A dense revision sheet for Economic & Social Issues: formulas with worked checks, institutions and laws, committees, schemes with years, social sector facts, answer frames for common questions, a 14-day revision plan and a rapid self-test.
This is the sheet to open in the last three weeks before Phase 2. It is not a substitute for the topic guides; it is a compressed index of what those guides teach, arranged so you can test yourself quickly. Anything that changes from year to year (targets, rates, scheme amounts) is marked for checking. Read a section, close the page, and write what you remember. The gaps tell you which full guide to reopen.
1. Formulas you must be able to use
Concept
Formula
Quick check
GDP deflator
Nominal GDP ÷ real GDP × 100
Nominal 330, real 300 → deflator 110
Real growth (approx.)
Nominal growth − inflation (deflator)
11% nominal, 4% deflator → about 7% real
Real interest rate (approx.)
Nominal rate − expected inflation
Repo 6%, expected CPI 4% → real 2%
ICOR
Investment rate ÷ growth rate
30% ÷ 7.5% = 4
Doubling time (rule of 70)
70 ÷ growth rate
7% growth → about 10 years
Fiscal deficit
Total expenditure − (revenue receipts + non-debt capital receipts)
Equals the government's borrowing need
Revenue deficit
Revenue expenditure − revenue receipts
Borrowing to fund current spending
Primary deficit
Fiscal deficit − interest payments
FD 5, interest 3.5 → PD 1.5 (% of GDP)
Dependency ratio
(0–14 + 65+) ÷ (15–64) × 100
33 dependants, 67 working → 49.3
Headcount ratio
Poor ÷ population
3 of 5 → 60%
Poverty gap
Average shortfall below the line ÷ line (non-poor = 0)
Shortfalls 0.4, 0.2, 0.1 over 5 → 0.14
MPI
H × A
0.20 × 0.45 = 0.09
Gini
Area between equality line and Lorenz curve ÷ total area under equality line
0 = equality, 1 = total inequality
Unemployment rate
Unemployed ÷ labour force × 100
Not ÷ population
Current account balance
Goods + services + primary income + secondary income (remittances)
Deficit if imports of these exceed exports
2. Monetary framework
Flexible inflation targeting: RBI Act amended by the Finance Act, 2016. Target set by the government in consultation with the RBI: 4% CPI with a band of 2–6%, for 2016–21 and retained for 2021–26.
Failure: average inflation outside the band for three consecutive quarters → RBI reports to the government with reasons, remedial actions and a time frame.
MPC: six members, three from the RBI (including the Governor, who has a casting vote) and three appointed by the government. Meets at least four times a year.
Corridor: SDF (floor, since 2022) – repo – MSF (ceiling), each 25 basis points from the repo. Operating target: the weighted average call rate.
External benchmarks: new floating-rate retail and MSE loans linked to an external benchmark since 1 October 2019.
3. Fiscal and federal
Item
Remember
FRBM Act
2003; reviewed by the N.K. Singh committee (2017), which proposed a debt anchor
Finance Commission
Article 280; every five years; vertical and horizontal devolution; the 15th FC set states' share at 41%
16th Finance Commission
Covers 2026–31; check its accepted recommendations
GST
Launched 1 July 2017; 101st Amendment (2016); GST Council under Article 279A, chaired by the Union Finance Minister
A note on dates and numbers. Exam patterns, vacancies and schedules change from year to year. Always confirm the current details in the latest notification on the Reserve Bank of India website .
Get the next RBI Grade B guide by email
New guides every week. No spam, unsubscribe any time.
