To introduce the concepts of scarcity and efficiency; to explain principles of micro economics relevant to managing an organization; to describe principles of macroeconomics to have the understanding of economic environment of business.
The themes of economics – scarcity and efficiency – three fundamental economic problems – society’s capability – Production possibility frontiers (PPF) – Productive efficiency Vs economic efficiency – economic growth & stability – Micro economies and Macro economies – the role of markets and government – Positive Vs negative externalities.
Market – Demand and Supply – Determinants – Market equilibrium – elasticity of demand and supply consumer behaviour – consumer equilibrium –Approaches to consumer behaviour –Production –Shortrun and long-run Production Function – Returns to scale – economies Vs diseconomies of scale – Analysis of cost – Short-run and long-run cost function – Relation between Production and cost function.
Product market – perfect and imperfect market – different market structures – Firm’s equilibrium and supply – Market efficiency – Economic costs of imperfect competition – factor market – Land, Labour and capital – Demand and supply – determination of factor price – Interaction of product and factor market – General equilibrium and efficiency of competitive markets.
Macro-economic aggregates – circular flow of macroeconomic activity – National income determination – Aggregate demand and supply – Macroeconomic equilibrium – Components of aggregate demand and national income – multiplier effect – Demand side management – Fiscal policy in theory.
Short-run and Long-run supply curve – Unemployment and its impact – Okun’s law – Inflation and the impact – reasons for inflation – Demand Vs Supply factors –Inflation Vs Unemployement tradeoff – Phillips curve –short- run and long-run –Supply side Policy and management- Money market- Demand and supply of money – money-market equilibrium and national income – the role of monetary policy.
• To introduce the concepts of scarcity and efficiency;
• To explain principles of microeconomics relevant to managing an organization
• To describe principles of macroeconomics
• To have the understanding of economic environment of business.
• To study about the policies that regulate economic variables
1. Paul A. Samuelson, William D. Nordhaus, Sudip Chaudhuri and Anindya Sen, Economics, 19th edition, Tata McGraw Hill, New Delhi, 2011
2. William Boyes and Michael Melvin, Textbook of economics, Biztantra, 7 th edition 2008.
3. N. Gregory Mankiw, Principles of Economics, 8 th edition, Thomson learning, New Delhi,2017.
4. Richard Lipsey and Alec Chrystal, Economics, 13th edition, Oxford, University Press, New Delhi, 2015.
5. Karl E. Case and Ray C. Fair, Principles of Economics, 12th edition, Pearson, Education Asia, New Delhi, 2017.
6. Panneerselvam. R, Engineering Economics, 2 nd Edition, PHI Learning, 2014.