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UNIT III - National income - measurement - difficulties - multiplier - Accelerator - Inflation - deflation - Trade cycle.

UNIT IV - Functions of money - Theories of money - Fisher and Friedman. Functions of commercial Bank and Central Bank - Monetary policy. Functions of money market - capital market.

UNIT V - Major fiscal functions - public expenditure - causes and growth - Revenue structure - sources - Incidence - and shifting process. Public debt - sources - techniques of repayment - Fiscal policy.

UNIT VI - International Trade - importance - balance of payments difficulties - measures - absolute cost and comparative cost theory - Free Trade vs protection policy - International Liquidity - SDR - IMF - IBRD.

UNIT VII - Economic thought of Adamsmith - Ricardo - Malthus - Karl Marx - keynes - Ghandhiji.

UNIT VIII - Economics of Development - features of Indian economy and Tamil nadu economy - obstacles of development economic and non-economic factors. Agriculture - Role and importance - low productivity - causes - measures - Green Revolution - Land Reforms - Development in India and Tamil nadu.

UNIT IX - Industry - Large scale and Small Scale Industries. Development in India and Tamil Nadu. Industrial policy - 1948,1956,1991 - Industrial disputes - measures.

UNIT X - National & State planning - 5 year plans - objectives and achievements - population policy Human Resouce Development - Empolyment schemes and poverty alleviation programme in India and Tamil Nadu - Rural Industrialisation - SIDCO - DIC - Industrial Estates - Role of Transport.