While Economics is whole research in itself, Macroeconomics is a branch of economics that studies the performance and condition of an economy. It also considers microeconomic factors that are essential while drafting economic policies and annual budgets.
Macroeconomics is a subject that constitutes about half of the Economics syllabus for Class 12. This section requires sufficient practice and a lot of hard work. Students who are preparing for their board exams should go for solved question-answers from top-quality solution books or PDFs. One of such books is Sandeep Garg Macroeconomics Solutions Class 12 which is the most preferable reference book. It is a book that is available for download and students can follow this one to score better marks.
In this study material, there are exactly 12 chapters. There is detailed information about various Macroeconomic concepts and mechanisms in these chapters. To make it more accessible to students, a free download option is always open for students for ease of access. This makes it possible for students to learn effectively by practicing exercise questions at all times. Let’s take a look inside the book and its chapters with a brief overview of how you can ace each chapter accordingly.
Chapter 1: Circular Flow of Income
The circular flow of income in an economy includes markets for goods and services, markets for factors of production as well as firms or suppliers. Every firm requires labor to produce certain products therefore they visit the market for factors of production. Most of them even hire labor from households and produce goods. And the process is concluded with the selling of goods through a channel of supply. Other topics include stock, money flow, etc. All these topics covered in the first chapter are the basic building blocks of a solid foundation in Macroeconomics.
Chapter 2: Basic Concepts of Macroeconomics
This chapter focuses on the fundamentals of Macroeconomics that are required to understand the brief process of gross investment. Following that, you get a brief on current transfers and gross investment. Capital goods and consumer goods are also explained in-depth. Also, various reasons are mentioned which cause asset depreciation. This is an important chapter for understanding the concept and retaining the logic behind the processes for a long time.
Chapter 3: National Income and Related Aggregate
It is the most crucial chapter in the Macroeconomics syllabus. National Income accounting is one of the most important topics of all time. Through this chapter, you will learn about some commonly used terminologies that are used as economic indicators for addressing the growth of a nation in brief. The topics include National Domestic Product (NDP), Gross National Product (GNP), Gross Domestic Product (GDP and Net National Income (NNP).
Chapter 4: Measurement of National Income
As the title of the chapter suggests, the chapter includes topics like Net value addition at market price, Gross Value addition as well as Value of Output.
Chapter 5: Money
This chapter can either be accessed on your own or take some help from tutors. It is an important chapter on barter exchange, characteristics of money, the supply of money, Demand Deposit Account (DDA), and bank money. All these topics are not only important from the exam point of view but also for knowledge of practical usage of the accounts.
Chapter 6: Commercial Banks and Central Bank
This is the topic that has significance in real life is the topic that holds the topmost priority rather than any other study material. This chapter involves some sensitive topics such as credit creation, functions of RBI, bank of issue, etc.
Chapter 7: Aggregate Demand and Related Concepts
In this chapter, the topics that have been discussed are Average Propensity to Consume, Marginal Propensity to Save (MPS), Marginal Propensity to Consume (MPC). These topics are the ones that need more attention than any other chapter in the later publication of the book.
Chapter 8: Income Determination and Multiplier
This chapter teaches you how to find multipliers using MPC and MPS. The rest is explained well with utmost focus on a deep understanding of the concept for the students of class 12.
Chapter 9: Excess Demand and Deficient Demand
This chapter is all about demand and its types affecting an economy in different ways. Other topics that are mentioned involve inflationary and deflationary gap, margin requirement, deficient demand, etc. These topics may seem to be common ones, but, the major focus has been intended on clearing even the slightest details of the topic.
Chapter 10: Government Budget and the Economy
The budget of an economy is formulated based on various factors and this chapter is the right one for exploring and identifying such factors. Some of the topics include Revenue Expenditure, Fiscal Deficit, Capital Expenditure, and so on. These topics are the core of any financial system which needs to be understood with dedication for future purposes as well,
Chapter 11: Foreign Exchange Rates
Countries usually exchange their currencies for trade and commerce purposes thereby contributing to their economic growth in some way or the other. This chapter deals with the functions of the FOREX market, spot exchange, and many more.
Chapter 12: Balance of Payments
This is the last chapter of the series where the Balance of Payment is done based on two accounts including the Current Account as well as Capital Account. These are the basics that every student must know before graduating from school to impart greater value to their learning. This chapter explains the trade deficit, the balance of trade, and so on.
Conclusion: It is much better to revise the topics while you practice other topics as well. These solutions will also help you with an idea of the kind of questions you might be asked in the exam. You can also download the PDF of Class 12 Solutions for easy access. It would increase your efficiency and comprehension ability and clear all your doubts well in advance.