economy Concepts for UPSC & PSC
- Banking Laws Amendment Bill 2024, Key Provisions
- Govt. Scraps Windfall Tax on Domestic Crude Oil and export of fuels
- India has contributed $ 2 billion to BRICS Bank
- India’s Q2 GDP Growth Rate Slows to 5.4%, Check Details
- Basic Animal Husbandry Statistics 2024
- Open Market Sales Scheme (OMSS), Objectives and Implementation
- Central Value Added Tax (CENVAT)
- RBI’s Blind Spots
- Women Workers Wages, Participation Rate, Reason, Significance
- Municipal Corporations’ Tax Revenue Share Rise in Recent Years
Economy Notes for UPSC
Mastering economics at UPSC is a crucial step toward success in one of India’s toughest examinations. Ensure you cover the key topics, use recommended study materials, and leverage notes to enhance your preparation. The following notes are essential reading materials for candidates preparing for a variety of examinations.
Basic Concepts
- Types of Economy System & Sectors
- Core Sectors of Indian Economy
- Concept of GDP, GNP, NNP and NDP, Basic Economy Terms
- Mixed Economy
- Socialist Economy
- Capitalist Economy
- Macroeconomics and Microeconomics
- Primary Sector of Indian Economy
Economic Development in India
- Economic Growth and Development
- Sustainable Development Goals (SDGs)
- Economic Liberalization in India
- LPG Refoms in India
- Inclusive growth and issues arising from it
- FRBM Act
- Poverty and its eradication
- Human development indicators
- Circular Flow of Income
Planning and Economic Development
- Planning in India
- Planning Commission of India
- Five-Year Plans and Related Issues
- National Development Council
- NITI Aayog and its role
Economic Growth and Development
- Measurement of economic growth – GDP, GNP, etc.
- Factors determining economic growth and development
- Issues related to poverty, unemployment, and inequality
- Demand and Supply Law
- Gross Domestic Product
- GDP of Indian States 2023
- Gross Value Added (GVA)
- Net Domestic Product
- Gross National Product
- National Income
- Purchasing Power Parity Theory
- GDP Deflator Formula
- Inflation
- Types of Inflation in Economics
- India’s GDP Growth Rate
Agriculture
- Agricultural Produce Marketing Committee (APMC)
- List Of Agriculture Revolutions In India From 1960-2023
- Types Of Farming In India
- Agriculture and allied activities in India
- Government policies, subsidies, and support
- Agricultural productivity and challenges
- Land reforms
Industry
- Industrial policy and its evolution
- Department for Promotion of Industry and Internal Trade
- Infrastructure development
- Public sector and disinvestment
- Small-scale industries in India
- Special Economic Zone
- Labour Laws in India
- Industrial Dispute Act 1947
- Index of Industrial Production
Services Sector
- Service sector in the Indian economy
- Tourism, IT, and ITES sectors
- Purchasing Managers Index (PMI)
- Wholesale Price Index
- Producer Price Index in India
- Consumer Price Index of India
MSMEs Sector
- Definition and Classification of MSMEs
- Government Initiatives
Investment
Stock exchanges
Banking and Financial Institutions
- Banking Sector Reforms in India Since 1991
- Banking reforms and regulations
- Role of the Reserve Bank of India (RBI)
- Non-Banking Financial Companies (NBFC)
- Microfinance and Self-Help Groups (SHGs)
- Regional Rural Banks In India
- India post payment bank
- Bank Board Bureau (BBB)
- NABARD
- Urban Cooperative Banks
- Basel Norms in India
- Indian Financial System
Public Finance and Fiscal Policy
- Budgeting and fiscal policy
- Taxation and subsidies
- Public debt and deficits
Tax System
External Sector
- External Sector of India
- External Debt of India
- Balance of payments
- Exchange rates and their determination
- India’s trade policy and agreements
- Double Taxation Avoidance Agreement (DTAA)
- External Commercial Borrowing (ECB)
- FERA and FEMA
- Capital Account Convertibility (CAC)
- NEER & REER Concept
- Forex Reserve
- Foreign Capital
International Economic Organizations and Agreements
- The Bretton Woods institutions
- World Trade Organization (WTO)
- Asian Infrastructure Investment Bank (AIIB)
- Asian Development Bank (ADB)
- New Development Bank (NDB)/ BRICS BANK
- Bilateral and regional agreements
Money and Banking
- Functions of money
- Role of central banks
- Monetary System in India
- Repo Rate And Reverse Repo Rate
- RBI Monetary Policy Committee
- Depreciation and Appreciation of Currency
- Micro ATMs in India
- Bad Bank
- Banking Ombudsman Scheme
- Non-Performing Assets (NPA)
- Reserve Bank of India (RBI)
- Priority Sector Lending
- Marginal Cost of Funds Based Lending Rate (MCLR)
- National Payments Corporation of India (NPCI)
- Payment Banks in India
- Pension Fund Regulatory and Development Authority (PFRDA)
- Liquidity Adjustment Facility (LAF)
- Unified Payment Interface (UPI)
- Marginal Standing Facility
- Statutory Liquidity Ratio (SLR)
- Bank Rate
- Cash Reserve Ratio
- Demonetisation 2.0
- Private Sector Banks in India
- Public Sector Banks in India
- List of Scheduled Commercial Banks in India
- Banking System in India
- Insurance Regulatory and Development Authority of India (IRDAI)
- Insurance Sector in India
- Money Market
- List of Financial Regulatory Bodies in India
- Financial Market
- Capital Market
- Broad Money and Narrow Money
- Money Multiplier
- Digital Currency in India
- Commercial Banks
- Types of Bank Accounts
Inflation
- Types and measurement of inflation
- Causes and consequences of inflation
- Inflation targeting
Poverty and Unemployment
- Poverty In India, Causes and Consequences
- Measurement of poverty
- Kuznets Curve
- Gini Coefficient
- Phillips Curve
- Government schemes for poverty alleviation and employment generation
- Unemployment Rate Of India 2023
Inclusive Growth
Food Processing Sector
- Types of Food Processing
- Segments in the Industry
- Government Initiatives
- National Food Processing Policy, 2019
- PMFME Scheme: Pradhan Mantri Formalisation of Micro Food Processing Enterprises Scheme
- PMKSY: Pradhan Mantri Kisan SAMPADA Yojana for food processing
- PLISFPI: Production Linked Incentive Scheme for Food Processing Industry
- Operation Greens: Initiative to stabilize the supply of tomato, onion, and potato
- ODOP Scheme: One District One Product Scheme to promote local specialities
Economic Survey and Budget
- Government Budgeting
- Economic Survey 2023 Highlights
- Per Capita Income of India
- Union Budget 2023-24
- Union Budget 2023 for Health and Education Sector
- Union Budget 2023 for Railways
- Union Budget 2023 Highlights for Agriculture Sector
Current Economic Affairs
- Contemporary economic issues and developments in India and globally
- Economic surveys and reports
- How India Can Become A $5 Trillion Economy By 2029?
- GDP Of Indian States 2023
- Digital India Mission
- Fugitive Economic Offenders Act 2018
- Exchange Traded Funds (ETFs)
- Liberalized Exchange Rate Management System (LERMS)
- Foreign Contribution Regulation Act (FCRA)
- Gold Monetisation Scheme
- Direct Benefit Transfer Scheme
- National Pension Scheme
- Mission Indradhanush
- Physical Quality of Life Index (PQLI)
- Green Accounting
- Carbon Tax
- UPI Charges
Economy Syllabus
The UPSC Economics Syllabus will be covered in both the Mains and Prelims exams. Additionally, it is listed in the UPSC Syllabus as one of the optional subjects. The UPSC Mains exam’s General Studies 3 paper contains the syllabus. Since economics is covered in all stages, it is one of the most popular optional subjects among candidates. The UPSC economics syllabus will include questions about current events, trade, agriculture, transportation, and other topics.
UPSC Economy Syllabus for Prelims and Mains
If you’re getting ready to take the UPSC civil services exam, you already know that economics will be covered in both the IAS prelims and the mains. Check the detailed Syllabus for economy below in the table:
UPSC Economy Syllabus for Prelims and Mains | |
Section | Details |
Economic growth and development | Basic concept and definition of economy and economics, uses and transfer of resources, distributive effects, macro and micro economic policy, micro-macro balance, distributive impact of economic policies, development versus growth, determinant of growth and development, concepts such as HPI/MPI, HDI, PQLI, GEM, GDI/GII, TAI, Green index, sustainable development, India’s ranking in the various indices. |
National income and Basic Economic Indicators | National income concepts, methods of calculation, price index, production, population, foreign trade |
Features of Indian Economy | Division of economic activities, poverty, unemployment, HDR, measures to eradicate poverty |
Demography | Census data, populations by gender, by state, by age group, socio-economic status, caste, religion, literacy levels, etc. Trends in human development – interstate comparison, etc. |
Agriculture | Crops, seasons, agricultural credit agencies, Kisan Credit agencies, land reforms, insurance, green, white, blue, yellow revolutions, irrigation |
Industry | Industrial policies (1948, 1956, 1991), small scale industries, key industries, industrial sickness, the different committees, disinvestment, PSU policy, industrial finance |
Money and banking | Money market, credit control (different rates), commercial banks, cooperative banks, NBFCs, committees, SEBI, stock market developments, insurance industry, new banking sector reforms, money supply measures, inflation, deflation |
Fiscal policy | Definition, component, receipts, revenue and capital account, tax revenue, expenditure, budget, finance commission, deficit financing, public spending and debt |
Foreign trade | composition, direction, EXIM policy, WTO, balance of payments, measures to improve foreign trade |
International organisations | WTO, IMF, ADB, BRICS Bank etc |
Planning commission five year plans | Five year plans |
Social issues | Financing health policy, education policy, sanitation, drinking water, social security, infrastructure policy, international trade issues, regional cooperation |
Inclusion | Definition, relevance, types, financial inclusion, recent initiatives |
Poverty | Definitions, causes, distribution-deprivation, income versus calories, measurement of poverty, status of poverty, eradication programmes, poverty and resource policy, tribal rights and issues, livelihood mission. |
Current Affairs | Also, focus on issues currently in news related to the above topics – MNERGS, MSMEs, Make in India, industrial corridors, NITI Ayog, black money, international treaties and organisations, India’s policies with neighbours, Economic Survey and Budget. |