Important Chapters in Agricultural Economics for IBPS AFO Exams

Introduction

A thorough understanding of Agricultural Economics is essential for candidates preparing for the IBPS Agriculture Field Officer (AFO) exam. C4S Courses recommends focusing on the important key chapters to enhance your preparation.

Agricultural Economics is a crucial subject in understanding farm production, financial institutions, market mechanisms, and government policies that impact the agricultural sector. With increasing focus on agricultural credit, price policies, market reforms, and trade agreements, a strong grasp of this subject is essential for IBPS AFO aspirants. Focus areas have been marked RED.

• Fundamentals of Agricultural Economics
  • Basic terms, Types of utility and economic approaches, law of diminishing marginal utility, law of Equi-marginal utility
• Demand and Supply Analysis
  • Demand:
    • Types of demand, law of demand, elasticity of demand; Supply: Law of supply, elasticity of supply.
• Agricultural Marketing & Price Policy
  • Market Classification and Market Structure; Consumer Surplus: Types
  • Price Determination: Role of MSP (Minimum Support Price), FRP (Fair and Remunerative Price); Market Reforms and Interventions: APMC, e-NAM, Agri-commodity futures
• National Income & Inflation
  • GDP, GNP, NNP, NDP, personal income, disposable income, Inflation: types, concepts.
• Farm management and Production economics
  • Minimum loss principle, opportunity cost principle, types of farming, farm planning, farm budgeting, risk and uncertainty, law of returns, Three stages of production function.
• Agricultural Finance & Credit Institutions
  • Credit Classification:
    • Types and sources of credit in agriculture, Crop loans, crop insurance.
• Role of Financial Institutions:
  • RBI, NABARD, Kisan Credit Card (KCC) and their impact on agricultural financing, Lead bank scheme, RRB
• Cooperation in Agriculture & Co-op Credit system
  • Principles of Cooperation and cooperative movement in India; Co-operative Credit Organizations and Rural Finance
• International Trade & Agreements:
  • GATT, WTO, AIA and their impact on Indian agriculture.

Weekly Test Schedule by C4S Courses

Mastering these fundamental chapters in Agricultural Economics will significantly enhance your ability to tackle related questions in the IBPS AFO exam. C4S Courses is committed to providing structured and detailed study materials, expert-led lectures, and practice tests to ensure you build a strong foundation in Agricultural Economics, thereby boosting your confidence and performance in the examination.