INTRODUCTION TO BEHAVIOURAL ECONOMICS SPPU B.COM FIRST SEM

Unit

Title and Contents

No. of Lectures

1

Introduction to Behavioural Economics:

1.1 Interdisciplinary Approach to Economics

1.2 Economics and Socio-Economic Conditions

1.2.1 Economics and Political Science (The Role of the State)

1.2.2 Economics and Administration

1.2.3 Economics and Ethics

1.3 Basic Economic Problems and Different Approaches to solve the Problems

1.4 Microeconomics and Macroeconomics

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2

Demand and Supply Analysis:

2.1 Definition, Factors Influencing Demand, Derivation of Demand Curve, Changes in Demand Curve

2.2 Definition, Factors Influencing Supply, Changes in Supply Curve

2.3 Demand and Supply Equations (to calculate Equilibrium Price and Output)

2.4 Elasticity of Demand: Price, Income and Cross Elasticity

 2.5 Concept of Consumer Surplus

15

3

Cost Concepts:

3.1 Meaning and determinants of Cost

3.2 Concepts of: Economic Cost, Opportunity Cost, Fixed and Variable Cost, Sunk Cost, Short Run and Long Run Cost

3.3 Short Run Cost Functions: Total Cost (TC), Total Fixed Cost (TFC), Total Variable Cost (TVC), Average Cost (AC), Marginal Cost (MC) and Short Run Cost and Long Run Cost

3.4 Behaviour of Cost Curve: Long Run Average Cost Curve, U-Shaped, L Shaped and Elongated U-Shaped

3.5 Economies and Diseconomies of scale

3.6 Simple Calculations on Short Run Cost / Estimate of Cost

15

4

Theory of Production and Laws of Production:

4.1 Factors influencing Production: Land, Labour, Capital and Entrepreneurs

4.2 Theory of Production: Cobb Douglas Production Function (Input-Output Analysis)

4.3 The Laws of Variable Proportions

4.4 The Laws of Returns to Scale

4.5 Concepts of Isoquants and Iso-Costline

15