FYBMS Environmental Management & Economics Sem 1 Syllabus: Managerial Economics

Teaching Hours and Assessment Pattern of Managerial Economics:

1. No. of session of 90 minutes – 30
2. No. of sessions of 90 minutes per week – 2
3. Continuous Assessment – 40 I A
4. Semester End Examination – 60 I A
5. Total Marks – 100
6. Duration of theory paper – 3 hours
7. No. of credits – 2

The topics in Unit 1 are as follows:

1. Introduction:
2. Meaning and scope of managerial economics,
3. Relationship to economic theory,
4. Relationship with decision theory,
5. Role of managerial economics,
6. Objectives and constraints of the firm,
7. Introduction to risk,
8. Asymmetric information and game theory.

The topics covered in Unit 2 are as follows:

1. Demand Analysis:
2. Meaning of demand,
3. Market demand function,
4. Demand curve,
5. Factors affecting demand,
6. Variation and increase / decrease in demand,
7. Elasticity of demand,
8. Graphical representation of price elasticity of demand,
9. Price income and cross elasticity of demand,
10. Estimation of demand,
11. Numerical problems for measurement of elasticity.

The topics covered in Unit 3 are as follows:

1. Production and Costs:
2. Meaning of production,
3. Types of production function,
4. Importance of production function in managerial decision making,
5. Application of production finance in productive sectors – service and manufacturing,
6. Economics of scale and scope.
7. Importance of cost in managerial decision making,
8. Economic concepts of cost,
9. Functional form of short run and long run cost,
10. Estimation and alternative methods of estimation of cost,
11. LAC as a decision making tool,
12. Impact of learning curve.

The topics covered in Unit 4 are as follows:

1. Market Structures:
2. Meaning of market structure,
3. Need for analyzing market structure,
4. Types of market.
5. Perfect competition and monopoly:
6. Features of representative firm,
7. Industry equilibrium in short and long run,
8. Price and output determination using diagrams,
9. Normal profits, losses and supernormal profits in short and long run,
10. Normal profit
11. Merits and limitations of perfect markets.
12. Oligopoly and Monopolistic Competition:
13. Oligopoly – definition and characteristics
14. Collusion and cartel
15. Non-price competition
16. Price stickiness and kinked demand
17. Monopolistic competition definition and characteristics
18. Equilibrium Price and determination.

The list of reference books of Managerial Economics is as follows:

1. Managerial Economics – Dean Joel, Eastern Edition
2. Managerial Economics – Almanand, Excel books, New Delh
3. Managerial Economics – Hague D. – Longman, London
4. A study of managerial economics – Gopalakrishna, Himalaya Mumbai
5. Managerial Economics – Cauvery R. et al, S. Chand, New Delhi
6. Managerial Economics – Paul G Keat, K.Y. Young, Prentice Hall Publications
7. Managerial Economics: Analysis, problems and cases – Lila J Truett and Dale B. Truett, John Wiley and Sons
8. The Economy Today – Bradley R. Schiller, McGraw Hill
9. Principles of Economics – Robert H. Frank and Ben Bernanke (2007), Tata McGraw Hill, New Delhi
10. Managerial Economics – Ahuja HL (2007), S.Chand and Co. Delhi
11. The New Managerial Economics – William Boyce, Biztantra