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CSS written syllabus
CSS Economics Syllabus
Economics is a 200-mark Group I optional subject in the CSS written exam, examined in two three-hour papers of 100 marks each. Below is FPSC's official syllabus, word for word: both papers, their sections, topics and suggested readings.
- Marks
- 200
- Papers
- 2
- Time
- 3 hours a paper
- Group
- Group I
- Subject code
- 12
Paper-I
100 marks- I.Micro Economics
- Consumer behaviour
- Determination of market demand and supply i.e. concept of elasticity of Demand & Supply
- Static
- Comparative Static Analysis
- Distinction between partial and general equilibrium analysis (basic level), theory of the Firm
- Producer’s equilibrium
- Pricing of the factors of production
- II.Macro Economics
- Basic Economic Concepts
- National Income Accounting
- Consumption Function
- Multiplier
- Accelerator
- Component of Aggregate Demand
- Labour Demand and Supply
- Un-Employment
- Determination of equilibrium level of income and output (at least with reference to two or three “schools of thought”)
- Inflation
- III.Money and Banking
- Functions of Money
- Quantity Theory of Money
- The Fisher and Cambridge Formulations
- Systems of note issue
- Credit Creation
- Functions of Central Banks
- Instruments of Credit Control
- Distinction between Goals
- Operational & Intermediate Target of Central Banks Policy
- Concept of Reserves
- Liquidity Premium
- Term Structure of Interest Rate, etc
- Transmission Mechanisms of Monetary Policy
- Theory of Liquidity Preference. TVM
- Capital Structure
- Capital Restructuring
- IS-LM Analysis and The role of Central Bank
- Money Demand and Supply
- IV.Public Financing
- Government expenditure
- Sources of Government Revenue
- Privatization
- Taxes and non-taxes
- Incidence of different taxes
- Public Debt
- Objectives, methods of repayment
- Deficit financing
- General Equilibrium Analysis
- Welfare Economics
- Fiscal Policy
- V.International Trade
- Theories of comparative advantage and Factor Endowments
- Trade & Growth
- Colonialism
- Imperialism and International Trade
- Trade Restrictions
- Economic Integration
- Trade Policy
- Balance of Payments
- Foreign Exchange
- International Monetary system
- Custom Unions
- VI.Economic Development
- Concepts of development
- Human development
- Historical growth process and Development
- Theories of development, structural issues of development
- Income distribution and poverty, sectoral (agricultural, Industry, trade and fiancé) issues and development, environment and development
Paper-II
100 marks(Economics of Pakistan)
- I.Definition and Measurement of Development:
- Characteristics of under development, rethinking on the concept of development: Growth vs. Redistributive justice
- Absolute and Relative Poverty
- Basic Needs Approach
- Sustainable Development
- Environmental Degradation & other Issues
- II.Planning Experience of Pakistan: A critical evaluation of the strategy of economic planning, governance & Institutions.
- III.Agricultural Development in Pakistan:
- Changes in Agricultural Policies over plan periods
- Major Monetary and Fiscal measures to promote Agricultural development
- Green Revolution Strategy and its implications for growth and redistribution
- Land Reforms and changes in the Tenure System 1950—1980
- Cooperative Farming
- Rural Development
- IV.Industrial Development in Pakistan:
- Early industrialization strategy
- Creation of Financial and Development Institutions
- Major monetary and fiscal measures to promote industrial development, changing role of public sector over the plan periods
- Evaluation of Nationalization Policy
- Concentration of industrial income and wealth
- Evaluation of Import Substitution Policy and Export led Growth Strategy in Pakistan
- V.Role of Foreign Trade and Aid in Economic Development :
- Trends in Pakistan’s Balance of Payments
- Terms of Trade
- Changes in direction of trade
- Trends in Pakistan’s major exports and imports
- Causes of significant changes in the trends, the role of migration and remittances in Pakistan’s economy, costs and benefits of Foreign Aid
- Role of Foreign Investment
- VI.Privatization, Denationalization, Deregulation: conceptual and operational aspects. International comparisons. Pakistan Experience of Privatization.
- VII.Interest Free Banking in Pakistan
- VIII.Energy Policy of Pakistan
- IX.Social Sector Development in Pakistan
- X.Major Issues in Pakistan Economy:
- Energy crisis
- Corruption
- Bad governance
- External debt accumulation and dependency
- Unemployment
- Income inequality
- Inflation
- Fiscal and trade deficits
- Balance of payment issues
- Shortage of irrigation water
Suggested readings
- 1.A Text-book of Economics TheoryStonier & Hague
- 2.Economic DevelopmentTodaro, M.P.
- 3.Under Development and Agrarian Structure in PakistanKhan, Mahmood Hassan
- 4.Economic of IslamAhmed, S.M.
- 5.EconomicsPaul A. Samuleson
- 6.Factors in Economic DevelopmentCairncross, A.K
- 7.Foreign Aid Theory and Practice in Southern AsiaWolf, Jr. DC
- 8.Government Finance—An Economic AnalysisDue John, F.
- 9.Introduction to International EconomicsSnider, D.A, Paul Krugman, Donimich Salvatore
- 10.MicroeconomicFerguson, C.E. & Gould, J.P., Nicholson, Mankiw
- 11.MacroeconomicsRudigar Dorubush and Stanley Fisher Blanchard
- 12.Population ProblemsTheompson & Lewis
- 13.Studies in Economic Development with Special Reference to PakistanGhouse, A.
- 14.History of International TradeFindlay, R and O’ Rourke, K
- 15.Colonialism and ModernizationKarl Marx Anchor books
- 16.On ColonialismKarl Marx and Frederick Engels,
- 17.Economic Survey of PakistanGovernment Publication
Past papers
FPSC's Economics papers from 2016 to 2026, as text. Open a year, or see them all.