Description

Microeconomics-I

FYBA Semester I

Syllabus

Module I : Introduction to Microeconomics (12 Lectures)
Microeconomics : Meaning, Scope, Nature, Importance and Limitations; Basic Economic Problems; Role of Price Mechanism in a Market Economy; Positive Economics and Normative Economics; Concepts of Equation, Functions, Graphs, Diagrams, Line, Slope and Intercept

Module II : Ten Principles of Economics (12 Lectures)
Trade-Off Faced by the Individuals; Significance of Opportunity Cost in Decision Making; Thinking at the Margin; Responses to Incentives; Benefits from Exchange; Organization of Economic Activities through Markets and its Benefits; Role of Government in Improving Market Outcomes; Dependence of Standard of Living on Production; Growth in Quantity of Money; Inflation and Unemployment Trade-Off

Module III : Markets, Demand and Supply (12 Lectures)
What is a Market; What is Competition; Demand Curves : Market Demand versus Individual Demand, Movements along the Demand Curve, Shifts in the Demand Curve; Supply Curves : Market Supply and Individual Supply, Shifts in Supply Curve; Market Equilibrium – Three Steps to Analyse Changes in Equilibrium; Price Elasticity of Demand, Methods of Measuring Price Elasticity of Demand – Total Outlay Method, Percentage Method and Point Method; Concepts of Income Elasticity of Demand, Cross Elasticity of Demand and Promotional Elasticity of Demand

Module IV : Consumer’s Behaviour (12 Lectures)
Introduction to Cardinal and Ordinal Approaches; Indifference Curve Analysis – Properties of Indifference Curves, Budget Line, and Consumer’s Equilibrium; Income, Price and Substitution Effect; Derivation of Demand Curve; Consumer’s Surplus: Strong Ordering and Weak Ordering