Managerial Economics

Paper Code: 
MHR 122
Credits: 
4
Contact Hours: 
60.00
Max. Marks: 
100.00
Objective: 

The Objective of this course is to acquaint the participants with concepts and techniques used in Micro-Economic Theory and to enable them to apply this knowledge in business decision-making. Emphasis is given to changes in the nature of business firms in the context of globalization

Unit I: 
Unit 1

Managerial Economics: Meaning, Nature and Scope of managerial economics
Utility and indifference curve approaches-meaning, law of diminishing, marginal rate of substitution, properties of indifference curve, price line, consumer’s equilibrium-conditions of consumer equilibrium, income substitution and price effect.

Unit II: 
Unit 2

Demand analysis: Demand and law of demand, determinants of demand on demand function, change in demand, elasticity of demand-degrees, Measurement of price elasticity of demand-total expenditure method, proportionate method, point elasticity method. Demand forecasting- Meaning and techniques of demand forecasting, Law of supply (Conceptual)

Unit III: 
Unit 3

Cost and Output Analysis: Cost Concepts and Cost Output Relationship
Concepts of Revenue, General Theory of Price Determination

Unit IV: 
Unit 4

Production Function: Short Run and Long Run
Markets: Meaning, characteristics, types of markets-perfect and imperfect markets , Price and output determination in perfect competition, monopoly and monopolistic market.

Unit V: 
Unit 5

Macro Economic factors affecting Business- Business cycles, Inflation, National Income, Political stability, Financial markets-Stock Market, Currency Market and Commodity Markets

Essential Readings: 
  • Mathur N.D. Business Economics, Shivam Publication, Jaipur2003
  • Mathur, Yadav, Vyas, Business Economics, RBSA, Jaipur
  • Jain,Khanna & Tiwari, “ Business Economics”,V K India enterprises,New Delhi.
Academic Year: 
2015-2016
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