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Managerial Economics (Micro)

Dr. Saroj Kumar, Shourya Singh
ISBN-978-93-88280-48-8
₹170.00
Tax excluded
Syllabus
MB 101: MANAGERIAL ECONOMICS (MICRO)
Module I
1. Introduction to Managerial Economics
(a) Basic problems of an economic system
(b) Goals of managerial decision making
(c) Resource allocation using PPC
2. Demand Analysis
A. Demand Functions - Law of Demand, Explaining the law of demand, Violations of the Law of Demand, Shifts in Demand; Elasticity of Demand: Price Elasticity (at a point and over and interval), Factors affecting price elasticity, Price elasticity and Change in Total Revenue, AR, MR and Price elasticity, Range of Values of Price Elasticity; Income Elasticity, Inferior, Superior and Normal goods, Income Elasticity and Share in Total Expenditure; Cross-Price Elasticity, Substitutes and Complements.
B. Indifference curves, budget line and consumer equilibrium.
C. Introduction to methods of demand estimation (concepts only).
3. Production and Cost Analysis
A. Production Function, Short Run and Long Run, Production with One Variable Input, Total Product, Average and Marginal Products, Law of Variable proportions, Relationship between TP, AP and MP.
B. Short Run Costs of Production, Fixed and Variable Costs, Short Run Total, Average and Marginal Cost and Relationship between them, Short Run Cost Curves, Relationship between AVC, MC, AP and MP; Long run cost curves, Relationship between LAC and SAC, Economies of Scale and Scope.
C. Production with Two Variable Inputs, Isoquants – Characteristics, Marginal Rate of Technical Substitution, Laws of Returns to Scale, Isocost Curves, * # Finding the Optimal Combination of Inputs, Production of a given output at Minimum Cost, Production of Maximum Output with a given level of Cost, Expansion Path, Finding the Long Run
Cost Schedules from the Production Function.
D. Law of supply, elasticity of supply, market equilibrium, changes in equilibrium.
Module II
4. Alternate Goals of Managerial Firms
(A) Profit maximization
(B) Revenue maximization
(C) Managerial utility maximization
5. Managerial Decision Making under Alternative Market Structures
A. Characteristics of Perfect Competition, #Profit Maximization in Competitive Markets, Output Decision in the Short Run, Shut Down Point, Short Run Supply for the Firm and Industry; Output Decision in the Long Run, Break Even Point, Long Run Supply for the Perfectly Competitive Industry.
B. Price and output decision under different market structure – Monopoly, Monopolistic Competition, Oligopoly – cartel, price leadership.
6. Pricing Decisions
A. Price Discrimination under Monopoly, Transfer Pricing.
B. Market Failure.
C. Game theory &Asymmetric information.
MAKAUT(WB)2018/MBA/1/01
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