Fifth Edition Released on 16 INDIAN ECONOMY

1 Fifth Edition Released on 16th Feb 2021 INDIAN ECONOMY (GENERAL STUDIES CIVIL SERVICES EXAMINATION) In this age of information overload, this e-book presents the most precise as well as comprehensive, relevant and analytical content by VIVEK SINGH /VivekSingh_Economy Important Features of the Book Covers both prelims and mains section of GS Paper III (economic development) Includes static and conceptual part as well as fully updated current issues Lays emphasis on conceptual clarity, supported with diagrams, graphs, flowcharts and a lot of examples Thoroughly updated with economic data and schemes Includes previous year UPSC Prelims and Mains Questions with model answers Includes economic terms at the end of the book for easy reference UPSC (CSE) syllabus has been mapped with relevant chapters in the book Important keywords have been highlighted in bold Current updates have been highlighted in yellow This book is available in PDF form as well Includes Budget 2021-22, Economic Survey 2020-21 and 15th Finance Commission (2021-26)

2 The book covers State PCS exams and RBI, NABARD, SEBI syllabus also For all the latest ECONOMY related updates, you can join authors telegram channel: ECONOMY by Vivek Singh ( ) or you can mail at INDIAN ECONOMY USPC (CSE) SYLLABUS and mapping of Chapters Preliminary Exam Syllabus: Economic and Social Development-Sustainable Development, Poverty, Inclusion, Demographics, Social Sector Initiatives, etc. [Chapter 1, 2 and 4] Main Exam Syllabus: INDIAN ECONOMY and issues relating to planning, mobilization, of resources, growth, development and employment [Chapter 6 and 7] Inclusive growth and issues arising from it [Chapter 12] Government Budgeting [Chapter 4] Major crops-cropping patterns in various parts of the country, - different types of irrigation and irrigation systems storage, transport and marketing of agricultural produce and issues and related constraints; e-technology in the aid of farmers [Chapter 9 and 10] Issues related to direct and indirect farm subsidies and minimum support prices; Public Distribution System- objectives, functioning, limitations, revamping.

3 Issues of buffer stocks and food security; Technology missions; economics of animal-rearing [Chapter 8, 9 and 10] Food processing and related industries in India- scope and significance, location, upstream and downstream requirements, supply chain management [Chapter 11] Land reforms in India [Chapter 5] Effects of liberalization on the ECONOMY , changes in industrial policy and their effects on industrial growth [Chapter 6 and 7] Infrastructure: Energy, Ports, Roads, Airports, Railways etc. [Chapter 14] Investment models [Chapter 14] Contents 1. Fundamentals of Macro ECONOMY .. 1 1 Economic Organization (the three problems) .. 1 Economic Systems .. 2 Four Sectors of ECONOMY .. 3 Private Sector .. 4 Types of Goods.

4 5 Investment .. 6 Circular Flow .. 8 Gross Domestic 11 GDP Calculation Methodology by NSO .. 14 Macroeconomic Variables .. 14 Nominal and Real GDP .. 16 Productivity, Capital Output Ratio and ICOR .. 19 Potential GDP .. 20 Nominal, PPP and Real Exchange Rates .. 22 GDP and Welfare .. 25 World Bank & IMF Classification of Countries .. 26 Inflation 27 Previous Years Questions .. 29 2 Money and Banking- Part I .. 32 32 Functions of Money .. 33 Exchange Rate Systems .. 34 Securities .. 35 Government 39 Financial Markets .. 41 Types of Company .. 42 Accounts and Deposits .. 42 Money Supply .. 44 Money Circulation .. 46 Money Creation .. 49 Monetary Policy .. 51 RBI and its Functions .. 55 RBI s sources of Income and Economic Capital Framework.

5 66 INDIAN Financial System .. 67 National Strategy for Financial Inclusion (2019-24) .. 76 Base Rate, MCLR and External Benchmark Rate .. 77 BASEL Norms .. 80 Prompt Corrective Action (PCA) .. 83 Systemically Important Financial Institutions .. 84 Foreign Investment .. 84 Currency Swap and Forex Swap .. 89 Strategic Disinvestment .. 91 Balance of Payment (BoP) .. 93 Liquidity Trap .. 96 Inflation .. 97 Unemployment .. 99 phillips Curve .. 101 Previous Years Questions .. 101 3 Money and Banking - Part II .. 110 History of INDIAN Banking and Reforms .. 110 Consolidation of Public Sector Banks .. 114 Relationship between RBI and Government of India .. 115 Should large corporate be allowed to open their own banks? .. 117 Financial Stability and Development Council.

6 118 Development Financial Institutions (DFIs).. 118 Categorization of Loans .. 120 SARFAESI Act 2002 .. 121 NPA Crisis .. 122 RBI Circular (7th June 2019) on Resolution of NPAs .. 124 Insolvency and Bankruptcy Code 2016 .. 125 Fugitive Economic Offenders Act 129 Advance Pricing Agreement (APA) .. 130 4 Government Budgeting .. 132 132 Budget Procedure .. 133 Government Accounts .. 135 Budget Classification .. 136 Government Deficits .. 137 Fiscal Policy .. 139 Fiscal Responsibility and Budget Management (FRBM) Act 2003 .. 140 Perspectives on Deficit and Debt .. 142 Monetization of Deficit and Deficit Financing .. 148 Fiscal Council .. 149 India s Tax System .. 150 Goods and Services Tax (GST) .. 156 Direct Tax Reforms.

7 163 Funds Transfer from Centre to States/UTs .. 164 Planning Commission and NITI Aayog .. 168 Previous Years Questions .. 170 5 Land Reforms .. 174 Land Rights before Independence .. 174 Land Reforms 175 Land Acquisition Act 2013 .. 178 Social Impact Assessment .. 180 Model Agricultural Land Leasing Act 2016 .. 182 Land Pooling Policy .. 184 6 INDIAN ECONOMY [1947 1991] .. 185 INDIAN ECONOMY during the British Rule .. 185 Impact of British Rule on INDIAN ECONOMY .. 186 ECONOMY after Independence .. 188 Economic Situation after Nehru (1965 to 1991) .. 193 Structural bottlenecks prevailing in the period 1950-1991 .. 194 Economic Reforms of 1991 (LPG Reforms) .. 197 ECONOMY Jumped from Agriculture to Services .. 203 Five Year Plans.

8 205 Previous Years Questions .. 208 7 Industry .. 209 Index of Industrial Production and Core Industries .. 209 Manufacturing and Make in India .. 209 Smart Manufacturing: Industry .. 212 Micro Small and Medium Enterprises (MSME) .. 215 National Technical Textiles Mission .. 217 Production Linked Incentive Scheme (PLIS) .. 219 Start-ups and Policy Enablers for Innovation .. 219 National Policy for Skill Development and Entrepreneurship .. 220 Land banks .. 222 E-Commerce .. 222 FDI in Retail .. 223 FDI in Insurance .. 224 Aatma Nirbhar bharat .. 225 8 Subsidies .. 230 230 Different ways of disbursing/implementing subsidies .. 230 Price 231 Direct Benefit Transfer (DBT) .. 231 Income Support .. 232 Fuel Subsidies .. 233 Fertilizer Subsidies.

9 233 Food Subsidy .. 236 Food Corporation of India (FCI) .. 236 Public Distribution System (PDS) .. 238 National Food Security Act (NFSA) 2013 .. 239 Previous Years Questions .. 241 9 Agriculture - Part I .. 242 242 Agriculture in India: A brief history .. 244 Minimum Support Price (MSP).. 247 PM AASHA .. 249 PM KISAN .. 250 Agriculture Extension Services .. 251 Krishi Vigyan Kendras (KVK) .. 252 Farmers Producer Organization (FPO) .. 253 Marketing of Agricultural Produce .. 255 Agriculture Produce and Marketing Committee (APMC) Acts .. 255 Electronic - National Agriculture Market (e-NAM) .. 256 [Model] Agriculture Produce and Livestock Marketing Act 2017 . 258 Farmers Produce Trade and Commerce Act 2020 .. 259 Contract Farming.

10 260 [Model] Contract Farming Act 2018 .. 261 Contract Farming Act 2020 .. 262 Agriculture Based Clusters .. 263 Agriculture Infrastructure 264 Animal Husbandary Infrastructure Development Fund .. 265 Pradhan Mantri Fasal Bima Yojana (PMFBY) .. 266 Doubling Farmers Income .. 268 Agriculture Export Policy 2018 .. 269 A comparison of INDIAN Agriculture with China (2018-19) .. 272 Previous Years Questions .. 273 10 Agriculture - Part II .. 275 Irrigation in India .. 275 Farming System and Cropping Pattern in India .. 279 Animal Husbandry .. 281 National Livestock Mission .. 283 Mission for Integrated Development of Horticulture (MIDH) .. 284 National Bamboo Mission .. 284 Genetically Modified (GM) Crops .. 285 Organic Farming .. 287 Zero Budget Natural Farming (ZBNF).