1. Nature and Scope of Managerial Economics: Objective of a firm, Economic Theory and managerial theory, Managerial Economist's role and responsibilities; fundamental economic concepts – incremental principle, opportunity cost principle, discounting principle, equi-marginal principle.
2. Demand Analysis: Individual and market demand functions: Law of demand, determinants of demand: Elasticity of demand – its meaning and importance, Price elasticity, Income Elasticity and Cross Elasticity; using elasticity in managerial decisions. Cardinal utility approach, Indifference approach, revealed preference and theory of consumer choice under risk; Demand estimation for major consumer durable and non-durable products; Demand forecasting techniques.
3. Production Theory : Production function – with one and two variable inputs ; Stages of production ; Economies of scale; Estimation of production function; Cost theory and estimation; Economic value analysis; Short and long run cost functions – their nature, shape and inter-relationship; Law of variable proportions; Laws of returns to scale.
4. Price Determination under Different Market Conditions: Characteristics of different market structures; Price determination and firm’s equilibrium in short – run and long under perfect competition, monopolistic competition, oligopoly and monopoly. Price discrimination, International price discrimination, dumping; Transfer pricing.
5. Business Cycles : Nature and phases of a business cycle; Theories of business cycles-psychological, profit, monetary, innovation, cobweb, Samuelson and Hicks Theories, Inflation; Definition, characteristics and types; Inflation in terms of demand – pull and cost-push factors; Effects of inflation.
1. Baumol, Willam J : Economic Theory and Operations Analysis, Prentice Hall, London.
2. Baya, Micheal R : Managerial Economics and Business Strategy, McGraw Hill inc. New York.
3. Chopra, O.P : Managerial Economics, Tata McGraw Hill Inc, Delhi.
4. Dean,Joel : Managerial Economics, Prentice Hall, Delhi.
5. Dholakia R.H. and A.L Oza : Micro Economics for Management Students, Oxford University Press, New Delhi.
6. Eaton, B.Curtis and Diane Faton : Micro Economics, Prentice Hall, New Jersey.
7. Gough, J. and S. Hills : Fundamentals of Managerial Economics, MacMillan, London.
8. Haynes, W.W.V.L Mote and S. Paul: Managerial Economic Analysis and Cases, Prentice Hall India, Delhi.
9. Peterson, H. Craig and W.Cris Lewis: Managerial Economics, Prentice Hall Delhi.
10. Salvatore, Dominick: Managerial Economics in a Global Economy, McGraw Hill, New York.
11. Varian, H.R: International Microeconomics: A modern approach, east West Press, New Delhi.
12. Varshney R.L and Maheshwari K.L : Managerial Economics, Sultan Chand and Sons, New Delhi.
13. Devedi DN : Managerial Economics, Vikas Publishing House, New Delhi.
14. Adhikary M. : Business Economics, Excel Books, New Delhi.