THE TAMILNADU NATIONAL LAW SCHOOL, TIRUCHIRAPPALLI

SECOND YEAR IV SEMESTER

B.A., LL.B (HONS) DEGREE COURSE

INDIAN ECONOMY

OBJECTIVES
The objective of this paper is to study the application of the economic reasoning
with special reference to Indian agriculture, The idea of growth and development
and its measuring, Monetary policy, Fiscal Policy and International trade.

UNIT I: AGRICULTURAL SCENARIO

The place of agriculture in Indian economy -Traditional and Modern issues-
Institutional Characteristics of Indian Agriculture - Land Reforms productivity -
capital formation trade - pricing and procurement - The problem of Food security
- Public distribution system -Green Revolution -Poverty -Measurement of Poverty
in India.

Uccv NIT II:DEVELOPMENT AND NATIONAL INCOME ACCOUNTING

Economic Growth and Development - Causes for Indian Economic
Underdevelopment-Concept of National Income -Circular flow of income Methods
of calculating National Income-Value Added or Product method-Expenditure
method- Income method - Gross National Product (GNP)- Net National Product
(NNP)- Gross and Net Domestic Product (GDP and NDP) at Market Price-
Factor Cost- Limitations of National Income Estimation.

UNIT III: INFLATION AND UNEMPLOYMENT

Inflation Deflation - Meaning and types Effects of Inflation Measures to
Control Inflation - Monetary measures - Fiscal measures - Measuring inflation
CPI- WPI -Other indicators on Inflation-Related terms- Philips curve-Stagflation-
Headline inflation-Core inflation-Inflation taxation- Inflation premium-Inflation
spiral-Inflationary gap-Deflationary gap- Base effect-Reflation-Disinflation -Trade
cycle-Recession - Depression - Unemployment- Nature-causes- types-Measures to
control.

UNIT IV: MONETARY AND FISCAL POLICY IN INDIA

RBI- Role and Functions - Credit Control Methods -Scheduled banks Non
Scheduled banks -Cooperative banks- Regional rural banks-Local area banks -

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NBFCS - The threat of non performing assets - Concept and Types of Tax
Direct Tax and Indirect Tax-Canons of Taxation - Budgetary Procedure-Types of
Budget-Classification of Receipts -Classification of Expenditure - Various
Measures of government Deficit -their Meaning and Implications- India IMF and
the World Bank.

UNIT V: INTERNATIONAL TRADE

Balance of Payments - Balance of Trade - Disequilibrium in BOP Current account
and Capital account Foreign exchange-Exchange rate-depreciation- appreciation-
devaluation- revaluation Purchasing power parity Convertibility - Free Trade vs
Protection - Methods of Protection (Tariffs and Quotas)- Tariffs- Classification -
Impact - Non-tariff Barriers Quotas-Types and Impact-WTO organisational
functioning Agreements - Impact on various aspects of Indian Economy.

PRESCRIBED BOOKS

1.Dutt & Sundaram : Indian Economy (2016), Seventy second edition, S. Chand.

2.Ramesh Singh : Indian Economy (2016), Eighth edition, McGraw Hill Education.

3.Puri & Misra : Indian Economy (2016), Thirty fourth edition, Himalaya
Publishing House.

SUGGESTED READINGS

1.Paul Krugman, Maurice Obstfeld, Marc Melitz : International Economics :

Theory and policy (2014), Tenth edition, PEARSON.

2.Gregory Mankiw: Principles of Economics (2016), Seventh edition, Cengage.

3.Handbook of Agriculture (2011) : Indian Council of Agricultural Research, New Delhi.

4.Uma Kapila : Indian economy since independence (2017), Twenty seventh

edition, Academic Foundation.

5.Uma Kapila : Indian Economy: Performance and Policies (2017), Seventeenth

edition, Academic Foundation.

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6.Amartya Sen and Jean Dreze : Omnibus - Poverty and Famines, Hunger and
Public Action, India Economic Development (1998), Oxford University Press.

7.Kaushik Basu , Annemie Maertens(Edited by) - The New Oxford Companion To

Economics In India(2012), Oxford University Press.

8.Economic Survey of India (2015,2016,2017)