Principals of Economics

Unit 1

Introduction to Economics and Managerial Economics:

Definition, Nature and Scope of Economics, Limitation of Economics, Fundamental Problems of Economic System, Micro and Macro Economics, Role and relevance of Economics in Decision Making, Utility theories and analysis: Marginal Theory of utilities and Equi-Marginal theory of utility.

(8 Hrs.)

Unit 2

Understanding Demand and Supply Analysis:

Meaning, Types of Demand, Determinants of Demand, Demand Functions, Law of Demand, Demand Curve and Nature of Curves, Elasticity of Demand Indifference curves analysis, Consumer Equilibrium & Consumer Surplus, Price, Income and substitution effect, Law of Supply, Supply Curve, Elasticity of Supply (8Hrs.)

Unit 3

Production Function:

Meaning, Types, Analysis, Factors, Fixed and Variable Factors, Law of Variable Proportion, Law of Returns to a Scale, Concept of Cost, Cost Function, Short Run Cost, Long Run Cost, Explicit cost and Implicit Cost, Laws of production, Laws of increasing returns & Laws of constant returns.

Equal product curves and Producer equilibrium.

(8 Hrs.)

Unit 4

Markets Structure:

Meaning and Classification of markets, Structures and their making features, Pricing under various markets, Profit Planning & Management, Types of Profit, factors determining profit in short & long term.

(8Hrs.)

Unit 5

International Trade: