Micro Economics Theory II

Paper Code: 
COM 204
Credits: 
3
Contact Hours: 
45.00
Max. Marks: 
100.00
Objective: 

The objective of this course is to give in-depth knowledge of different cost concepts, price & output determination under different markets situations, also acquaint knowledge regarding different theories of interest and Profit.
CO58 Student will explore different types of costs involved in production and revenue generation of the producers.

CO59 Student will interpret General theory of price determination and compare the price and output determination of different market structures.

CO60 Student will examine price and output determination in monopoly and oligopoly markets.

CO61 Student will explore the concept of factor pricing and determination of rent in economics.

CO62 Student will evaluate the role of different theories of interest and Profits in economics.

8.00
Unit I: 
Cost Analysis:

Real cost, Opportunity cost,
• Money cost, Explicit and Implicit cost.
• Short run cost curves and Long run cost curves
• Revenue analysis: Concept & Types,
• Revenue under different market conditions

10.00
Unit II: 
General theory of price Determination

Equilibrium of Demand and supply,
• Effects of change in demand and supply on price.
• Price and Output Determination under different markets:
• Perfect and Imperfect Competition

9.00
Unit III: 
Price and Output determination under

Monopoly, Discriminating Monopoly, Dumping and Oligopoly

9.00
Unit IV: 
Factor Pricing

Factor Pricing in a perfect market,
• Factor Pricing in an imperfect market.
• Marginal Productivity Theory of Distribution.
• Determination of Rent: Economic Rent Vs. Contract Rent,
• Ricardian theory & Modern theory of Rent.

9.00
Unit V: 
Determination of Interest- and Determination of Profit

Types of interest, Liquidity theory,
• Modern theory of interest
• Determination of Profit- Concept of profit,
• Marginal Productivity theory of profit,
• Modern theory of profit

Essential Readings: 

Somdeo, Business Economics, RBD, Jaipur
• Mathur. N.D, Business Economics, ShivamPublications,Jaipur
• Dwivedi D.N, Managerial Economics, Vikas Publications, Delhi
• Keat Paul G &K.Y.Young, Managerial Economics, Prentice-Hall, New Jersey

References: 

ain, Khanna and Tiwari, Modern business Economics, V.K.Enterprises, New Delhi
• Koutsoyiannis, Modern Economics, New York, Macmillan,1991
• Dipsey R.G and Cheystal, Principles of economy, Oxford University Press

Academic Year: 
2021-2022
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