MANAGERIAL ECONOMICS

Paper Code: 
24MBAS122
Credits: 
4
Contact Hours: 
60.00
Max. Marks: 
100.00
Objective: 

This course will enable the students to understand the fundamental concepts and principles of managerial economics and its application in decision making.

Course Outcomes: 

Course

Learning outcome

(at course level)

Learning and teaching strategies

Assessment Strategies

Course Code

Course title

24MBAS122

Managerial Economics (Theory)

CO7: Analyze concept of utility & consumer’s equilibrium           from           the

perspective      of                     an organization.

CO8: Critically assess the           role of demand analysis in decision making processes within organizations.

CO9: Apply cost output analysis techniques to real world business

cases and scenarios.

CO10: Evaluate different types           of production function and examine the characteristics of various types for market           to           optimize production processes and resource allocation.

CO11:              Analyze          and interpret various Macroeconomic factors affecting              business situations.

CO12: Contribute effectively in  course-specific interaction

Approach in teaching:

Interactive Lectures,

Group Discussion,

Tutorials, Case Study

 

Learning activities for

the students:

Self-learning

assignments,

presentations

Class test,

Semester end

examinations,

Quiz,

Assignments,

Presentation

 

12.00
Unit I: 
Introduction to Managerial Economics & Consumer Behaviour

Managerial Economics: Meaning, Nature and Scope of managerial economics. Constraints and Opportunity costs, Production Possibility Curve,

Consumer Behaviour: 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.

 

12.00
Unit II: 
Demand Analysis

Demand analysis: Demand and law of demand, Normal Goods, Substitute Goods, Veblen Effect, Bandwagon effect, Network Externality, Snob Effect, 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)

 

12.00
Unit III: 
Cost & Output Analysis

Cost and Output Analysis: Cost Concepts – Direct & Indirect Cost, Opportunity Cost, Sunk Cost, Fixed Cost, Variable Cost, Semi Variable Costs and Cost Output Relationship, Concepts of Revenue, Theory of Firm

12.00
Unit IV: 
Production Functions & Markets

Production Function: Short Run Production Function and Long Run Production Function

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

 

12.00
Unit V: 
Macro Economic Environment of Business

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

*Case studies related to entire topics are to be taught.

 

Essential Readings: 
  • Satya P Das, Micro Economics for Business, Sage Publications Pvt. Ltd.
  • Mathur, Yadav, Vyas, Business Economics, RBSA, Jaipur
  • Jain,Khanna & Tiwari, “ Business Economics”,V K India enterprises,New Delhi.
  • Adhikary, M. Business Economics., New Delhi, Excel Books, 2000.

 

References: 
  • Perloff & Brander, Managerial Economics and Strategy, Pearson Education
  • Hirschey, M., Pappas, J. L., & Whigham, D. (1996). Managerial economics. Dryden Press.
  • Keat, Paul G & Philips K. Y. Young, Managerial Economics, Prentice Hall, New Jersey,

E Resources:

 

Journals:

  • Economic and Political Weekly
  • The Economic Challenger
Academic Year: 
2024-2025
  • Printer-friendly version
  • PDF version