{"id":29568,"date":"2022-11-18T11:44:46","date_gmt":"2022-11-18T06:14:46","guid":{"rendered":"https:\/\/mycbseguide.com\/blog\/?p=29568"},"modified":"2025-10-09T16:49:06","modified_gmt":"2025-10-09T11:19:06","slug":"class-12-economics-sample-paper","status":"publish","type":"post","link":"https:\/\/mycbseguide.com\/blog\/class-12-economics-sample-paper\/","title":{"rendered":"Class 12 Economics Sample Paper 2025"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_76 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 eztoc-toggle-hide-by-default' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/mycbseguide.com\/blog\/class-12-economics-sample-paper\/#Class_12_Economics_Sample_Paper_2025\" >Class 12 Economics Sample Paper 2025<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/mycbseguide.com\/blog\/class-12-economics-sample-paper\/#Major_Changes_in_Class_12_Economics_Paper_2025\" >Major Changes in Class 12 Economics Paper 2025<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/mycbseguide.com\/blog\/class-12-economics-sample-paper\/#Download_Economics_Sample_Paper_2024-25\" >Download Economics Sample Paper 2024-25<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/mycbseguide.com\/blog\/class-12-economics-sample-paper\/#myCBSEguide_App\" >myCBSEguide App<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/mycbseguide.com\/blog\/class-12-economics-sample-paper\/#Student_Dashboard\" >Student Dashboard<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/mycbseguide.com\/blog\/class-12-economics-sample-paper\/#Class_12_Sample_Papers_2025\" >Class 12 Sample Papers 2025<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/mycbseguide.com\/blog\/class-12-economics-sample-paper\/#Why_Choose_myCBSEguide_for_Your_Exam_Preparation\" >Why Choose myCBSEguide for Your Exam Preparation?<\/a><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<h2><span class=\"ez-toc-section\" id=\"Class_12_Economics_Sample_Paper_2025\"><\/span><strong>Class 12 Economics Sample Paper 2025<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>The <strong>CBSE <a href=\"http:\/\/mycbseguide.com\/dashboard\/home\">Class 12<\/a> Economics Sample Paper 2025<\/strong> is now available for <strong>free download<\/strong> on the <a href=\"https:\/\/play.google.com\/store\/search?q=mycbseguide+app&amp;c=apps\"><strong>myCBSEguide App<\/strong><\/a> and <a href=\"http:\/\/mycbseguide.com\/dashboard\/home\"><strong>Student Dashboard<\/strong><\/a>. With the recent changes in the exam pattern, <strong>Economics Sample Paper<\/strong> 2025 will now feature both <strong>subjective<\/strong> and <strong>objective questions<\/strong>. These updates are designed to better assess students&#8217; understanding and application of economic concepts. Prepare smarter and achieve better results\u2014download the <strong>myCBSEguide app<\/strong> or visit our <a href=\"https:\/\/mycbseguide.com\/\"><strong>myCBSEguide<\/strong><\/a> website and <strong><a href=\"https:\/\/examin8.com\/\">Examin8<\/a><\/strong> website to start your preparation today!<\/p>\n<p>To help you prepare effectively, <strong>myCBSEguide<\/strong> offers an <strong>Economics Sample Paper<\/strong> that aligns with the new exam format. You can practice with real exam-style questions, access detailed solutions, and enhance your time management skills ahead of the <strong>CBSE Class 12 Economics exam<\/strong>. Download the <strong>Economics Sample Paper<\/strong> for <strong>CBSE Class 12<\/strong> to practice for your exams. This <strong>Economics Sample Paper<\/strong> offers a blend of subjective and objective questions. Access the updated <strong>Economics Sample Paper<\/strong> on the <strong>myCBSEguide app<\/strong> and improve your preparation with real exam-style questions.<\/p>\n<p>Get ready for the changes in the exam structure by downloading the <strong>Economics Sample Paper<\/strong> 2025 today from the <strong>myCBSEguide App<\/strong> and improve your exam preparation with the most up-to-date resources.<\/p>\n<ul>\n<li>\n<h2><span class=\"ez-toc-section\" id=\"Major_Changes_in_Class_12_Economics_Paper_2025\"><\/span><strong>Major Changes in Class 12 Economics Paper 2025<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>The <strong><a href=\"https:\/\/mycbseguide.com\/cbse-sample-papers-class-12.html\">Class 12<\/a> Economics paper<\/strong> has seen significant changes this year. These updates include:<\/p>\n<ul>\n<li>Introduction of <strong>statement-based questions<\/strong> to test conceptual understanding.<\/li>\n<li><strong>Assertion and Reason<\/strong> type questions to assess reasoning skills.<\/li>\n<li>A focus on <strong>analytical graph-based questions<\/strong> to evaluate data interpretation.<\/li>\n<li>The final <strong>case study question<\/strong> is now more detailed and lengthy.<\/li>\n<\/ul>\n<p>Stay prepared for these changes by practicing with updated <strong>Economics sample papers<\/strong> available on the <strong>myCBSEguide app<\/strong>.<\/li>\n<\/ul>\n<h2><span class=\"ez-toc-section\" id=\"Download_Economics_Sample_Paper_2024-25\"><\/span>Download Economics Sample Paper 2024-25<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><strong>Access 10+ Sample Papers, Chapter-Wise Tests, and More on myCBSEguide<\/strong><\/p>\n<p>This is just one <strong>sample question paper with a solution<\/strong>. At <strong>myCBSEguide<\/strong>, we offer over 10+ <strong>sample papers<\/strong>, <strong>chapter-wise test papers<\/strong>, <strong>online tests<\/strong>, <strong>practice questions<\/strong>, and additional <strong>study materials<\/strong> for <strong>CBSE students<\/strong>. You can easily <strong>download<\/strong> all these resources with just a click using the button below.<\/p>\n<p>Stay ahead in your exam preparation with our comprehensive study resources and boost your chances of success!<\/p>\n<p style=\"text-align: center;\"><a class=\"button\" style=\"font-weight: bold;\" href=\"https:\/\/mycbseguide.com\/dashboard\/category\/1327\/type\/2\">Download as PDF<\/a><\/p>\n<p>You can also follow the links below to access more content on CBSE class 12 Economics.<\/p>\n<ol>\n<li>\n<h3><span class=\"ez-toc-section\" id=\"myCBSEguide_App\"><\/span><strong><a href=\"https:\/\/play.google.com\/store\/apps\/details?id=in.techchefs.MyCBSEGuide\">myCBSEguide App<\/a><\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<\/li>\n<li>\n<h3><span class=\"ez-toc-section\" id=\"Student_Dashboard\"><\/span><a href=\"http:\/\/mycbseguide.com\/dashboard\/home\"><strong>Student Dashboard<\/strong><\/a><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<\/li>\n<\/ol>\n<p style=\"text-align: center;\"><strong>Class 12 &#8211; Economics<br \/>\nSample paper &#8211; 01\u00a0(2024-25)<\/strong><\/p>\n<hr \/>\n<p><b>Maximum Marks: 80<br \/>\nTime Allowed: : 3 hours<\/b><\/p>\n<hr \/>\n<p><b>General Instructions:<\/b><\/p>\n<ol>\n<li>This question paper contains two sections:<br \/>\nSection A \u2013 Macro Economics<br \/>\nSection B \u2013 Indian Economic Development<\/li>\n<li>This paper contains 20 Multiple Choice Questions type questions of 1 mark each.<\/li>\n<li>This paper contains 4 Short Answer Questions type questions of 3 marks each to be answered in 60 to 80 words.<\/li>\n<li>This paper contains 6 Short Answer Questions type questions of 4 marks each to be answered in 80 to 100 words.<\/li>\n<li>This paper contains 4 Long Answer Questions type questions of 6 marks each to be answered in 100 to 150 words.<\/li>\n<\/ol>\n<hr \/>\n<ol style=\"padding-left: 20px; list-style: decimal;\">\n<li style=\"text-align: center; clear: both; display: block;\"><b>SECTION A \u2013 MACRO ECONOMICS<\/b><\/li>\n<li><strong>Statement I:<\/strong> Balance of Payment is an accounting statement which records all the economic transactions that take place between the residents of a country during a given period of time.<br \/>\n<strong>Statement II:<\/strong> Current account of Balance of Payment records all the transactions that relate to assets or liabilities.<\/p>\n<div style=\"margin-left: 20px;\">a) Both the statements are false.<\/div>\n<div style=\"margin-left: 20px;\">b) Both the statements are true.<\/div>\n<div style=\"margin-left: 20px;\">c) Statement I is true, but statement II is false.<\/div>\n<div style=\"margin-left: 20px;\">d) Statement II is true, but statement I is false.<\/div>\n<\/li>\n<li>Which of the following is not a problem of barter system of exchange?\n<div style=\"margin-left: 20px;\">a) Double Coincidence of Wants<\/div>\n<div style=\"margin-left: 20px;\">b) Unit of Account<\/div>\n<div style=\"margin-left: 20px;\">c) Unemployment<\/div>\n<div style=\"margin-left: 20px;\">d) Store of Value<\/div>\n<\/li>\n<li>Suppose in a hypothetical economy, the income rises from\u00a0\u20b9\u00a05,000 crores to\u00a0\u20b9\u00a06,000 crores. As a result, the consumption expenditure rises from\u00a0\u20b9\u00a04,000 crores to\u00a0\u20b9\u00a04,600 crores. Marginal propensity to consume in such a case would be ________.\n<div style=\"margin-left: 20px;\">a) 0.8<\/div>\n<div style=\"margin-left: 20px;\">b) 0.4<\/div>\n<div style=\"margin-left: 20px;\">c) 0.2<\/div>\n<div style=\"margin-left: 20px;\">d) 0.6<\/div>\n<\/li>\n<li>In a ________ the central banks do not intervene in the foreign exchange market.\n<ol style=\"list-style-type: lower-alpha;\" start=\"1\">\n<li>Completely flexible exchange rate system, i.e. clean floating<\/li>\n<li>Fixed exchange rate system<\/li>\n<li>Both (a) and (b)<\/li>\n<li>Managed floating exchange<\/li>\n<\/ol>\n<div style=\"margin-left: 20px;\">a) Option (a)<\/div>\n<div style=\"margin-left: 20px;\">b) Option (d)<\/div>\n<div style=\"margin-left: 20px;\">c) Option (b)<\/div>\n<div style=\"margin-left: 20px;\">d) Option (c)<\/div>\n<\/li>\n<li>If the value of Average Propensity to Consume (APC) is 0.8 and National Income is \u20b94,000 crore, the value of savings will be ________.\n<div style=\"margin-left: 20px;\">a) \u20b9 500 crores<\/div>\n<div style=\"margin-left: 20px;\">b) \u20b9 100 crores<\/div>\n<div style=\"margin-left: 20px;\">c) \u20b9 800 crores<\/div>\n<div style=\"margin-left: 20px;\">d) \u20b9 200 crores<\/div>\n<\/li>\n<li>Which of the following statements is not the\u00a0correct regarding Excess Demand?\n<div style=\"margin-left: 20px;\">a) Excess Demand is the result of decline in exports.<\/div>\n<div style=\"margin-left: 20px;\">b) Excess Demand means Aggregate Demand is more than Aggregate Supply.<\/div>\n<div style=\"margin-left: 20px;\">c) Excess Demand is caused due to reduction in the public expenditure.<\/div>\n<div style=\"margin-left: 20px;\">d) Excess Demand raises the market value of output.<\/div>\n<\/li>\n<li>When aggregate demand is greater than the aggregate supply, inventories ________.\n<div style=\"margin-left: 20px;\">a) first fall than rise<\/div>\n<div style=\"margin-left: 20px;\">b) rise<\/div>\n<div style=\"margin-left: 20px;\">c) fall<\/div>\n<div style=\"margin-left: 20px;\">d) do not change<\/div>\n<\/li>\n<li>Money flow is the flow of\n<div style=\"margin-left: 20px;\">a) Goods only<\/div>\n<div style=\"margin-left: 20px;\">b) Factor payments<\/div>\n<div style=\"margin-left: 20px;\">c) Services only<\/div>\n<div style=\"margin-left: 20px;\">d) Goods and services only<\/div>\n<\/li>\n<li>Supply of money refers to quantity of money ________.\n<div style=\"margin-left: 20px;\">a) as on 31st March<\/div>\n<div style=\"margin-left: 20px;\">b) as on any point of time<\/div>\n<div style=\"margin-left: 20px;\">c) during a fiscal year<\/div>\n<div style=\"margin-left: 20px;\">d) during any specified period of time<\/div>\n<\/li>\n<li>The upward-sloping supply curve for foreign exchange reflects:<br \/>\n<img decoding=\"async\" style=\"width: 150px; height: 144px;\" src=\"https:\/\/media-mycbseguide.s3.amazonaws.com\/images\/question_images\/1689159209-6sjwfg.jpg\" alt=\"\" \/><\/p>\n<div style=\"margin-left: 20px;\">a) Direct relationship<\/div>\n<div style=\"margin-left: 20px;\">b) Inverse relationship<\/div>\n<div style=\"margin-left: 20px;\">c) Exponential relationship<\/div>\n<div style=\"margin-left: 20px;\">d) Indirect relationship<\/div>\n<\/li>\n<li>Suppose in an imaginary economy, Gross Domestic Product (GDP) at market price in 2019-20 was \u20b9 5,000 crore, National Income was \u20b9 3,500 crore, Net Factor Income paid by the economy to rest of the world was \u20b9 450 crore and the Net Indirect Taxes was \u20b9 400 crore.<br \/>\nEstimate the value of consumption of fixed capital for the economy from the information given above.<br \/>\nDownload the <a href=\"https:\/\/play.google.com\/store\/search?q=mycbseguide+app&amp;c=apps\"><strong>myCBSEguide App<\/strong><\/a> to access <strong>comprehensive study materials<\/strong>, <strong>practice questions<\/strong>, and <strong>mock exams<\/strong> for <strong>CBSE<\/strong>, <strong>NCERT<\/strong>, <strong>JEE (Main)<\/strong>, <strong>NEET-UG<\/strong>, and <strong>NDA exams<\/strong>. The app provides all the resources you need to strengthen your concepts and improve your exam performance, from chapter-wise practice papers to expert-designed solutions.For educators, the <strong><a href=\"https:\/\/play.google.com\/store\/search?q=Examin8&amp;c=apps\">Examin8<\/a> App<\/strong>\u00a0allows you to easily create <strong>customized exam papers<\/strong>, <strong>mock tests<\/strong>, and <strong>practice quizzes<\/strong> featuring your name and logo, making it an ideal tool for teachers and schools.Prepare smarter and achieve better results\u2014download the <strong>myCBSEguide app<\/strong> or visit our <a href=\"https:\/\/mycbseguide.com\/\"><strong>myCBSEguide<\/strong><\/a> website and <strong><a href=\"https:\/\/examin8.com\/\">Examin8<\/a><\/strong> website to start your preparation today!<\/li>\n<li>Differentiate between Surplus in Balance of Trade and Current Account Surplus.\n<p style=\"text-align: center;\"><b>OR <\/b><\/p>\n<p><strong>Devaluation and Depreciation of currency are one and the same thing<\/strong>. Do you agree? How do they affect the exports of a country?<\/li>\n<li>In an economy ex-ante Aggregate Demand is more than ex-ante Aggregate Supply.<br \/>\nExplain its impact on the level of output, income and employment.<\/li>\n<li>From the following data about an\u00a0economy, calculate its equilibrium level\u00a0of income:<br \/>\nMarginal propensity to consume = 0.75<br \/>\nAutonomous consumption = 200<br \/>\nInvestment = 6000<\/p>\n<p style=\"text-align: center;\"><b>OR <\/b><\/p>\n<p>An economy is in equilibrium. Find \u2018autonomous consumption\u2019 from the following<br \/>\nNational Income = Rs 1,000<br \/>\nMarginal Propensity to Consume =0.8<br \/>\nInvestment Expenditure = Rs 100<\/li>\n<li>Elaborate, how does a Central Bank stabilize money supply through <strong>Bank Rate<\/strong>.<\/li>\n<li>(i) How will you treat the following while estimating the national income of India? Give reasons\n<ol style=\"list-style-type: lower-alpha;\" start=\"1\">\n<li>Payment of interest on borrowings by the general government.<\/li>\n<li>Increase in prices of the shares of a company.<\/li>\n<li>Government expenditure on sanitation.<\/li>\n<li>Growing vegetable in a kitchen garden of the house<\/li>\n<\/ol>\n<p>(ii) From the following about firm Y, calculate Net Value Added at Market Price by it:<\/p>\n<table style=\"width: 100%;\" border=\"1\" cellspacing=\"0\" cellpadding=\"3\">\n<tbody>\n<tr>\n<td>Items<\/td>\n<td>In Thousands<\/td>\n<\/tr>\n<tr>\n<td>(i) Sales<\/td>\n<td>300<\/td>\n<\/tr>\n<tr>\n<td>(ii) Depreciation<\/td>\n<td>20<\/td>\n<\/tr>\n<tr>\n<td>(iii) Net indirect taxes<\/td>\n<td>30<\/td>\n<\/tr>\n<tr>\n<td>(iv) Purchase of intermediate products<\/td>\n<td>150<\/td>\n<\/tr>\n<tr>\n<td>(v) Closing Stock<\/td>\n<td>200<\/td>\n<\/tr>\n<tr>\n<td>(vi) Purchase of machinery<\/td>\n<td>100<\/td>\n<\/tr>\n<tr>\n<td>(vii) Opening Stock<\/td>\n<td>210<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p style=\"text-align: center;\"><b>OR <\/b><\/p>\n<p>Estimate the missing values (?), if the value of Gross Domestic Product at factor cost (GDP<sub>fc<\/sub>) by Expenditure Method and Income Method is \u20b9\u00a0920 crore:<\/p>\n<table style=\"width: 100%;\" border=\"1\" cellspacing=\"0\" cellpadding=\"3\">\n<tbody>\n<tr>\n<td><strong>S.No.<\/strong><\/td>\n<td><strong>Items<\/strong><\/td>\n<td><strong>Amount (in \u20b9 crore)<\/strong><\/td>\n<\/tr>\n<tr>\n<td>(i)<\/td>\n<td>Consumption of Fixed Capital<\/td>\n<td>170<\/td>\n<\/tr>\n<tr>\n<td>(ii)<\/td>\n<td>Change in Stock<\/td>\n<td>140<\/td>\n<\/tr>\n<tr>\n<td>(iii)<\/td>\n<td>Mixed-Income of Self-employed<\/td>\n<td>180<\/td>\n<\/tr>\n<tr>\n<td>(iv)<\/td>\n<td>Operating Surplus<\/td>\n<td>?<\/td>\n<\/tr>\n<tr>\n<td>(v)<\/td>\n<td>Gross Domestic Fixed Capital Formation<\/td>\n<td>140<\/td>\n<\/tr>\n<tr>\n<td>(vi)<\/td>\n<td>Government Final Consumption Expenditure<\/td>\n<td>?<\/td>\n<\/tr>\n<tr>\n<td>(vii)<\/td>\n<td>Net Exports<\/td>\n<td>(-)50<\/td>\n<\/tr>\n<tr>\n<td>(viii)<\/td>\n<td>Net Indirect Taxes<\/td>\n<td>60<\/td>\n<\/tr>\n<tr>\n<td>(ix)<\/td>\n<td>Private Final Consumption Expenditure<\/td>\n<td>470<\/td>\n<\/tr>\n<tr>\n<td>(x)<\/td>\n<td>Compensation of Employees<\/td>\n<td>375<\/td>\n<\/tr>\n<tr>\n<td>(xi)<\/td>\n<td>Employers&#8217; Contribution to Social Security Schemes<\/td>\n<td>150<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/li>\n<li>Categorise the following into revenue expenditure and capital expenditure. Give reasons.\n<ol style=\"list-style-type: lower-roman;\" start=\"1\">\n<li>Investment in shares<\/li>\n<li>Subsidies<\/li>\n<li>Construction of school building<\/li>\n<li>Defence services expenditure<\/li>\n<li>Repayment of loan with interest<\/li>\n<li>Grants to state governments for creation of assets<\/li>\n<\/ol>\n<p style=\"text-align: center;\"><b>OR <\/b><\/p>\n<p>From the following data, you are required to calculate:<\/p>\n<ol style=\"list-style-type: lower-roman;\" start=\"1\">\n<li>Revenue Deficit<\/li>\n<li>Fiscal Deficit<\/li>\n<li>Primary Deficit<\/li>\n<\/ol>\n<table style=\"width: 100%;\" border=\"1\" cellspacing=\"0\" cellpadding=\"3\">\n<tbody>\n<tr>\n<td><\/td>\n<td style=\"text-align: center;\"><strong>(\u20b9 in crores)<\/strong><\/td>\n<\/tr>\n<tr>\n<td>(a) Revenue Receipts<\/td>\n<td style=\"text-align: right;\">2,000<\/td>\n<\/tr>\n<tr>\n<td>(b) Revenue Expenditure<\/td>\n<td style=\"text-align: right;\">2,800<\/td>\n<\/tr>\n<tr>\n<td>(c) Capital Receipts<\/td>\n<td style=\"text-align: right;\">1,300<\/td>\n<\/tr>\n<tr>\n<td>(d) Capital Expenditure<\/td>\n<td style=\"text-align: right;\">600<\/td>\n<\/tr>\n<tr>\n<td>(e) Recovery of Loans<\/td>\n<td style=\"text-align: right;\">200<\/td>\n<\/tr>\n<tr>\n<td>(f) Borrowings and other Liabilities<\/td>\n<td style=\"text-align: right;\">1,100<\/td>\n<\/tr>\n<tr>\n<td>(g) Interest Payment<\/td>\n<td style=\"text-align: right;\">1,000<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/li>\n<li style=\"text-align: center; clear: both; display: block;\"><b>SECTION B \u2013 INDIAN ECONOMIC DEVELOPMENT<\/b><\/li>\n<li>Opening of ________ Canal significantly reduced the cost of transportation of goods between Britain and India.<br \/>\n(Fill in the blank with the correct answer)<\/p>\n<div style=\"margin-left: 20px;\">a) Agra<\/div>\n<div style=\"margin-left: 20px;\">b) Conolly<\/div>\n<div style=\"margin-left: 20px;\">c) Suez<\/div>\n<div style=\"margin-left: 20px;\">d) Munak<\/div>\n<\/li>\n<li>________ acts as a measure of the extent of democratic participation in social and political decision-making.<br \/>\n(Fill up the blank with correct alternative)<\/p>\n<div style=\"margin-left: 20px;\">a) Poverty Index<\/div>\n<div style=\"margin-left: 20px;\">b) Human Development Index<\/div>\n<div style=\"margin-left: 20px;\">c) Liberty Indicator<\/div>\n<div style=\"margin-left: 20px;\">d) Economic Growth<\/div>\n<\/li>\n<li>________ was known as Architect of Indian Economic Planning.\n<div style=\"margin-left: 20px;\">a) Dr. Manmohan Singh<\/div>\n<div style=\"margin-left: 20px;\">b) Pandit Jawaharlal Nehru<\/div>\n<div style=\"margin-left: 20px;\">c) PC Mahalanobis<\/div>\n<div style=\"margin-left: 20px;\">d) Dr. BR Ambedkar<\/div>\n<\/li>\n<li>Which scheme provides adequate and timely support from the banking system to the farmers for their cultivation needs in a flexible manner<br \/>\n<img decoding=\"async\" style=\"width: 250px; height: 163px;\" src=\"https:\/\/media-mycbseguide.s3.amazonaws.com\/images\/question_images\/1689162321-8czfns.jpg\" alt=\"\" \/><\/p>\n<div style=\"margin-left: 20px;\">a) KBC<\/div>\n<div style=\"margin-left: 20px;\">b) KCC<\/div>\n<div style=\"margin-left: 20px;\">c) KMM<\/div>\n<div style=\"margin-left: 20px;\">d) KMC<\/div>\n<\/li>\n<li><strong>Assertion (A): <\/strong>The industrial sector reforms implemented under liberalisation policies in a country led to an increase in Foreign Direct Investment in the manufacturing sector.<br \/>\n<strong>Reason (R): <\/strong>Liberalisation policies aimed to toughen trade barriers, regulate industries, and provide a conducive environment for indigenous investors, making the manufacturing\u00a0sector more attractive for FDI.<\/p>\n<div style=\"margin-left: 20px;\">a) Both A and R are true and R is the correct explanation of A.<\/div>\n<div style=\"margin-left: 20px;\">b) Both A and R are true but R is not the correct explanation of A.<\/div>\n<div style=\"margin-left: 20px;\">c) A is true but R is false.<\/div>\n<div style=\"margin-left: 20px;\">d) A is false but R is true.<br \/>\nGet the <a href=\"https:\/\/play.google.com\/store\/search?q=mycbseguide+app&amp;c=apps\"><strong>myCBSEguide App<\/strong><\/a> today for comprehensive <strong>study materials<\/strong>, <strong>practice questions<\/strong>, and <strong>mock exams<\/strong> designed to help you excel in <strong>CBSE<\/strong>, <strong>NCERT<\/strong>, <strong>JEE (Main)<\/strong>, <strong>NEET-UG<\/strong>, and <strong>NDA exams<\/strong>. The app provides everything you need for effective exam preparation, including <strong>chapter-wise tests<\/strong>, <strong>NCERT solutions<\/strong>, and <strong>expert-crafted sample papers<\/strong> to boost your confidence and performance.For educators, the <a href=\"https:\/\/play.google.com\/store\/search?q=Examin8&amp;c=apps\"><strong>Examin8 App<\/strong><\/a> is the perfect tool to create customized <strong>exam papers<\/strong>, <strong>mock tests<\/strong>, and <strong>practice quizzes<\/strong>, personalized with your own name and logo, helping teachers create unique, engaging learning experiences.Start preparing with the best resources available\u2014download the <strong>myCBSEguide app<\/strong> or visit our <a href=\"https:\/\/mycbseguide.com\/\"><strong>myCBSEguide<\/strong><\/a> website and <strong><a href=\"https:\/\/examin8.com\/\">Examin8<\/a><\/strong>\u00a0website now and take your exam preparation to the next level!<\/div>\n<\/li>\n<li>Expenditure regarding ________\u00a0training is a source of human capital formation.\n<div style=\"margin-left: 20px;\">a) Both Off-the-job and On-the-job<\/div>\n<div style=\"margin-left: 20px;\">b) Off-the-job<\/div>\n<div style=\"margin-left: 20px;\">c) Hybrid<\/div>\n<div style=\"margin-left: 20px;\">d) On-the-job<\/div>\n<\/li>\n<li>China is emerging ____ largest economy in the world in terms of its GDP size\n<div style=\"margin-left: 20px;\">a) 6th<\/div>\n<div style=\"margin-left: 20px;\">b) 5th<\/div>\n<div style=\"margin-left: 20px;\">c) 3th<\/div>\n<div style=\"margin-left: 20px;\">d) 8th<\/div>\n<\/li>\n<li>The per capita forestland in the country is only _______.\n<div style=\"margin-left: 20px;\">a) 0.82 hectare<\/div>\n<div style=\"margin-left: 20px;\">b) 8.0 hectare<\/div>\n<div style=\"margin-left: 20px;\">c) 0.08 hectare<\/div>\n<div style=\"margin-left: 20px;\">d) 0.80 hectare<\/div>\n<\/li>\n<li><strong>Statement I:<\/strong> Under the colonial regime, the motive behind infrastructure development was to provide basic amenities to the people.<br \/>\n<strong>Statement II:<\/strong> The real motive behind infrastructure development was to subserve various colonial interests.<\/p>\n<div style=\"margin-left: 20px;\">a) Statement I is true, but statement II is false.<\/div>\n<div style=\"margin-left: 20px;\">b) Both the statements are false.<\/div>\n<div style=\"margin-left: 20px;\">c) Statement II is true, but statement I is false.<\/div>\n<div style=\"margin-left: 20px;\">d) Both the statements are true.<\/div>\n<\/li>\n<li>Which of the following are not matched correctly?<br \/>\n<table style=\"width: 100%;\" border=\"1\" cellspacing=\"0\" cellpadding=\"3\">\n<thead>\n<tr>\n<th scope=\"col\">Column I<\/th>\n<th scope=\"col\">Column II<\/th>\n<\/tr>\n<\/thead>\n<tbody>\n<tr>\n<td>(A) Marketed Surplus<\/td>\n<td>(I) Large increase in production of food grains resulting from use of HYV seeds<\/td>\n<\/tr>\n<tr>\n<td>(B) Green Revolution<\/td>\n<td>(II) Portion of agricultural produce which is sold in the market by the farmers<\/td>\n<\/tr>\n<tr>\n<td>(C) HYV Seeds<\/td>\n<td>(III) Raised agricultural yield per acre to incredible heights<\/td>\n<\/tr>\n<tr>\n<td>(D) Land Reforms<\/td>\n<td>(IV)\u00a0Change in the ownership of landholdings<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<div style=\"margin-left: 20px;\">a) (I) and (II)<\/div>\n<div style=\"margin-left: 20px;\">b) (I), (II) and (IV)<\/div>\n<div style=\"margin-left: 20px;\">c) (III) and (IV)<\/div>\n<div style=\"margin-left: 20px;\">d) (II) and (IV)<\/div>\n<\/li>\n<li>State any two advantages of <strong>sustainable development<\/strong>.\n<p style=\"text-align: center;\"><b>OR <\/b><\/p>\n<p>State any two harmful effects of using chemical fertilizers.<\/li>\n<li>Some social scientists argue that housewives working at home without getting paid for that work must also be regarded as contributing to the gross national product and therefore as workers. Do you agree? Justify your answer.\u00b7<\/li>\n<li>Does modernisation as a planning objective create contradiction in the light of employment generation? Explain.<\/li>\n<li>Many economists believe that the economic reforms process of 1991 had adversely affected the agricultural sector.\u00a0Do you agree with the given statement? Quote valid arguments in favour of your answer.\n<p style=\"text-align: center;\"><b>OR <\/b><\/p>\n<p>State and discuss any two major <strong>Tax Reforms<\/strong> taken under the New Economic Policy of 1991.<\/p>\n<ol style=\"list-style-type: lower-alpha;\" start=\"1\">\n<li>Human capital formation gives birth to innovation, invention and technological improvements. Do you agree with the given statement? Support your answer with valid arguments.<\/li>\n<li>Critically evaluate the role of rural banking system in the process of rural development in India.<\/li>\n<\/ol>\n<\/li>\n<li>State some measures to be taken relating to finance, so that the objective of rural development is achieved.\n<p style=\"text-align: center;\"><b>OR <\/b><\/p>\n<ol style=\"list-style-type: lower-alpha;\" start=\"1\">\n<li>Distinguish between <strong>Green Revolution <\/strong>&amp; <strong>Golden Revolution<\/strong>.<\/li>\n<li>How has women\u2019s health become a matter of great concern in India? Explain.<\/li>\n<\/ol>\n<\/li>\n<li>Briefly discuss the various development strategies pursued by China.\n<p style=\"text-align: center;\"><b>OR <\/b><\/p>\n<p>Compare and contrast India and China\u2019s sectoral contribution towards GDP.<\/p>\n<p>Boost your exam readiness by downloading the <a href=\"https:\/\/play.google.com\/store\/search?q=mycbseguide+app&amp;c=apps\"><strong>myCBSEguide App<\/strong><\/a>, offering <strong>complete study materials<\/strong>, <strong>practice questions<\/strong>, and <strong>mock papers<\/strong> for <strong>CBSE<\/strong>, <strong>NCERT<\/strong>, <strong>JEE (Main)<\/strong>, <strong>NEET-UG<\/strong>, and <strong>NDA exams<\/strong>. This all-in-one platform provides <strong>chapter-wise practice papers<\/strong>, <strong>NCERT solutions<\/strong>, and <strong>expert-designed sample papers<\/strong>, ensuring thorough preparation for all subjects.<\/p>\n<p>For teachers, the <a href=\"https:\/\/play.google.com\/store\/search?q=Examin8&amp;c=apps\"><strong>Examin8 App<\/strong><\/a> makes it easy to create <strong>personalized exam papers<\/strong>, <strong>mock tests<\/strong>, and <strong>practice quizzes<\/strong> with your custom name and logo, streamlining the creation of customized assessments for your students.<\/p>\n<p>Get started with the <strong>myCBSEguide app<\/strong> today and take your exam preparation to the next level\u2014download now or visit our <a href=\"https:\/\/mycbseguide.com\/\"><strong>myCBSEguide<\/strong><\/a> website and <strong><a href=\"https:\/\/examin8.com\/\">Examin8<\/a><\/strong> website for more resources!<\/li>\n<\/ol>\n<p style=\"text-align: center; page-break-before: always;\"><strong>Class 12 &#8211; Economics<br \/>\nSample paper &#8211; 01\u00a0(2024-25)<\/strong><\/p>\n<hr \/>\n<p style=\"text-align: center;\"><strong>Solution <\/strong><\/p>\n<ol style=\"padding-left: 20px;\">\n<li style=\"text-align: center; display: block;\"><b>SECTION A \u2013 MACRO ECONOMICS <\/b><\/li>\n<li>(a) Both the statements are false.<br \/>\n<b>Explanation: <\/b> Both the statements are false.<\/li>\n<li>(c) Unemployment<br \/>\n<b>Explanation: <\/b> Unemployment<\/li>\n<li>(d) 0.6<br \/>\n<b>Explanation: <\/b> 0.6<br \/>\nMPC=Change in Consumption to Change in Income<\/li>\n<li>(a) Option (a)<br \/>\n<b>Explanation: <\/b> Completely flexible exchange rate system, i.e. clean floating<\/li>\n<li>(c) \u20b9 800 crores<br \/>\n<b>Explanation: <\/b> \u20b9 800 crores Y=C+S (Consumption is 3200 cr. so Savings is 800 cr.)<\/li>\n<li>(a) Excess Demand is the result of decline in exports.<br \/>\n<b>Explanation: <\/b> Excess demand arises when demand for exports increases due to comparatively lower prices of domestic goods or due to decrease in the exchange rate for domestic currency.<\/li>\n<li>(c) fall<br \/>\n<b>Explanation: <\/b> If AD &gt; AS then inventory fall.<\/li>\n<li>(b) Factor payments<br \/>\n<b>Explanation: <\/b> Money flow refers to payment for factor services.<\/li>\n<li>(b) as on any point of time<br \/>\n<b>Explanation: <\/b> The money supply is a stock concept and it is estimated as a point of time.<\/li>\n<li>(a) Direct relationship<br \/>\n<b>Explanation: <\/b> As the price of foreign currency increases, it&#8217;s supply increases and as it&#8217;s price decreases it&#8217;s supply decreases, other factors remaining the same.<br \/>\nDownload the <a href=\"https:\/\/play.google.com\/store\/search?q=mycbseguide+app&amp;c=apps\"><strong>myCBSEguide App<\/strong><\/a> to access <strong>comprehensive study materials<\/strong>, <strong>practice questions<\/strong>, and <strong>mock exams<\/strong> tailored for <strong>CBSE<\/strong>, <strong>NCERT<\/strong>, <strong>JEE (Main)<\/strong>, <strong>NEET-UG<\/strong>, and <strong>NDA exams<\/strong>. This app is packed with <strong>chapter-wise practice papers<\/strong>, <strong>NCERT solutions<\/strong>, <strong>sample papers<\/strong>, and <strong>revision notes<\/strong> to ensure you\u2019re fully prepared for your exams. Get the latest <strong>Economics Sample Paper<\/strong> for <strong>CBSE Class 12<\/strong> to enhance your exam preparation. This updated <strong>Economics Sample Paper<\/strong> includes a mix of subjective and objective questions. Download the <strong>Economics Sample Paper<\/strong> for free on the <strong>myCBSEguide app<\/strong> and start practicing today for better results.For educators, the <a href=\"https:\/\/play.google.com\/store\/search?q=Examin8&amp;c=apps\"><strong>Examin8 App<\/strong><\/a> allows you to easily create <strong>customized exam papers<\/strong>, <strong>mock tests<\/strong>, and <strong>practice quizzes<\/strong> with your own name and logo, making it ideal for schools and tutoring centers.Start preparing with the best resources today\u2014download the <strong>myCBSEguide app<\/strong> or visit our <a href=\"https:\/\/mycbseguide.com\/\"><strong>myCBSEguide<\/strong><\/a> website and <strong><a href=\"https:\/\/examin8.com\/\">Examin8<\/a><\/strong> website to access all the tools you need for exam success!<\/li>\n<li>National Income (NNPfc) = GDPmp &#8211; Consumption of Fixed Capital &#8211; Net factor income paid by the economy to the rest of the world &#8211; Net Indirect Taxes<br \/>\n3,500 = 5,000 &#8211; Consumption of Fixed Capital &#8211; 450 &#8211; 400<br \/>\nConsumption of Fixed Capital = 5,000 &#8211;\u00a03,500 &#8211; 450 &#8211; 400<br \/>\nConsumption of Fixed Capital = \u20b9 650 crore<\/li>\n<li style=\"clear: both;\">Surplus in the Balance of trade arises when the value of exports of visibles is more than the value of imports of visibles.<br \/>\nThe current account surplus arises when receipts from exports of visibles, invisibles and unilateral transfers are more than payments for imports of visible, invisibles and unilateral transfers.<\/p>\n<p style=\"text-align: center;\"><b>OR <\/b><\/p>\n<p><strong>Devaluation and Depreciation of currency are one and the same thing.\u00a0<\/strong>Depreciation and Devaluation both imply a fall in external value of a currency; however the term depreciation is used under the floating exchange rate system that is when the exchange rate system is determined by the combined market forces of demand and supply. A currency loses or gains value because of fluctuations in demand and supply.<br \/>\nThe term devaluation is used in system of fixed exchange rates. In this system, the exchange value of a currency is decided by the government. Devaluation of currency is the deliberate value of currency decided by the government. Devaluation of currency is the deliberate action of the government.<br \/>\nDepreciation and devaluation of a currency normally encourages exports from a country, as exports become cheaper for the foreign nationals and foreign currency can now buy more of domestic goods, i.e., the international competitiveness of the goods and services of such a nation gets better.<\/li>\n<li>When ex-ante Aggregate Demand is more than ex-ante Aggregate Supply, it means that households are planning to consume more than what the firms expect them to. This will lead to unintended fall in inventories. To restore the desired \/intended level of inventories, producers may expand production. As a result, there may be an increase in the level of output, employment and income in the economy.<\/li>\n<li style=\"clear: both;\"><span class=\"math-tex\">{tex}\\overline{c}{\/tex}<\/span>\u00a0= 200<br \/>\nMPC(b) = 0.75<br \/>\nI = 6,000<br \/>\nC =\u00a0<span class=\"math-tex\">{tex}\\overline{c}{\/tex}<\/span>\u00a0+ b(Y)<br \/>\nBut Y = C + I<br \/>\nY =\u00a0<span class=\"math-tex\">{tex}\\overline{c}{\/tex}<\/span>\u00a0+ b(Y) + 1<br \/>\nY = 200 + 0.75Y + 6000<br \/>\nY &#8211; 0.75 Y = 6200<br \/>\n0.25 Y = 6200<br \/>\nY\u00a0<span class=\"math-tex\">{tex}=\\frac{6200}{0.25}{\/tex}<\/span><br \/>\nY = Rs.24800<\/p>\n<p style=\"text-align: center;\"><b>OR <\/b><\/p>\n<p>GIVEN:<\/p>\n<ol>\n<li>National Income (Y) = Rs 1,000<\/li>\n<li>Investment Expenditure (I) = Rs 100<\/li>\n<li>Marginal Propensity to Consume\u00a0(MPC\/b) \u00a0=0.8<\/li>\n<\/ol>\n<p>An economy is in equilibrium,<br \/>\n<span class=\"math-tex\">{tex}\\therefore{\/tex}<\/span>Saving = Investment<br \/>\n<span class=\"math-tex\">{tex}\\because{\/tex}<\/span>Y = C +1<br \/>\nor\u00a0<span class=\"math-tex\">{tex}\\mathrm { Y } = \\overline { \\mathrm { C } } + \\mathrm { bY } + \\mathrm { I }{\/tex}<\/span>\u00a0&#8230;&#8230;. (i)<br \/>\n<span class=\"math-tex\">{tex}\\therefore{\/tex}<\/span>\u00a0<span class=\"math-tex\">{tex}\\mathrm { C } = \\overline { \\mathrm { C } } + \\mathrm { bY }{\/tex}<\/span><br \/>\nOn substituting the given variables in equation (i), we get<br \/>\n<span class=\"math-tex\">{tex}1,000 = \\overline { C } + 0.8 ( 1,000 ) + 100{\/tex}<\/span><br \/>\n<span class=\"math-tex\">{tex}1,000 = \\overline { C } + 800 + 100{\/tex}<\/span><br \/>\n<span class=\"math-tex\">{tex}\\overline { C } = Rs 100{\/tex}<\/span><br \/>\n<strong>Autonomous Consumption\u2019 = Rs. 100\u00a0in an\u00a0equilibrium economy.<\/strong><\/li>\n<li>Bank rate is the rate of interest at which central bank lends money to commercial banks. It relates to the instant loan requirement of the commercial banks. An increase in bank rate may force commercial banks to increase their lending rate. It will make borrowings costlier to the general public. This leads to discouraging people to borrow and will thus restrict money supply in the economy and accordingly inflation is corrected.<br \/>\nOn the other hand,\u00a0 when the bank rate is decreased, the market rate of interest is also decreased. Accordingly the cost of capital decreases. This increases the demand for credit and therefore, the supply of money tends to rise. Accordingly, deflation is corrected.<\/li>\n<li style=\"clear: both;\">(i)\u00a0\u00a0Treatment of\u00a0the following items while estimating the national income of India:\n<ol style=\"list-style-type: lower-alpha;\" start=\"1\">\n<li>It will not be included in national income because it is the non-factor payment as it is considered that the general government borrows only\u00a0for consumption purposes.<\/li>\n<li>Not included, because it is capital gain and has nothing to do with production.<\/li>\n<li>It will be included because it is the final consumption expenditure by the government.<\/li>\n<li>It is included in\u00a0the national income because it adds to the production of goods though it is used for self-consumption.<\/li>\n<\/ol>\n<p>(ii) Net Value Added at Market Price by Firm Y<br \/>\n= Sales + Change in stock (Closing Stock &#8211; Opening Stock) \u2013 Purchase of intermediate products \u2013 Consumption of fixed capital<br \/>\n= 300 thousand + (\u2013)\u00a0 10 thousand (200 thousand &#8211; 210 thousand) \u2013\u00a0 150 thousand \u2013 20 thousand<br \/>\n= 120 thousand Rupees.<\/p>\n<p style=\"text-align: center;\"><b>OR <\/b><\/p>\n<p>GDP<sub>fc<\/sub> = 920 crores<br \/>\nAs per income method<br \/>\nNDP<sub>fc<\/sub> = GDP<sub>fc<\/sub> &#8211; Dep<br \/>\nNDPfc = 920 &#8211; 170<br \/>\nNDP<sub>fc<\/sub> = 750 crores<br \/>\nNDP<sub>fc<\/sub> = compensation of employees + operating surplus + mixed income<br \/>\n750 = 375 + OS + 180<br \/>\nOperating surplus = 750 &#8211; 555<br \/>\n= \u20b9 195 crores<br \/>\nGDP<sub>mp<\/sub> = GDP<sub>fc<\/sub> + NIT<br \/>\n= 920 + 60<br \/>\nGDP<sub>mp<\/sub> = \u20b9 980 crores<br \/>\nAs per expenditure method,<br \/>\nGDP<sub>mp<\/sub> = private final consumption expenditure + Govt final consumption expenditure + Gross domestic fixed capital formation + change in stock + Net exports<br \/>\n980 = 470 + G + 140 + 140 &#8211; 50<br \/>\nG = 980 &#8211; 700<br \/>\nG = \u20b9 280 crores<br \/>\nGovernment final consumption expenditure = \u20b9 280 crores<\/p>\n<ol style=\"list-style-type: lower-roman;\" start=\"1\">\n<li>Investment in shares\u00a0is a capital expenditure because it creates asset of the government.<\/li>\n<li>Subsidies is a revenue expenditure because it neither creates any asset nor reduces any liability of the government.<\/li>\n<li>Construction of school building\u00a0is a capital expenditure because it creates asset of the government.<\/li>\n<li>Defence services expenditure is a revenue expenditure because it neither creates any asset nor reduces any liability of the government.<\/li>\n<li>Repayment of the principal amount of loan is a capital expenditure because it reduces liability of the government. But interest amount will be a revenue expenditure because it neither creates any asset nor reduces any liability of the government.<\/li>\n<li>Grants to state governments for creation of assets\u00a0is a revenue expenditure because it neither creates any asset nor reduces liability of the Central Government (since grants are given for creation of assets of state governments).<\/li>\n<\/ol>\n<\/li>\n<li style=\"clear: both;\">\n<p style=\"text-align: center;\"><b>OR <\/b><\/p>\n<ol style=\"list-style-type: lower-roman;\" start=\"1\">\n<li>Revenue Deficit<br \/>\n= Revenue Expenditure &#8211; Revenue Receipts<br \/>\n= 2,800 &#8211; 2,000 = \u20b9 800 crores<\/li>\n<li>Fiscal Deficit (Borrowings) = total expenditure- total receipts (other than borrowings)<br \/>\n= Revenue Expenditure + Capital Expenditure &#8211; Revenue Receipts &#8211; Recoveries of Loans<br \/>\n= 2,800 + 600 &#8211; 2,000 &#8211; 200<br \/>\n= 3,400 &#8211; 2,200 = \u20b9 1,200 crores<\/li>\n<li>Primary Deficit<br \/>\n= Fiscal Deficit &#8211; Interest Payment<br \/>\n= 1,200 &#8211; 1,000 = \u20b9 200 crores<\/li>\n<\/ol>\n<\/li>\n<li style=\"text-align: center; display: block;\"><b>SECTION B \u2013 INDIAN ECONOMIC DEVELOPMENT <\/b><\/li>\n<li>(c) Suez<br \/>\n<b>Explanation: <\/b> Suez<\/li>\n<li>(c) Liberty Indicator<br \/>\n<b>Explanation: <\/b> Liberty Indicator<\/li>\n<li>(c) PC Mahalanobis<br \/>\n<b>Explanation: <\/b> PC Mahalanobis<br \/>\nDownload the <a href=\"https:\/\/play.google.com\/store\/search?q=mycbseguide+app&amp;c=apps\"><strong>myCBSEguide App<\/strong><\/a> today to access <strong>comprehensive study materials<\/strong>, <strong>practice questions<\/strong>, and <strong>mock tests<\/strong> designed specifically for <strong>CBSE<\/strong>, <strong>NCERT<\/strong>, <strong>JEE (Main)<\/strong>, <strong>NEET-UG<\/strong>, and <strong>NDA exams<\/strong>. The app provides <strong>chapter-wise test papers<\/strong>, <strong>NCERT solutions<\/strong>, and <strong>sample papers<\/strong> to help students excel in their exams with ease. Download the <strong>Economics Sample Paper<\/strong> for <strong>CBSE Class 12<\/strong> to boost your exam preparation. This updated <strong>Economics Sample Paper<\/strong> includes both subjective and objective questions, aligning with the latest exam pattern. Access the <strong>Economics Sample Paper<\/strong> now on the <strong>myCBSEguide app<\/strong> for free and start practicing today!For teachers, the <a href=\"https:\/\/play.google.com\/store\/search?q=Examin8&amp;c=apps\"><strong>Examin8 App<\/strong><\/a> offers a unique solution to create <strong>customized exam papers<\/strong>, <strong>mock quizzes<\/strong>, and <strong>practice papers<\/strong> with personalized branding, making it perfect for classrooms and educational institutions.Take your exam preparation to the next level\u2014download the <strong>myCBSEguide app<\/strong> now or visit our <a href=\"https:\/\/mycbseguide.com\/\"><strong>myCBSEguide<\/strong><\/a> website and <strong><a href=\"https:\/\/examin8.com\/\">Examin8<\/a><\/strong> website to explore a range of study resources, sample papers, and more to ensure you\u2019re fully prepared for your exams!<\/li>\n<li>(b) KCC<br \/>\n<b>Explanation: <\/b> KCC stands for Kisan Credit Card scheme in which this card is issued to the farmers who otherwise eligible for short term credit.<\/li>\n<li>(a) Both A and R are true and R is the correct explanation of A.<br \/>\n<b>Explanation: <\/b> Both A and R are true and R is the correct explanation of A.<\/li>\n<li>(d) On-the-job<br \/>\n<b>Explanation: <\/b> On-the-job<\/li>\n<li>(b) 5th<br \/>\n<b>Explanation: <\/b> China today cut its GDP growth target to 6.5 per cent in 2017, a 25-year low, as the world&#8217;s second largest economy braced for further slowdown with Premier Li Keqiang warning of a far more complicated global picture in the year ahead.The\u00a0size\u00a0of a nation&#8217;s economy is commonly expressed as its\u00a0gross domestic product, or\u00a0GDP, which measures the value of the output of all goods and services<\/li>\n<li>(c) 0.08 hectare<br \/>\n<b>Explanation: <\/b> The per capita forest land in the country is only 0.08 hectare against the requirement of 0.47 hectare to meet basic needs, resulting in an excess felling of about 15 million cubic metre forests over the permissible limit.<\/li>\n<li>(c) Statement II is true, but statement I is false.<br \/>\n<b>Explanation: <\/b> Statement II is true, but statement I is false.<\/li>\n<li>(a) (I) and (II)<br \/>\n<b>Explanation: <\/b> (I) and (II)<\/li>\n<li style=\"clear: both;\">Sustainable development is the process of growth that fulfills the needs of the present generation without challenging the ability of future generations to fulfill their needs. Its advantages are:\n<ol style=\"list-style-type: lower-alpha;\" start=\"1\">\n<li>It protects natural resources by recycling waste materials like paper or plastic instead of disposing them in landfills.<\/li>\n<li>It ensures a better life for present and future generations.<\/li>\n<\/ol>\n<p style=\"text-align: center;\"><b>OR <\/b><\/p>\n<p>Harmful effects of using chemical fertilizers are:<\/p>\n<ol style=\"list-style-type: lower-alpha;\" start=\"1\">\n<li>Excessive use of fertilizers causes severe land degradation.<\/li>\n<li>Fertilizers flow in to the river and causes water pollution.<\/li>\n<\/ol>\n<\/li>\n<li>Yes, I agree. It is the real flow of goods and services which is considered important in estimation of national income and not money flow. Therefore, even if housewives are not paid for their services, they must be considered as workers. According to a non government survey, if we find the opportunity cost of services of a housewife, will be Rs. 12,000 on an average. It can be explained with the help of a funny story. A man fell in love with the maid of his house. They married each other. What will be the impact on national income? Answer is national income will decrease by the amount of maid&#8217;s salary. She still does all domestic chores but is not compensated for it anymore and the work which was productive before they married became unproductive after their marriage. It sounds senseless. Therefore, we must consider services of a housewife as productive as we consider of a paid employee. Calculation may be a problem but opportunity principle can be used.<\/li>\n<li>No, modernisation as a planning objective does not contradict employment generation. In fact, both modernisation and employment generation are positively correlated in the long-run. Modernisation refers to the use of new and modern technology in the production process. For example, a farmer can increase the output on the farm by using new seed varieties instead of using the old ones. Similarly, a factory can increase output by using a new type of machine. This does not cut down the employment generation opportunity rather this facilitate the manpower in their works. However, this may make some people lose their jobs in the initial stages, as machines take place of men.<br \/>\nBut gradually, the use of modern technology and input will raise productivity and consequently the income of the people, that will further raise the demand for goods and services. In order to fulfil this increased demand, more production output will be required and there will be more job opportunities, that will lead to higher employment in the economy. Even in the short-run, modernisation leads to the\u00a0creation of employment opportunities for skilled workers. If proper training and vocational education are provided, it will lead to better employment in terms of quality of work and earnings. The concept of modernisation is never contradictory to the employment generation activities, rather it has always worked towards changing the thinking of the people and society at large.<br \/>\nHence, both modernisation and employment generation are not contradictory but are complementary to each other.<\/li>\n<li style=\"clear: both;\">Yes. The agricultural sector was adversely affected by the reform process as public investment in agriculture sector especially in infrastructure had fallen. Further, the partial removal of fertiliser subsidy had led to increase in the cost of production, which had severely affected the small and marginal farmers.<br \/>\nMoreover, there had been a shift from production for the domestic market towards production for the export market focusing on cash crops putting pressure on prices of food grains.<\/p>\n<p style=\"text-align: center;\"><b>OR <\/b><\/p>\n<p>Two major tax reforms implemented under the New Economic Policy of 1991 in India were the\u00a0removal\u00a0of tariff on export and the reduction of\u00a0tax rates. The reduction of\u00a0tax rates aimed to incentivize investment, spur economic growth, and attract foreign investment by making the tax regime more competitive.<\/p>\n<ol style=\"list-style-type: lower-alpha;\" start=\"1\">\n<li>The given statement is correct. Human Capital Formation not only increases the productivity of available human resources but also stimulates innovation and creates ability to adopt new technologies. makes changes according to changes needed in the field of production.<br \/>\nInvestment in education creates ability to adopt newer technologies, facilitates invention and innovation since educated workforce generally adapts to modern technologies and innovation and reduces the labour turnover rate in the economy.<\/li>\n<li>Rapid expansion of the banking system had positive effect on rural farm and non farm output, income and employment. In spite of it, following problems have been faced in the rural banking such as-\n<ul style=\"list-style-type: disc;\">\n<li>The volume of rural credit in the country is still insufficient in comparison to its demand and institutional sources have failed to cover the entire rural farmers of the country.<\/li>\n<li>Less attention has been given on the credit requirements of needy (small and marginal farmers) and the problem of overdue in agricultural credit continues.<\/li>\n<\/ul>\n<\/li>\n<\/ol>\n<\/li>\n<li style=\"clear: both;\">To achieve the objective of rural development, following measures related to finance can be taken:\n<ol style=\"list-style-type: lower-roman;\" start=\"1\">\n<li>The supply of finance should be fully institutionalised and dependence on private sources for credit should be eliminated. Credit facilities should be extended to Indian farmers by the\u00a0commercial banks on easy terms.<\/li>\n<li>The general interest rate should be low. The banks should charge different rates for different uses. Cooperative credit societies in rural areas should be strengthened\u00a0and their working should be made more efficient.<\/li>\n<li>The basis of credit should not be the\u00a0mortgage of any security. Production or productivity of land should be the basis for the approval of loans.<\/li>\n<li>The conditions of repayment of loans should be different so as to suit different circumstances. An effective mechanism for the recovery of agricultural loans should be evolved at the earliest.<\/li>\n<li>It should be ensured that finance is used for production. Loans can also be given in the form of goods like seeds, fertilisers, etc.<\/li>\n<li>There should be adequately trained and devoted personnel to manage\u00a0financial institutions. The persons should have full knowledge of agriculture and interest of farmers.<\/li>\n<\/ol>\n<p style=\"text-align: center;\"><b>OR <\/b><\/p>\n<ol style=\"list-style-type: lower-alpha;\" start=\"1\">\n<li>Green Revolution refers to the large increase in production of food grain resulting from the use of high yield variety (HYV) seeds of food crops (like wheat and rice) and supportive technology during mid 1960s to mid 70s. Whereas,<br \/>\nGolden Revolution refers to the process where India has emerged as a leader in producing a variety of horticulture crops. golden revolution includes various types of fruits, vegetables and flowers. it is treated as agriculture diversification.<\/li>\n<li>Women constitute approximately half of Indian\u2019s total population, but they suffer from many disadvantages in health care. Traditionally, women health care had been on the back burner in India due to social considerations prevailing in the country. Gender ratio in the country is declining. The growing rate of female foeticide in the country is also a cause of concern. Most of the married women suffer from anaemia and nutritional anaemia leading to maternal deaths.<\/li>\n<\/ol>\n<\/li>\n<li style=\"clear: both;\">After the establishment of People\u2019s Republic of China under one party rule, all the critical sectors of the economy, enterprises and lands owned and operated by individuals were brought under government control.<br \/>\nCertain development strategies of China are discussed below:<\/p>\n<ul>\n<li>Great Leap Forward (GLF) This campaign initiated in 1958 aimed at industrialising the country on a massive scale. People were encouraged to set up industries in their backyards. In rural areas, communes were started. Under the commune system, people collectively cultivated lands.<\/li>\n<li>Great Proletarian Cultural Revolution (1966-76) In 1965, Mao Tse Tung started a cultural revolution on a large scale. In this revolution, students and professionals were sent to work and learn from the country side. Unlike GLF, the cultural revolution did not have an explicit economic rationale.<\/li>\n<li>1978 Reforms Since 1978, China began to introduce many reforms in phases. The reforms were initiated in agriculture, foreign trade and investment sector. In agriculture, lands were divided into small plots which were allocated to individual households. They were allowed to keep all income from the land after paying taxes.<br \/>\nIn later phase, reforms were initiated in industrial sector. All enterprises which were owned and operated by local collectives in particular, were allowed to produce goods.<\/li>\n<\/ul>\n<p style=\"text-align: center;\"><b>OR <\/b><\/p>\n<p><strong>Sectoral Share of Employment GYA and GDP (%) in 2018-2019<\/strong><\/p>\n<table style=\"width: 100%;\" border=\"1\" cellspacing=\"0\" cellpadding=\"3\">\n<tbody>\n<tr>\n<td colspan=\"1\" rowspan=\"2\"><strong>Sector<\/strong><\/td>\n<td style=\"text-align: center;\" colspan=\"3\" rowspan=\"1\"><strong>Contribution to GVA<\/strong><\/td>\n<\/tr>\n<tr>\n<td style=\"text-align: center;\"><strong>India<\/strong><\/td>\n<td style=\"text-align: center;\"><strong>China<\/strong><\/td>\n<td style=\"text-align: center;\"><strong>Pakistan<\/strong><\/td>\n<\/tr>\n<tr>\n<td style=\"text-align: center;\">Agriculture<\/td>\n<td style=\"text-align: center;\">16<\/td>\n<td style=\"text-align: center;\">7<\/td>\n<td style=\"text-align: center;\">24<\/td>\n<\/tr>\n<tr>\n<td style=\"text-align: center;\">Industry<\/td>\n<td style=\"text-align: center;\">30<\/td>\n<td style=\"text-align: center;\">41<\/td>\n<td style=\"text-align: center;\">19<\/td>\n<\/tr>\n<tr>\n<td style=\"text-align: center;\">Services<\/td>\n<td style=\"text-align: center;\">54<\/td>\n<td style=\"text-align: center;\">52<\/td>\n<td style=\"text-align: center;\">57<\/td>\n<\/tr>\n<tr>\n<td style=\"text-align: center;\"><strong>Total<\/strong><\/td>\n<td style=\"text-align: center;\"><strong>100<\/strong><\/td>\n<td style=\"text-align: center;\"><strong>100<\/strong><\/td>\n<td style=\"text-align: center;\"><strong>100<\/strong><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p><strong>Share of Agricultural Sector is as follows:<\/strong> In China, due to topographic and climatic conditions, the area suitable for cultivation is relatively small &#8211; only about 10 per cent of its total land area. The total cultivable area in China accounts for 40 per cent of the cultivable area in India. In 2018-19, its contribution to the GDP in China is 7 per cent. In India, the contribution of agriculture to GDP was 16%.<br \/>\n<strong>Share of Manufacturing and Service Sectors is as follows:<\/strong> In China, manufacturing and service sectors contribute the highest to GDP at 41 and 52%, respectively whereas in India, it is the service sector which contributes the highest by more than 54%\u00a0of GDP.<\/p>\n<p>Prepare smarter and faster for your exams with the <a href=\"https:\/\/play.google.com\/store\/search?q=mycbseguide+app&amp;c=apps\"><strong>myCBSEguide App<\/strong><\/a>. It provides <strong>complete study materials<\/strong>, including <strong>practice questions<\/strong>, <strong>mock tests<\/strong>, and <strong>sample papers<\/strong> for <strong>CBSE<\/strong>, <strong>NCERT<\/strong>, <strong>JEE (Main)<\/strong>, <strong>NEET-UG<\/strong>, and <strong>NDA exams<\/strong>. With resources like <strong>chapter-wise test papers<\/strong>, <strong>NCERT solutions<\/strong>, and <strong>detailed explanations<\/strong>, you can ensure thorough exam preparation. Download the latest <strong>Economics Sample Paper<\/strong> for <strong>CBSE Class 12<\/strong> to practice for your exams. This <strong>Economics Sample Paper<\/strong> is designed according to the updated exam pattern, featuring both subjective and objective questions. Get the <strong>Economics Sample Paper<\/strong> today on the <strong>myCBSEguide app<\/strong> for free and improve your exam preparation.<\/p>\n<p>For educators, the<a href=\"https:\/\/play.google.com\/store\/search?q=Examin8&amp;c=apps\"> <strong>Examin8 App<\/strong><\/a> is an excellent tool for creating <strong>customized exam papers<\/strong>, <strong>mock quizzes<\/strong>, and <strong>practice tests<\/strong>, all branded with your own name and logo. Whether you\u2019re a student or a teacher, these apps offer everything you need to excel in your exams.<\/p>\n<p>Start preparing today\u2014download the <strong>myCBSEguide app<\/strong> now or visit the <strong><a href=\"https:\/\/mycbseguide.com\/\">myCBSEguide<\/a> website and <a href=\"https:\/\/examin8.com\/\">Examin8<\/a> website<\/strong> for more study materials, sample papers, and exam preparation tools.<\/li>\n<\/ol>\n<ol start=\"18\">\n<li style=\"list-style-type: none;\"><\/li>\n<\/ol>\n<h2><span class=\"ez-toc-section\" id=\"Class_12_Sample_Papers_2025\"><\/span>Class 12 Sample Papers 2025<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<ul>\n<li><a href=\"https:\/\/mycbseguide.com\/course\/cbse-class-12-physics\/1251\/\"><strong>Physics<\/strong><\/a><\/li>\n<li><a href=\"https:\/\/mycbseguide.com\/course\/cbse-class-12-chemistry\/1267\/\" target=\"_blank\" rel=\"noopener\"><strong>Chemistry<\/strong><\/a><\/li>\n<li><a href=\"https:\/\/mycbseguide.com\/course\/cbse-class-12-mathematics\/1284\/\" target=\"_blank\" rel=\"noopener\"><strong>Mathematics<\/strong><\/a><\/li>\n<li><a href=\"https:\/\/mycbseguide.com\/course\/cbse-class-12-biology\/1298\/\" target=\"_blank\" rel=\"noopener\"><strong>Biology<\/strong><\/a><\/li>\n<li><a href=\"https:\/\/mycbseguide.com\/course\/cbse-class-12-english-core\/1855\/\" target=\"_blank\" rel=\"noopener\"><strong>English Core<\/strong><\/a><\/li>\n<li><a href=\"https:\/\/mycbseguide.com\/course\/cbse-class-12-business-studies\/1727\/\" target=\"_blank\" rel=\"noopener\"><strong>Business Studies<\/strong><\/a><\/li>\n<li><a href=\"https:\/\/mycbseguide.com\/course\/cbse-class-12-economics\/1327\/\" target=\"_blank\" rel=\"noopener\"><strong>Economics<\/strong><\/a><\/li>\n<li><a href=\"https:\/\/mycbseguide.com\/course\/cbse-class-12-accountancy\/1315\/\" target=\"_blank\" rel=\"noopener\"><strong>Accountancy<\/strong><\/a><\/li>\n<li><a href=\"https:\/\/mycbseguide.com\/course\/cbse-class-12-computer-science\/1851\/\" target=\"_blank\" rel=\"noopener\"><strong>Computer Science<\/strong><\/a><\/li>\n<li><a href=\"https:\/\/mycbseguide.com\/course\/cbse-class-12-informatics-practices\/1873\/\" target=\"_blank\" rel=\"noopener\"><strong>Informatics Practices<\/strong><\/a><\/li>\n<li><a href=\"https:\/\/mycbseguide.com\/course\/cbse-class-12-%E0%A4%B9%E0%A4%BF%E0%A4%82%E0%A4%A6%E0%A5%80-%E0%A4%95%E0%A5%8B%E0%A4%B0\/1865\/\" target=\"_blank\" rel=\"noopener\"><strong>Hindi Core<\/strong><\/a><\/li>\n<li><a href=\"https:\/\/mycbseguide.com\/course\/cbse-class-12-%E0%A4%B9%E0%A4%BF%E0%A4%82%E0%A4%A6%E0%A5%80-%E0%A4%90%E0%A4%9A%E0%A5%8D%E0%A4%9B%E0%A4%BF%E0%A4%95\/1867\/\" target=\"_blank\" rel=\"noopener\"><strong>Hindi Elective<\/strong><\/a><\/li>\n<li><a href=\"https:\/\/mycbseguide.com\/course\/cbse-class-12-history\/1869\/\" target=\"_blank\" rel=\"noopener\"><strong>History<\/strong><\/a><\/li>\n<li><a href=\"https:\/\/mycbseguide.com\/course\/cbse-class-12-political-science\/1879\/\" target=\"_blank\" rel=\"noopener\"><strong>Political Science<\/strong><\/a><\/li>\n<li><a href=\"https:\/\/mycbseguide.com\/course\/cbse-class-12-geography\/1863\/\" target=\"_blank\" rel=\"noopener\"><strong>Geography<\/strong><\/a><\/li>\n<li><a href=\"https:\/\/mycbseguide.com\/course\/cbse-class-12-home-science\/1871\/\" target=\"_blank\" rel=\"noopener\"><strong>Home Science<\/strong><\/a><\/li>\n<li><a href=\"https:\/\/mycbseguide.com\/course\/cbse-class-12-physical-education\/1877\/\" target=\"_blank\" rel=\"noopener\"><strong>Physical Education<\/strong><\/a><\/li>\n<li><a href=\"https:\/\/mycbseguide.com\/course\/cbse-class-12\/1250\/\" target=\"_blank\" rel=\"noopener\"><strong>Other Subjects<\/strong><\/a><\/li>\n<\/ul>\n<hr \/>\n<h3><span class=\"ez-toc-section\" id=\"Why_Choose_myCBSEguide_for_Your_Exam_Preparation\"><\/span><strong>Why Choose myCBSEguide for Your Exam Preparation?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><strong>myCBSEguide<\/strong> is the ultimate platform for <strong>CBSE students<\/strong> aiming to excel in their exams. Here\u2019s why:<\/p>\n<ol>\n<li><strong>Comprehensive Study Resources<\/strong>: We offer <strong>chapter-wise test papers<\/strong>, <strong>sample papers<\/strong>, <strong>NCERT solutions<\/strong>, and <strong>previous year question papers<\/strong> to help you prepare thoroughly for your exams.<\/li>\n<li><strong>Updated &amp; Accurate Content<\/strong>: Our resources are always up-to-date with the latest <strong>CBSE guidelines<\/strong> and <strong>exam patterns<\/strong>, ensuring that you are always prepared for any changes in the exam format.<\/li>\n<li><strong>Interactive Learning Tools<\/strong>: With <strong>online tests<\/strong>, <strong>practice questions<\/strong>, and <strong>study notes<\/strong>, <strong>myCBSEguide<\/strong> helps you master difficult topics in an engaging and efficient way.<\/li>\n<li><strong>Customizable &amp; Personalized Learning<\/strong>: Create your own <strong>study plan<\/strong> and track your progress with personalized tests, quizzes, and assignments that suit your learning pace.<\/li>\n<li><strong>Free Access to Resources<\/strong>: Download <strong>sample papers<\/strong>, <strong>revision notes<\/strong>, and more from the <a href=\"https:\/\/play.google.com\/store\/search?q=mycbseguide+app&amp;c=apps\"><strong>myCBSEguide app<\/strong><\/a> or <a href=\"https:\/\/mycbseguide.com\/\"><strong>myCBSEguide <\/strong> <strong>website<\/strong><\/a> at no cost. We offer high-quality materials to help you succeed without any extra expense.<\/li>\n<\/ol>\n<p>Choose <strong>myCBSEguide<\/strong> today and give your preparation the edge it needs for success in your <strong>CBSE exams<\/strong>. Start studying smarter, not harder!<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Class 12 Economics Sample Paper 2025 The CBSE Class 12 Economics Sample Paper 2025 is now available for free download on the myCBSEguide App and Student Dashboard. With the recent changes in the exam pattern, Economics Sample Paper 2025 will now feature both subjective and objective questions. These updates are designed to better assess students&#8217; &#8230; <a title=\"Class 12 Economics Sample Paper 2025\" class=\"read-more\" href=\"https:\/\/mycbseguide.com\/blog\/class-12-economics-sample-paper\/\" aria-label=\"More on Class 12 Economics Sample Paper 2025\">Read 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