SCHEME OF STUDIES

FOR HSSC (CLASSES XI–XII)

COMPULSORY FOR ALL (500 marks)

1. English (Compulsory)/ English (Advance) 2 papers 200 marks

2. Urdu (Compulsory)/ Urdu Salees In lieu of Urdu 2 papers 200 marks

(Compulsory)/ Pakistan Culture for Foreign
Students Part – I and Pakistan Culture Paper-II

3. Islamic Education/Civics (for Non-Muslims) 1 paper 50 marks

4. Pakistan Studies 1 paper 50 marks

SCIENCE GROUP (600 marks)

The students will choose one of the following (A), (B) and (C) Groups carrying 600 marks:

(A) Pre-Medical Group:

Physics, Chemistry, Biology

(B) Pre-Engineering Group:

Physics, Chemistry, Mathematics

(C) Science General Group:

1. Physics, Mathematics, Statistics
2. Mathematics, Economics, Statistics
3. Economics, Mathematics, Computer Science
4. Physics, Mathematics, Computer Science
5. Mathematics, Statistics, Computer Science

HUMANITIES GROUP (600 marks)

Select three subjects of 200 marks each from the following:
S. No. Subject S. No. Subject
1. Arabic/Persian/French/English (Elective)/Urdu 10. Sindhi (Elective)
(Elective) 11. Civics
2. Economics 12. Education
3. Fine Arts 13. Geography
4. Philosophy 14. Sociology
5. Psychology 15. Mathematics
6. Statistics 16. Computer Science
7. History of Modern World/Islamic History/ 17. Islamic Culture
History of Muslim India/ History of Pakistan 18. Library Science
8. Islamic Studies 19. Outlines of Home
9. Health and Physical Education Economics

1
COMMERCE GROUP (600 marks)

HSSC – I
1. Principles of Accounting paper – I 100 marks
2. Principles of Economics paper – I 75 marks
3. Principles of Commerce paper – I 75 marks
4. Business Mathematics paper – I 50 marks

HSSC – II
1. Principles of Accounting paper – II 100 marks
2. Commercial Geography paper – II 75 marks
3. Computer Studies/Typing/Banking paper – II 75 marks
4. Statistics paper – II 50 marks

MEDICAL TECHNOLOGY GROUP (600 marks each)

1. Medical Lab Technology Group
2. Dental Hygiene Technology Group
3. Operation Theater Technology Group
4 Medical Imaging Technology Group
5. Physiotherapy Technology Group
6. Ophthalmic Technology Group

2
 AIMS AND OBJECTIVES OF EDUCATION POLICY
(1998 – 2010)

AIMS

Education is a powerful catalyzing agent which provides mental, physical, ideological

and moral training to individuals, so as to enable them to have full consciousness of their
mission, of their purpose in life and equip them to achieve that purpose. It is an instrument for
the spiritual development as well as the material fulfillment of human beings. Within the context
of Islamic perception, education is an instrument for developing the attitudes of individuals in
accordance with the values of righteousness to help build a sound Islamic society.

After independence in 1947 efforts were made to provide a definite direction to education
in Pakistan. Quaid-i-Azam Muhammad Ali Jinnah laid down a set of aims that provided
guidance to all educational endeavours in the country. This policy, too has sought inspiration and
guidance from those directions and the Constitution of Islamic Republic of Pakistan. The policy
cannot put it in a better way than the Quaid’s words:

“You know that the importance of Education and the right type of education, cannot be
overemphasized. Under foreign rule for over a century, sufficient attention has not been
paid to the education of our people and if we are to make real, speedy and substantial
progress, we must earnestly tackle this question and bring our people in consonance with
our history and culture, having regard for the modern conditions and vast developments
that have taken place all over the world.”

“There is no doubt that the future of our State will and must greatly depend upon the type
of education we give to our children, and the way in which we bring them up as future
citizens of Pakistan. Education does not merely mean academic education. There is
immediate and urgent need for giving scientific and technical education to our people in
order to build up our future economic life and to see that our people take to science,
commerce, trade and particularly well-planned industries. We should not forget, that we
have to compete with the world which is moving very fast towards growth and
development.”

“At the same time we have to build up the character of our future generation. We should
try, by sound education, to instill into them the highest sense of honour, integrity,

3
 responsibility and selfless service to the nation. We have to see that they are fully
qualified and equipped to play their part in various branches of national life in a manner
which will do honour to Pakistan.”

These desires of the Quaid have been reflected in the Constitution of the Islamic Republic
of Pakistan and relevant articles are:

The state shall endeavour, in respect of the Muslims of Pakistan:

a. to make the teachings of the Holy Quran and Islamiat compulsory and
encourage and facilitate the learning of Arabic language to secure correct and
exact printing and publishing of the Holy Quran;

b. to promote unity amongst them and the observance of Islamic moral

standards;

Provide basic necessities of life, such as food, clothing, housing, education and medical
relief for all such citizens irrespective of sex, caste, creed or race as are permanently or
temporarily unable to earn their livelihood on account of infirmity, sickness or
unemployment;

Remove illiteracy and provide free and compulsory secondary education within minimum
possible period.

Enable the people of different areas, through education, training, agricultural and
industrial development and other methods, to participate fully in all the forms of national
activities including employment in the service of Pakistan;

The State shall discourage parochial, racial, tribal, sectarian and provincial prejudices
among the citizens.

Reduce disparity in the income and earnings of individuals, including persons in various
classes of the service of Pakistan.

Steps shall be taken to ensure full participation of women in all the spheres of national
life.

4
 The vision is to transform Pakistani nation into an integrated, cohesive entity, that can
compete and stand up to the challenges of the 21 st Century. The Policy is formulated to realize
the vision of educationally well-developed, politically united, economically prosperous, morally
sound and spiritually elevated nation.

OBJECTIVES

To make the Qur’anic principles and Islamic practices as an integral part of curricula so
that the message of the Holy Quran could be disseminated in the process of education as well as
training. To educate and train the future generation of Pakistan as true practicing Muslims who
would be able to usher in the 21 st century and the next millennium with courage, confidence,
wisdom and tolerance.

To achieve universal primary education by using formal and informal techniques to

provide second opportunity to school drop-outs by establishing basic education community
schools all over the country.

To meet the basic learning needs of a child in terms of learning tools and contents.

To expand basic education qualitatively and quantitatively by providing the maximum

opportunities to every child of free access to education. The imbalances and disparities in the
system will be removed to enhance the access with the increased number of more middle and
secondary schools.

To ensure that all the boys and girls, desirous of entering secondary education, get their
basic right through the availability of the schools.

To lay emphasis on diversification of curricula so as to transform the system from

supply-oriented to demand oriented. To attract the educated youth to world-of-work from various
educational levels is one of the policy objectives so that they may become productive and useful
citizens and contribute positively as members of the society.

To make curriculum development a continuous process; and to make arrangements for

developing a uniform system of education.

To prepare the students for the world of work, as well as pursuit of professional and
specialized higher education.

5
 To increase the effectiveness of the system by institutionalizing in-service training of
teachers, teacher trainers and educational administrators. To upgrade the quality of pre-service
teacher training programmes by introducing parallel programmes of longer duration at post-
secondary and post-degree levels.

To develop a viable framework for policy, planning and development of teacher

education programmes, both in-service and pre-service.

To develop opportunities for technical and vocational education in the country for
producing trained manpower, commensurate with the needs of industry and economic
development goals.

To improve the quality of technical education so as to enhance the chances of

employment of Technical and Vocational Education (TVE) graduates by moving from a static,
supply-based system to a demand-driven system.

To popularize information technology among students of all ages and prepare them for
the next century. To emphasize different roles of computer as a learning tool in the classroom
learning about computers and learning to think and work with computers and to employ
information technology in planning and monitoring of educational programmes.

To encourage private sector to take a percentage of poor students for free education.

To institutionalize the process of monitoring and evaluation from the lowest to the
highest levels. To identify indicators for different components of policy, in terms of quality and
quantity and to adopt corrective measures during the process of implementation.

To achieve excellence in different fields of higher education by introducing new

disciplines/emerging sciences in the universities, and transform selected disciplines into centres
of advanced studies, research and extension.

To upgrade the quality of higher education by bringing teaching, learning and research
process in line with international standards.

6
 OBJECTIVES OF ECONOMICS SYLLABUS

1. To enable the students to become responsible and productive citizens.

2. To familiarize the students with the basic philosophy of Islamic Economics System
Zakat, Usher and Charity in poverty alleviation and income generation.
3. To highlight factors, which further the economics development of Pakistan thereby
ensuring better quality of life, greater employment opportunities and increased output.
4. To develop amongst the students a sense of responsibility, spirit of honesty, dignity of
labour and earning one’s living by fair means.
5. To enable the students to appreciate the difference between the various economics system
and comprehend the basic economic philosophy of Islam.
6. To inculcate among students the spirit of honesty, taking care of the dignity of labour,
and their civic responsibilities i.e. to earn their living by fair means which will ultimately
lead towards the society based on equity, positive attitude towards National cohesion and
State Integrity.
7. To inculcate in students the gratitude to Allah Almighty for His all blessings.

7
 OBJECTIVES, CONCEPTS, CONTENTS, ACTIVITIES AND
EVALUATION OF ECONOMICS SYLLABUS

PART-A
MACRO ECONOMICS

I. National Income

Objectives Concepts Contents Activities Evaluation

Cognitive: 1. National
1. G.N.P, N. 1. Get the 1. Perfect
To know the Income. N.P, GDP, statistical data personality about
basics of daily 2. When
National
saving is from the head of controlling
life (economics equal to Income. the family about budget, income
and social) investment 2. Methods spending of and expenditure
activities. 3. Flow
of computing
of money at of income.
Affective: National income. national income. different section. 2. Thought
To have good 4. Per
a. Product
capita 2. Any case provoking
attitude about the income. method. study should be personality.
concept of b. Income developed. 3. Creativity
national income. methods. should be
Psychomotor: c. Expenditure observed.
To compare methods.
different aspects d. Circular flow
of national diagram.
income. e. Concept of
equilibrium
MPC, MPS,
Y= C+S
Y = C+I
f. Income where
S=I

II. Money

Objectives Concepts Contents Activities Evaluation

Cognitive: 1. Barter system. 1. Barter system 1. Newspaper Question/
1. To have full 2. Money and its reading answer.
understanding 3. Value of difficulties. 2. Question- Practical use of
about money and money 2. Evolution of answer cards
its value. 4. Credit cards. money. session. presentation.
Affective: 3. Definition of 3. Collection of
1. To appreciate money. different
the system of 4. Functions of kinds of
money its money. money.
circulation and 5. Kinds of 4. Budgeting of
value. money. the fictitious
Psychomotor: 6. Instruments of group.
To use the money (credit 5. Different

8
money wisely. cards, ATM prices of the
Traveler commodities
Cheques). and their rise
7. Demand for in price
and supply of during a
money. specific time
8. Value of period.
money. 6. visit bank
9. Quantity and observe
theory of money the credit and
(fisher’s ATM work.
equation).

III. Banks

Objectives Concepts Contents Activities Evaluation

Cognitive: 1. Bank i. D 1. Visit 1. Write a
1. To know 2. Commercial efinition of Bank. Banks and watch critical report
how to handle Bank. ii. K the activities of about their visit
the Banking 3. Interest. inds and functions the Bank. of the Banks.
system of Banks 2. Interview 2. Through
Affective: iii. C with any Banker report of the
To appreciate ommercial Banks about function or students about
with the credit and their functions role of Banks. the functions of
instruments. with particular 3. One the Banks.
Psychomotor: reference to credit whole trip to any 3. Objective
To handle creation. Bank watch how type tests.
financial iv. D banks manage 4. Group
affairs efinition of interest. the system. discussions on
carefully. v. I various
To interpret nterest free functions of the
the interest in Banking in Banks etc.
daily Pakistan. 5. Question/
expenditure vi. C answers.
process. ase study of
Malaysia Kingdom
of Saudi Arabia.

IV. Public Finance

Objectives Concepts Contents Activities Evaluation

Cognitive: 1. Private 1. Public vs 1. De 1. Problem
1. To know finance Private velop a model, solving
about finance 2. Public finances. which shows individual.
private and finance 2. Public expenditure, and 2. Capable
public. 3. Tax revenue and earning of doing things
Affective: revenue tax culture. 2. Cla efficiently in the
1. To 4. Public i. Tax ssroom case of finance.
appreciate revenue in and non-Tax debate/discussion. 3. Not
financial affairs. Pakistan revenue. 3. Ma facing problems

9
2. To ii. Princi king tables and in Banking
express feelings pals of charts. system.
of custodian of taxation. 4. Gro 4. A good
money and iii. Kinds up discussion. or fair dealing
finance. of taxation. 5. Co with the system.
Psychomotor: a. Direct and nsulting.
To interpret indirect tax.
financial affairs b. Progressive
of public and and
private sector. proportional.
c. An analysis
of public
revenue in
Pakistan.

V. International Trade

Objectives Concepts Contents Activities Evaluation

Cognitive: 1. Foreign i. Differentiation
1. Collecting 1. Group
1. To trade. between domestic and data from discussion.
know about 2. Domestic foreign trade. different field 2. Debate in
international trade. ii. Advantages
and custody.
and the classroom
trade. 3. Balance disadvantages of 2. Observe about
2. To of payment. international trade. agenda of international
differentiate 4. Balance iii. Classical
different
theory of trade.
between of trade international trade. organization and 3. Objective/
balance of 5. Meaning iv. Balance
their role.
of trade vs essay type test.
trade and and improving role. Balance of payment. 3. Prepare a
balance of 6. Globalizat v. Globalization
file of
payment. ion. MNCs, TNCs, WTO. newspapers
Affective: cuttings.
To appreciate
foreign and
domestic
trade.
Psychomotor:
1. To do
problem
solving
questions.
2. To
exercise
managerial
skills.
3. To
control the
organization
in the best
form.

10
 PART-B
PAKISTAN ECONOMICS

VI. Introduction to Pakistan Economy

Objectives Concepts Contents Activities Evaluation

Cognitive: 1. Meaning 1. Agricultu 1. Classroom 1. Objective
To know the of economy of re Sector. discussion. and Essay type
Pakistan Pakistan. 2. Trade 2. Use of test.
Economy. 2. Compone and Industrial Projector in the 2. Quiz.
Affective: nts of Pakistan Sector. classroom. 3. Seminar
To appreciate economy 3. Involvem 3. Complete in the classroom.
different sectors ent of Stock the exercise given
of Pakistan exchange. at the end of
Economy. 4. Educatio chapter.
Psychomotor: n and Health
To take part in Sector.
economic
discussion
effectively.

VII. National Income of Pakistan

Objectives Concepts Contents Activities Evaluation

Cognitive: National Income 1. Its size 1. Classroom 1. Through
To know about GNP and sectoral discussion pocket money.
income. GDP contribution. (blackboard, 2. Question and
To familiar with NNP 2. Difficulti graphs). Answers.
per capita Product, Personal es in 2. Discussion 3. Speeches.
income. Income measurement. with parents/ 4. Discussions.
Affective: Disposable. 3. Causes of guardian about 5. Dramatization.
To appreciate Total Income. low per their income and
talking / capita its distribution.
discussing about income. 3. Circular flow
income. 4. Tax of National
Psychomotor: culture Income at class
To control level i.e., graphic
income presentation.
expenditures
nicely.

VIII. Economic Development and Planning

Objectives Concepts Contents Activities Evaluation

Cognitive: Economic 1. Concept of 1. Case study of 1. Home tasks
1. to know about Development economic the college/ and preparing
development and and Planning development. school affairs Home Budget.
planning 2. Problems of like cafeteria, 2. Question/
Affective: under canteen mess, Answer session

11
1. To discuss development. how they manage in the class.
different policies 3. Factors themselves. 3. Debate on
and strategies influencing 2. Budget of their economic
about Economic development. own and their Development
Development 4. Quality of life family. strategies.
and Planning (living standard) 3. To observe the 4. Intrview.
Psychomotor: with reference to college library
1. To Pakistan. that how they
discuss about 5. Planning in develop the
Economic Pakistan with catalogue etc.
development. reference to
2. To watch current five year
standard of living plan.
and observe 6. Importance and
quality of life. problems in
agricultural and
industrial sectors
of Pakistan and
their solution.
7. Development
of Industries.

IX. Communication and Human Resource Development

Objectives Concepts Contents Activities Evaluation

Cognitive: 1. Communic 1. Traditional 1. Data making 1. Questions /
To know the ation and its communication process. Answer
Migration of significance. system e.g. 2. National 2. Discussion.
labour 2. Mobility of roads, and consensus. 3. Interview
resources. labour population. transportation. 3. Classroom 4. Filling
Affective: 3. Unemploy 2. Dry ports, discussion. Questionnaires.
To realize the ment. seaports etc. 4. Watching 5. Writing notes.
problem of high 4. Population 3. Modern people around
rate of education. approaches: the city, their
Population. i. Computers working and
Psychomotor: and information cause of
1. Better Technology. unemployment.
use of ii. Motorway
environment. iii. Role of
2. Create communication
opportunities in Pakistan’s
for prosperity.
unemployment. 4. Factors
affecting
productivity of
labour.
5. Mobility of
labours its
factors.
6. Problems of

12
 high rate of
population
growth and need
of Population
Education.
7. Population
growth its
effects and
factors
Comparison
with LPCs an
MPCs.
8. Labour
force, its
problem, facts
and its remedies.
9. Problem of
unemployment
and under
employment.

X. Banking in Pakistan

Objectives Concepts Contents Activities Evaluation

Cognitive: Significance and a. Commercial Showing main Question/
1. To functions of Banks and their industrial areas Answers.
develop banks in Pakistan functions. on map and Debates.
awareness of b. Role of explaining Discussions.
industrial sector banking system details regarding Filling
among students. in economic Industrial Sector. questionnaires.
2. To development . Visit to central
develop interest c. State Bank Bank
of the student in of Pakistan its Showing charts
industrial sector. functions and reflecting
Affective: importance. performance
To appreciate d. Money State Bank of
role of money market capital Pakistan.
markets in the market. Discussions/
economy. e. E-Commerce interviews.
Psychomotor: f. Inflation,
To utilize the Definition and
available types causes.
banking Consequences
facilities. and remedies
with reference to
Pakistan

13
XI. Public Finance of Pakistan

Objectives Concepts Contents Activities Evaluation

Cognitive: 1. Public 1. Kinds of 1. Classroo Capable of
To know about Finance taxation in Pakistan m discussion. doing things or
finance, 2. Revenue 2. Sources of 2. Making solving
managerial by 3. Zakat revenue. charts and problem with
private and 4. Usher 3. Heads of tables. the help of
government 5. Charity. expenditure of 3. A model modern
sector. Federal and of Expenditure techniques and
Affective: Provincial and earning religious
To feel governments with techniques. thought.
Custodian of reference to latest 4. Consulta
money. budget. ncy with
Psychomotor: 4. Zakat, its teachers and
Spend money distribution. parents.
with the 5. Usher and 5. Collect
religious touch. charity as the Islamic
Control and instruments of view about
distribute money source of revenue Finance and
wisely. and Social Justice. Revenue
system.

XII. Foreign Trade of Pakistan

Objectives Concepts Contents Activities Evaluation

Cognitive: 1. Exports 1. Major 1. Agenda 1. Question/
1. To get 2. Imports exports of of different Answers.
awareness of 3. Regional Pakistan. organization 2. Brain
Export and Organization 2. Major position, global storming.
Import. 4. Internatio Imports of role and effects 3. Role
2. To know nal Pakistan upon Pakistan. playing.
how about trade Organization 3. Balance 2. Students 4. Discussions.
strategies. 5. Balance of payments should make a
Affective: of payment position of organization to
To appreciate 6. Foreign Pakistan. controlling the
exports and exchange 4. Regional trade system.
balance of rates. and international 3. Group
payments. organization discussion.
Psychomotor: their role 4. Data
1. To solve towards Pakistan collection.
problem. e.g ECO,
2. To SAARC, WTO.
control power/ 5. Foreign
authenticity exchange rates.

14
XIII. Economic System of Islam

Objectives Concepts Contents Activities Evaluation

Cognitive: 1. Islamic 1. Elaboration 1. Group Evaluate
To understand the Economic of basic discussions. through:
significance of System. characteristic and 2. Question 1. Home
the concept. 2. Differe instruments of answer assignments.
Affective: nt economic Islamic Economic techniques. 2. Debates
To behave in the system. System. 3. Seminar on
society according 2. Interest free in the classroom capitalism,
to the Islamic Banking. on the basic socialism
Economic values. 3. Equality. topics. and the
Psychomotor: 4. Justice 4. Dramatiz application
To apply Islamic (Social and ation. of Islamic
concepts in Economics). 5. Role Economic
productive life. 5. Goodness Playing. system.
and Ehsan. 3. Objectiv
6. Elimination e type tests.
of wealth 4. Essay
concentration and writing.
wasteful
consumption.
7. Austerity /
self contentment.
8. Implication
of ostentation and
Hoarding.
9. Comparison
between capitalism,
socialism and
Islamic System.

15
 TEACHING STRATEGIES

The curriculum aims to encourage skills like observation, curiosity, creativity,

questioning, application, etc. So the teaching methodology should be adopted in a way that it
promotes the higher order skills. To achieve the purpose the following steps in teaching learning
process should be kept in view:
 The teacher should plan their lesson keeping in view the objectives of the National
Curriculum.
 The active involvement of students is the key for successful delivery of the
curriculum. So the purposeful learning group for discussion and assignment should
be organized.
 The use of audio-visual aids should be organized properly. It should be the part and
parcel of classroom activities.
 The National Curriculum is activity oriented. It demands that the teachers should
consider the curriculum and other reference materials, keeping in view the
following teaching strategies:
1. Investigative approach.
2. Activity oriented approach.
3. Student centered approach.
4. Question/answer approach.
5. Group discussions.
6. Seminar.
7. Role Play.
8. Speeches/Debates.

16
 ASSESSMENT AND EVALUATION

Assessment, appraisal, or evaluation is a means of determining how far the objectives of

the curriculum have been realized. What really matters is the methodology employed for such
determination. As is now recognized, performance on the basis of content-oriented tests alone
does not provide an adequate measure of a student’s knowledge and ability to use information in
a purposeful or meaningful way; the implication, then, is that effective and rewarding techniques
should be developed for evaluating the kind and content of teaching and learning that is taking
place and for bringing about improvement in both. The following points, while developing the
tests/questions may be kept in view:

1. Proper care should be taken to prepare the objective-type and constructed-response

questions relating to knowledge, comprehension, application, analysis and synthesis,
keeping in view the specific instructional objectives of the syllabus and the command
words for the questions.

2. There should be at least two periodic/monthly tests in addition to routine class/tests.

Teachers are expected to develop and employ assessment strategies which are
dynamic in approach and diverse in design. When used in combination, they should
properly accommodate every aspect of a student’s learning.

3. In addition to the final public examination, two internal examinations should be

arranged during the academic year for each class.

4. Classroom examinations offer the best and most reliable evaluation of how well
students have mastered certain information and achieved the course objectives.
Teachers should adopt innovative teaching and assessment methodologies to prepare
the students for the revised pattern of examination. The model papers, instructional
objectives, definitions of cognitive levels and command words and other guidelines
included in this book must be kept in view during teaching and designing the test
items for internal examination.

17
 DEFINITION OF COGNITIVE LEVELS

Knowledge:

This requires knowing and remembering facts and figures, vocabulary and contexts, and the
ability to recall key ideas, concepts, trends, sequences, categories, etc. It can be taught and
evaluated through questions based on: who, when, where, what, list, define, describe, identify,
label, tabulate, quote, name, state, etc.

Understanding:

This requires understanding information, grasping meaning, interpreting facts, comparing,

contrasting, grouping, inferring causes/reasons, seeing patterns, organizing parts, making links,
summarizing, solving, identifying motives, finding evidence, etc. It can be taught and evaluated
through questions based on: why how, show, demonstrate, paraphrase, interpret, summarize,
explain, prove, identify the main idea/theme, predict, compare, differentiate, discuss, chart the
course/direction, report, solve, etc.

Application:

This requires using information or concepts in new situations, solving problems, organizing
information and ideas, using old ideas to create new one and generalizing from given facts,
analyzing relationships, relating knowledge from several areas, drawing conclusions, evaluating
worth, etc. It can be taught and evaluated through questions based on: distinguish, analyze, show
relationship, propose an alternative, prioritize, give reasons for, categorize, illustrate,
corroborate, compare and contrast, create, design, formulate, integrate, rearrange,
reconstruct/recreate, reorganize, predict consequences etc.

18
 DEFINITION OF COMMAND WORDS

The purpose of command words given below is to direct the attention of the teachers as
well as students to the specific tasks that students are expected to undertake in the course of their
subject studies. Same command words will be used in the examination questions to assess the
competence of the candidates through their responses. The definitions of command words have
also been given to facilitate the teachers in planning their lessons and classroom assessments.

Give an account of: Spell out a chronology and show in what ways the event or
circumstance to be accounted for derives from or is dependent on
earlier events.

Analyse: Go beyond the given information to relate and/or differentiate

aspects of a situation and draw conclusions on the basis of evidence
information.

Define: Provide a precise statement or meaning of words or terms to

describe their nature, properties or essential qualities.

Demonstrate: Show or prove by evidence and/or argument.

Describe: Explain in words and/or diagrams (where necessary) to demonstrate

knowledge of facts.

Discuss: Express views in a logical and lucid way considering all aspects of
a matter under discussion and draw conclusions.

Explain: Give a clear and detailed account of related information with

reasons or justification.

Give Examples/Statements: Cite specific instances or cases to demonstrate the

occurrence of an event or existence of a situation or phenomenon.

Identify: Pick out, recognizing specified information from a given content,

situation.

Illustrate: Give clear examples to state, clarify or synthesize a point of view.

Interpret: Clarify both the explicit meaning and the implications of given
information.

List/Name: Name item-by-item, usually in one or two words, precise

information such as dates, characteristics, places, names.

Locate: Determine the precise position or situation of an entity in a given

context, e.g. in a map.

19
Show: Indicate by writing, drawing or through graphs/charts.

State: Give a brief and factual answer with no explanation.

Suggest: Apply knowledge in a given situation to give a rational opinion.

Trace the developments of: Mention, list, name information/facts in a sequence.

20
 RECOMMENDED REFERENCE BOOKS

In contrast to the previous practice the examination will not be based on a single
textbook, but will now be curriculum based to support the examination reforms. Therefore, the
students and teachers are encouraged to widen their studies and teaching respectively to
competitive textbooks and other available material.

Following books are recommended for reference and supplementary reading:

1. Fundamentals of Economics
Written by: Habibullah Vaseer

2. Basic Economics
Written by: Abdul Haleem Khawaja

3. Micro Economics
Written by: Gregory Mankiew

4. Economics
Written by: Prof Muhammad Manzoor Ali Sheikh
Published by: Ilmi Kutab Khana, Urdu Bazar, Lahore

21
 Roll No:
Federal Board HSSC-II Examination
Answer Sheet No: ____________
Economics Model Question Paper
Signature of Candidate: ___________
Signature of Invigilator: ___________

SECTION – A
Time allowed: 20 minutes Marks: 20

Note: Section-A is compulsory and comprises pages 1-6. All parts of this section
are to be answered on the question paper itself. It should be completed in the
first 20 minutes and handed over to the Centre Superintendent.
Deleting/overwriting is not allowed. Do not use lead pencil.

Q.1 Insert the correct option i.e. A/B/C/D in the empty box opposite each
part. Each part carries one mark.

i. The increase in demand deposits in a country, during a specific

period may be taken as:

A. Increase in velocity of money

B. Increase in printing of currency
C. Increase in credit money
D. Increase in near money

ii. If an individual deposits Rs.100/- in a commercial bank, where

required reserve ratio is 20%, then bank can create credit worth:

A. Rs.500/-
B. Rs.200/-
C. Rs.800/-
D. Rs.600/-

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DO NOT WRITE ANYTHING HERE

iii. Where would the purchase of PTCL’s assets by a foreign

company be counted?

A. In current account
B. In capital account
C. In trade balance
D. In basic balance

iv. For promoting the consumption of CNG in the country how

should the sales of CNG be taxed?

A. At progressive rate
B. At regressive rate
C. At proportional rate
D. At subsidized rate

v. What type of economy is it where the Central Agency is directing

the allocation of resources and the consumers are free to make
their choices?

A. Free market economy

B. Communist economy
C. Mixed economy
D. Decentralized economy

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vi. A commercial bank purchased the shares of a company on the
request of Mr. Ali. What is this activity of the bank called?

A. Advisory function
B. Utility function
C. Agency function
D. Primary function

vii. Which of the following factors will limit the rate of development
in developing countries?

A. Balance of payment surpluses

B. High savings rates
C. Large inflow of foreign investment
D. Rapid population growth

viii. What is the payment of GST on the electricity bills by the

government on behalf of the customers an example of?

A. Transfer payment
B. Social security contribution
C. Subsidy
D. Gift and alms

ix. Ms Zobia works as a consultant, Ms Zahida works as a stock

broker, Mr Omer works as a labourer and Ms Naureen works
as a housewife. Whose service will not be included in
National income?

A. Ms Zobia
B. Ms Zahida
C. Mr Omer
D. Ms Naureen

x. Which one of the following is the most likely cause of cost push
inflation?

A. Budget deficit
B. Expansion of bank credit
C. Devaluation
D. Increase in wages

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 Page 3 of 6 Turn Over
xi. Over a period of one year the following developments took place
in an economy:
i. Nominal GNP and General Price level increases by 10%
ii. The population remained unchanged
Which of the following changes would occur?
A. Nominal GNP per head would rise, real GNP per head would
fall
B. Nominal GNP and real GNP per head would remain constant
C. Nominal GNP per head would remain constant, real GNP per
head would fall
D. Nominal GNP per head would rise; real GNP per head would
remain constant
xii. If a person purchases a pirated book from a book shop; what is it
a violation of?
A. Trade mark rules
B. Intellectual property right
C. SAARC agreement
D. ECO agreement
xiii. Which of the following the stock exchange does NOT deal in
sale and purchase of?
A. Shares
B. Debentures
C. Government Securities
D. T-Bills
xiv. With the introduction of IT real wages have increased from
Rs.100/- to Rs.125/-. What does it imply?
A. MPL increased by Rs.25/-
B. MPK increased by Rs.25/-
C. MPK decreased by Rs.25/-
D. MPL decreased by Rs.25/-
xv. Which of the following inhibits the concentration of wealth in
Islamic system?
A. Musharaka
B. Mudarbaha
C. Zakat
D. Elimination of Interest (Ribah)

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xvi. Value of a farmer’s total production in a certain year is
Rs.80,000/- and his saving is Rs.50,000/-. If the Nisab for Zakat
is Rs.10,000/-, what would payment of Zakat and Usher be?

A. Rs.9,000/-
B. Rs.10,000/-
C. Rs.11,000/-
D. Rs.12,000/-

xvii. Pakistan’s GNP during last 10 years increased at an average rate

of 7%, while per capita income grows at the rate of 3%. Which
of the following does it signify?

A. Economic development only

B. Economic growth only
C. Economic development and economic growth
D. Economic decay/slum

xviii. Which of the following factors may increase occupational

mobility of labour in Pakistan?

A. Transportation
B. Information technology
C. Regional and cultural harmony
D. Political instability

xix. Which of the following would the subsidy on fertilizers to the

farmers by the government result in?

A. The extensive use of agriculture land

B. Increase in the supply of agriculture yield
C. Promote efficient use of fertilizer
D. Reduce the demand for fertilizer

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xx. Which of the following would be true if the government
introduces a new currency note worth Rs.1/- which is
equivalent to old currency note Rs.50/-?

A. The real value of people saving would fall

B. Relative prices would remain unchanged
C. Prices in rupee would increase
D. Prices in rupee would remain unchanged

____________________

For Examiner’s use only

Q. No.1: Total Marks: 20

Marks Obtained:

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 Page 6 of 6

Federal Board HSSC-II Examination

Economics Model Question Paper

Time allowed: 2.40 hours Total Marks: 80

Note: Sections ‘B’ and ‘C’ comprise pages 1-3 and questions therein are to be
answered on the separately provided answer book. Answer all the questions
from section ‘B’ and section ‘C’. Use supplementary answer sheet i.e., sheet
B if required. Write your answers neatly and legibly.

SECTION – B
(50 marks)

Note: Attempt ALL the questions. The answer to each question should not
exceed 3 to 5 lines.

Q.2 Why would it be misleading to calculate national income by adding up

the values of the gross outputs of all the enterprises in the economy? (3)

Q.3 Why would we count the incomes derived form Pakistan’s investments
overseas as a part of Pakistan’s national income? (3)

Q.4 If the quantity of money is doubled from Rs.200/- to Rs.400/-, and

credit money from Rs.400/- to Rs.800/-, while velocity of circulation
for both cases remains same i.e. 2 & 4 respectively and output is 100;
discuss the effect on average price level and value of money. (4)
(OR)
Classical quantity theory of money implies that changes in the price
level were directly proportional to changes in the money supply. What
assumption does this theory make about T and V? What is the rationale
behind this assumption? (4)

28
Q.5 What are the two major advantages and disadvantages of holding money
as an asset? (4)

Page 1 of 3 Turn Over

Q.6 Nationalization of banks in Pakistan helped to have a strong concentration
into small members of very large banks each with many branches. This
may have helped them to achieve the economies of scale. How? (4)
(OR)
List any four major functions of State Bank of Pakistan. (4)

Q.7 Under what circumstances an increase in supply of money might have

no effect on the value of money? (4)
(OR)
What do you understand by the incidence of a tax? Where does the
incidence of an income tax fall? (4)

Q.8 Differentiate between a bill of exchange and a check. (3)

Q.9 Differentiate between devaluation and depreciation. (3)

Q.10 Explain the concept of value added tax. (3)

Q.11 Draw a flow diagram to highlight vicious circle of poverty? (3)

Q.12 Differentiate between BOP and BOT. (3)

(OR)
Discuss three major causes of deficit in BOP of Pakistan. (3)

Q.13 Write three major advantages of WTO with reference to Pakistan. (3)
(OR)
Write three advantages of MNCs in Power sector of Pakistan. (3)

Q.14 The proportion of indirect tax in the total tax collection of Pakistan is
very low as compared to the developed countries. Why? (3)

Q.15 Differentiate between unemployment and under employment. (4)

(OR)
It is usually stated that there is disguised unemployment in agriculture
sector of Pakistan. How come? (4)

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Q.16 According to Kernesian analysis why can’t income be less/greater than
OY, in the following graph? (3)
S
Saving
& investment
E
I

Y2 Y Y1 Y
O National Income

SECTION – C
(Marks: 30)

Note: Attempt ALL the questions.

Q.17 According to the well known economist, J M Keynes, “national income

of a country is determined by the equilibrium between aggregate income
and aggregate expenditures”. Explain this statement with the help of a
diagram. (10)

Q.18 Why is the standard of living in Pakistan very low? Suggest measures to
elevate it. (10)

Q.19 Give arguments in favour of protection and free trade. (10)

(OR)
Explain the fixed and floating exchange rate regimes with the help of
diagrams. (10)

____________________

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