CBSE Class 12 Economics Question Paper 2020 Set 58-5-3

Series : HMJ/5 SET – 3
 .
Code No. 58/5/3
 .    -  -
Roll No.    
Candidates must write the Code on
the title page of the answer-book.

 NOTE
(I)       -   (I) Please check that this question
 15   paper contains 15 printed pages.
(II) -          (II) Code number given on the right
  -  -    hand side of the question paper
should be written on the title page
of the answer-book by the
candidate.
(III)      -  34  (III) Please check that this question
  paper contains 34 questions.
(IV)         (IV) Please write down the Serial
,       Number of the question in the
answer-book before attempting
it.
(V)  -     15   (V) 15 minute time has been allotted
     -    to read this question paper. The
question paper will be distributed
 10.15     10.15  
at 10.15 a.m. From 10.15 a.m. to
10.30     -   10.30 a.m., the students will read
      -  the question paper only and will
     not write any answer on the
answer-book during this period.

 ()
ECONOMICS (Theory)
  : 3    : 80
Time allowed : 3 hours Maximum Marks : 80

.58/5/3. 326C 1 P.T.O.

  :
           
(i) -     –         
(ii)   1  10  18  27         1    
         
(iii)   11 – 12  28 – 29         3    
   60  80    
(iv)   13  15  30  32          4  
     80  100    
(v)   16 – 17  33 – 34         6    
   100  150    
(vi)                
 
(vii) -       , -     , - 
   , -       -      
               
(viii)  , ,            

 – 
( )
1.          _______      
(       ) 1

2.  ,        
“- (inventory)     ” 1

3.          ,   ______
(     )
()         
()         
()        
()         1
.58/5/3. 2

General Instructions :
Read the following instructions very carefully and strictly follow them :
(i) Question paper comprises two Sections – A and B. All questions are
compulsory.
(ii) Question number 1 – 10 and 18 – 27 are very short-answer questions
carrying 1 mark each. They are required to be answered in one word or
one sentence each.
(iii) Question number 11 – 12 and 28 – 29 are short-answer questions
carrying 3 marks each. Answers to them should not normally exceed
60 – 80 words each.
(iv) Question number 13 – 15 and 30 – 32 are also short-answer questions
carrying 4 marks each. Answers to them should not normally exceed
80 – 100 words each.
(v) Question number 16 – 17 and 33 – 34 are long answer questions
carrying 6 marks each. Answers to them should not normally exceed
100 – 150 words each.
(vi) Answer should be brief and to the point also the above word limit be
adhered to as far as possible.
(vii) There is no overall choice. However, an internal choice has been
provided in 2 questions of one mark, 2 questions of three marks,
2 questions of four marks and 2 questions of six marks. Only one of
the choices in such questions have to be attempted.
(viii) In addition to this, separate instructions are given with each section
and question, wherever necessary.

SECTION – A
(Macro-economics)
1. _______ deficit includes interest payment by the Government on the past
loans. (Fill up the blanks with correct answer). 1

2. State, whether the following statement is true or false :
‘Inventory is a stock variable.’ 1

3. To reduce credit availability in the economy, the Central Bank may ______.
(Choose the correct alternative)
(a) buy securities in the open market.
(b) sell securities in the open market.
(c) reduce reserve ratio.
(d) reduce repo rate. 1
.58/5/3. 3 P.T.O.

4.              ? (    )
()         
()         
()          
()          1

5.      ‘ ’   ? (    )
()     
()    
()       
()      1

6.  ,        
“                ” 1

7.     (MPS) 0.25      ` 250  ,   
  ________   (    )
() ` 1,000  () ` 1,200 
() ` 500  () ` 3,500  1

8.   ,             ________
   (       ) 1

9. ‘ ’     1

10.  +  +  = _______.
(        ) 1

     (GDP) ` 850      170 ,  
   (GDP) ________   (       ) 1

.58/5/3. 4

4. In case of an underemployment equilibrium, which of the following
alternative is not true ? (Choose the correct alternative)
(a) Aggregate demand is equal to Aggregate supply.
(b) There exist excess production capacity in the economy.
(c) Resources are not fully and efficiently utilised.
(d) Resources are fully and efficiently utilised. 1

5. Which of the following is not a ‘factor payment’ ?
(Choose the correct alternative)
(a) Free uniform to defence personnel.
(b) Salaries to the Members of Parliament.
(c) Rent paid to the owner of a building.
(d) Scholarship given to the students. 1

6. State, whether the following statement is true or false :
‘Margin requirement is raised by the Central Bank to increase money
supply.’ 1

7. If Marginal Propensity to Save (MPS) is 0.25 and initial change in
investment is ` 250 crores, then the final change in income would be
______. (Choose the correct alternative)
(a) ` 1,000 crores (b) ` 1,200 crores
(c) ` 500 crores (d) ` 3,500 crores 1

8. Combined factor income, which can’t be separated into various factor
income components is known as ________.
(Fill up the blanks with correct answer). 1

9. Define the term ‘Public Goods’. 1

10. Rent + Interest + Profit = _______.
(Fill up the blank with correct answer.) 1
OR
When Nominal Gross Domestic Product (GDP) is ` 850 crores and Price
Index is 170, Real Gross Domestic Product (GDP) will be ______.
(Fill up the blank with correct answer) 1
.58/5/3. 5 P.T.O.

11. ‘    ,        ’    
        3

 -           3

12.          
. .   (`  )
(i)  700
(ii)    3,000
(iii)    500
(iv)    700
(v)     10 3

13.     ‘KT’      ?        
     

4
    
      ?        
       4

 ,      ‘  ’      ? 4

14. “            ”     
      4

.58/5/3. 6

11. ‘Subsidies to the producers, should be treated as transfer payments.’
Defend or refute the given statement with valid reason. 3
OR
Explain Circular Flow of Income in a two sector economy. 3

12. Calculate Net Domestic Product at factor cost.
Particulars (` in
crores)
(i) Interest 700
(ii) Compensation of Employees 3,000
(iii) Net Indirect Taxes 500
(iv) Rent and Profit 700
(v) Transfer Payments by Government 10 3

13. In the given figure, what does the gap ‘KT’ represent ? State any two fiscal
measures to correct the situation.

4
FOR BLIND CANDIDATES
What is meant by deflationary gap ? State any two fiscal measures to
correct the situation of deflationary gap. 4
OR
Explain, how the ‘Reverse Repo Rate’ helps in correcting Excess Demand
in an economy. 4

14. ‘Taxation is an effective tool to reduce the inequalities of income.’
Justify the given statement with valid reasons. 4

.58/5/3. 7 P.T.O.

15. ‘    
 ’           4

16.            
(i)   = ` 100 
(ii) C = 50 + 0.50Y
()   
       2

()   
           2

()         2


          
()            3

()    (Ex-Ante Savings)      (Ex-Ante
Investment)    3

17. () ‘  ($)               3

()           3

 – 
(   )

18.      ‘GLF’   ________   (    )

() Giant Leap Forward () Great Lead Forum
() Great Leap Forward () Giant Lead Forum 1

19.  ,        
“GATT    1923  48       ” 1

.58/5/3. 8

15. Explain the function of Central Bank as ‘Banker’s Bank and Supervisor’. 4

16. Answer the following questions based on the data given below :
(i) Planned Investments = ` 100 crore.
(ii) C = 50 + 0.50 Y
(a) Determine the equilibrium level of income. 2
(b) Calculate the value of Savings at equilibrium level of National Income. 2
(c) Calculate the value of Investment Multiplier. 2
OR
Discuss the working of the adjustment mechanism in the following
situations :
(a) If Aggregate demand is greater than Aggregate supply. 3
(b) If Ex-Ante Investments are less than Ex-Ante Savings. 3

17. (a) Explain the relationship between fall in price of a US Dollar ($) and
its demand. 3
(b) Distinguish between Autonomous items and Accommodating items. 3

SECTION – B
(Indian Economic Development)

18. ‘GLF’ with respect to the People’s Republic of China referred to as ______.
(Choose the correct alternative).
(a) Giant Leap Forward (b) Great Lead Forum
(c) Great Leap Forward (d) Giant Lead Forum 1

19. State whether the following statement is true or false :
“GATT was established in 1923 with 48 member countries.” 1

.58/5/3. 9 P.T.O.

20.        1991          ?
(     )
()  () 
()  ()  1

21. ‘ ’     ______      
(       ) 1

22.                  ?
(    )
()     ()    
()     ()     1

23.    ______ (/)     (        ) 1

24.           ________   
(        ) 1

25.  ,        
“2018        180    ” 1

26.                  ,  
   ______ (/)       
(       ) 1

27. ______ (/)               
    (          ) 1

.58/5/3. 10

20. Which of the following countries initiated its process of Economic Reforms
in the year 1991 ? (Choose the correct alternative)
(a) Pakistan (b) India
(c) Russia (d) China 1

21. Policy of ‘Import Substitution’ was targeted to protect ______ industries.
(Fill up the blank with correct answer) 1

22. Which of the following is not used as a strategy for Sustainable
Development ? (Choose the correct alternative)
(a) Use of bio-gas (b) Use of solar power
(c) Use of thermal power (d) Use of hydel power 1

23. Maternal Mortality Rate is high in ________ (China/Pakistan).
(Fill up the blank with correct alternative) 1

24. ______ is one of the main positive contribution made by the British in
India. (Fill up the blank with correct answer) 1

25. State, whether the following statement is true or false :
“As per the Human Development Report, 2018, India was ranked at 180 th
position.” 1

26. If a construction site Manager hires two workers on daily wages basis,
such a situation is covered under ______ (formal/informal) sector.
(Fill up the blank with correct alternative) 1

27. Greater proportion of women workers are found in ______ (urban/rural)
areas as a component of Indian work force.
(Choose the correct alternative) 1

.58/5/3. 11 P.T.O.

28.                
      (  )
(2015)

 1.2% 929

 0.5% 941

     , 2015 3

29.   ‘  ’        3



              3

30. “               ”
      4



“                 4

31.                4

32.                4



        ‘    ’     
     4

.58/5/3. 12

28. Compare and analyse the given data of India & China, with valid reasons.

Country Annual Growth rate Gender Ratio (Per
of population (2015) thousand males)

India 1.2% 929

China 0.5% 941

Source : World Development Indicators, 2015. 3

29. Discuss briefly the concept of ‘Informalisation of workforce’ in India. 3

OR

State any three challenges facing rural development in India. 3

30. “Modernisation as a planning objective shows a dichotomy with
employment generation.” Justify the statement. 4

OR

State the two-fold motive for the systematic destabilisation of indigenous
Indian industries in the British era. 4

31. State and discuss any two problems faced by power sector in India. 4

32. Discuss briefly any two salient features of India’s pre-independence
occupational structure. 4

OR

Discuss briefly, the rationale behind “equity with growth” as planning
objectives for Indian Economy. 4

.58/5/3. 13 P.T.O.

33. () ‘ ’  ‘ ’     
()               ?   2, 4

34.               
  6


() ‘          ’    -
                  
() “                 
 GDP  6%    ”
           3, 3

___________

.58/5/3. 14

33. (a) Distinguish between ‘Green Revolution’ & ‘Golden Revolution’.
(b) How has women’s health become a matter of great concern in India ?
Explain. 2, 4

34. Critically examine the results of Poverty Alleviation Programmes
implemented in India since Independence. 6
OR
(a) “Ujjawala Yojana has been a game changer for rural India.” State
any three conventional fuels being targeted under the Ujjawala
Yojana.
(b) “Economists believe that India should spend atleast 6% of its GDP on
Education for achieving desired results.”
Justify the statement with valid reasons. 3, 3
___________

.58/5/3. 15 P.T.O.

.58/5/3. 16