Rajasthan Public Service Commission
Syllabus For Screening Test For Post of College Lecturer:
UNIT - I : Microeconomics
Characteristics of equilibrium and disequilibrium. Cobweb model. Theories of
demand - utility, indifference curve, income and substitution effects, Slutsky
theorem, ordinary and compensated demand curves, elasticity of demand. Theory of
consumer behaviour under risk and uncertainty. Economics of search and
information. Short run and long run production functions. Law of variable
proportions. Least cost combination. Elasticity of substitution . Euler's
theorem. Technical progress and production function. Cost curves. Determination
of price and output under different market structures. Factor pricing under
different market conditions . General equilibrium theory . Welfare economics -
Pareto optimality and new welfare economics. Theory of second best. Arrow's
UNIT - II : Macroeocnomics
National income - concepts and measurement, social accounting, input-output
accounting and green accounting . Consumption hypotheses - absolute, relative,
life-cycle and permanent income hypotheses. Marginal efficiency of capital and
investment. Multipliers and accelerator. Theories of demand for money -
Classical, Keynesian, Friedman, Baumol and Tobin. The components of money
supply. RBI approach to money supply. High powered money and money multiplier.
The IS-LM model . The relative effectiveness of monetary and fiscal policies.
Classical, Keynesian and Post- Keynesian theories of determination of income and
output. Philips curve. Mundell - Flaming model. New classical approach to macro
economics. Theories of trade cycle.
UNIT - III : Public Economics and International Economics
Distinction between private and public goods, merit and non-merit goods.
Kinds of budget - public budgets, zero-base budgeting, gender budgeting and
budget deficits. Public expenditure - Wagner's law of expenditure, Wiseman
-Peacock hypothesis. The effects of public expenditure on economy. Public
revenue - tax burden, incidence, impact and effects of taxation. Elasticity and
buoyancy of taxes. VAT and its implication in Rajasthan. Problem of double
taxation. Tax rate and Laffer curve. Public debt - sources, burden, effects and
its management. Centre-State financial relations and role of Finance Commission.
Theories of international trade - comparative cost, opportunity costs and modern
theories. Heckscher - Ohlin theory, Factor Price Equalization Theorem .
Rybczynski theorem . Stolper - Samuelson theorem. Terms of trade. Effects of
Tariff and Quota. Balance of payments. WTO and its implication for developed and
under developed countries.
UNIT - IV : Economic Growth and Development
Economic development and growth . Measurement of development - per capita
income , inequality of income, Human Development Index, PQLI and other
indicators. Development and growth models - Lewis and Ranis - Fei, Harrod-Domar,
Solow, Kaldor and Meade. Environment and development trade-off and concept of
sustainable development. Optimum use of exhaustible and inexhaustible resources.
The concept of externalities. Measures for environmental externalities -
Pigovian taxes and subsidies. Bargaining solution and collective action (Coase's
UNIT - V : Indian Economy and Quantitative Techniques
Problems of Indian economy - poverty, unemployment, regional disparities,
inequalities in distribution of income and wealth. Agricultural development and
policies. Industrial development and policies. Liberalization, Globalization,
Privatization and new economic policy and its impact. Role of MNCs in India.
Unconstrained and constrained optimization. The concept of Linear Programming,
Game Theory and Input-Output analysis. Probability - definition, theorems of
addition and multiplication, conditional probability, Bay's Theorem. Binomial,
Poisson and Normal distributions. Concept of sampling. Types of errors.
Hypothesis testing - use of Z, t, x2 & F tests.
Note :- Pattern of Question Paper
- Objective type paper
- Maximum Marks : 100
- Number of Questions : 100
- Duration of Paper : Two Hours
- All questions carry equal marks.
- There will be Negative Marking.