ICSE Class 11 Syllabus for Economics

ICSE Class 11 Economics Syllabus Latest 2025-2026

The ICSE Class 11 Economics syllabus covers fundamental economic concepts, theories, and applications. It provides a comprehensive introduction to both microeconomics and macroeconomics, focusing on the principles that govern economic behavior and the functioning of economies. Here’s a detailed breakdown of the syllabus:

**1. Introduction to Economics

• Definition and Scope:
  • What is Economics? Definition and branches (Microeconomics and Macroeconomics).
  • Basic economic problems: Scarcity, choice, and opportunity cost.
• Economic Systems:
  • Types of economic systems (Capitalist, Socialist, Mixed Economy).
  • Characteristics and examples of different economic systems.

**2. Microeconomics

• Demand and Supply Analysis:

  • Law of Demand: Definition, determinants of demand, and demand curve.
  • Law of Supply: Definition, determinants of supply, and supply curve.
  • Market Equilibrium: Determination of equilibrium price and quantity, shifts in demand and supply curves.

• Elasticity:

  • Price Elasticity of Demand: Definition, types (elastic, inelastic, unitary), and factors affecting elasticity.
  • Price Elasticity of Supply: Definition, types, and factors affecting elasticity.
  • Income Elasticity: Definition and significance.
  • Cross Elasticity: Definition and significance.

• Consumer Behavior:

  • Utility: Concept of utility, marginal utility, and total utility.
  • Law of Diminishing Marginal Utility: Explanation and implications.
  • Consumer Equilibrium: Conditions for consumer equilibrium and derivation of demand curve.

• Production and Costs:

  • Production Function: Short-run and long-run production functions, law of variable proportions.
  • Costs of Production: Fixed, variable, total, average, and marginal costs.
  • Revenue Concepts: Total revenue, average revenue, and marginal revenue.

• Market Structures:

  • Perfect Competition: Characteristics, equilibrium in short run and long run.
  • Monopoly: Characteristics, price determination, and effects on consumer welfare.
  • Monopolistic Competition: Characteristics, short-run and long-run equilibrium.
  • Oligopoly: Characteristics and examples, and models (Kinked demand curve).

**3. Macroeconomics

• National Income Accounting:
  • Concepts of National Income: Gross Domestic Product (GDP), Gross National Product (GNP), Net National Product (NNP), and Net Domestic Product (NDP).
  • Measurement of National Income: Methods (production, income, and expenditure methods).
• Aggregate Demand and Aggregate Supply:
  • Aggregate Demand (AD): Components, determinants, and equilibrium.
  • Aggregate Supply (AS): Short-run and long-run AS, and factors affecting AS.
• Inflation:
  • Concepts: Definition, types of inflation (demand-pull, cost-push), and measurement.
  • Effects of Inflation: On different sectors of the economy and economic policies to control inflation.
• Unemployment:
  • Types of Unemployment: Frictional, structural, cyclical, and seasonal unemployment.
  • Measurement and Consequences: Effects of unemployment on the economy.
• Fiscal Policy:
  • Concepts: Definition, objectives, and tools (taxation and public expenditure).
  • Government Budget: Types of budgets (surplus, deficit, balanced) and implications.
• Monetary Policy:
  • Concepts: Definition, objectives, and tools (open market operations, reserve requirements, and interest rates).
  • Central Banking: Role of the central bank in managing monetary policy.
• Economic Development and Planning:
  • Economic Development vs. Economic Growth: Differences and indicators of development.
  • Planning: Objectives of economic planning and types of plans (Five-Year Plans in India).

**4. International Economics

• International Trade:
  • Benefits and Costs: Comparative advantage, terms of trade, and effects of trade.
  • Trade Policies: Free trade vs. protectionism, tariffs, quotas, and trade agreements.
• Balance of Payments:
  • Concepts: Components (current account, capital account, financial account), and equilibrium.
• Exchange Rates:
  • Concepts: Types of exchange rates (fixed, floating), determinants, and effects on trade and capital flows.

**5. Development Economics

• Economic Development:
  • Concepts: Definition, indicators (HDI, GDP per capita), and factors affecting development.
• Poverty and Inequality:
  • Concepts: Measurement of poverty, causes, and policies to reduce poverty and inequality.
• Sustainable Development:
  • Concepts: Principles of sustainable development, and challenges in achieving sustainable development.

**6. Practical Work

• Data Interpretation:
  • Economic Data: Interpretation of economic data, graphs, and charts.
• Project Work:
  • Research Projects: Conducting research on specific economic topics or issues.
• Case Studies:
  • Real-World Applications: Analysis of real-world economic problems and policies.

Notes

• Textbooks and Reference Materials: Use prescribed textbooks and additional reference materials as recommended by ICSE or your school.
• Updates: Always check with your school for the latest syllabus updates or specific topics.

This syllabus is designed to give students a foundational understanding of economic principles, theories, and applications, preparing them for further studies in economics and related fields