Credits: 2
Pre-requisites: None
Compulsory / Optional: Compulsory for Mechanical Engineering / Optional for Others
Aim(s)
To introduce students to basic principles of macroeconomics and microeconomics.
Intended Learning Outcomes
- Describe the key ideas that define the economic way of thinking.
- Analyse how demand and supply determine prices.
- Explain the relationship between a firm’s output and costs.
- Analyse the impact of government interventions in markets and basic macroeconomic concepts of GDP, inflation and unemployment.
Course Content
- Basic Economic Concepts: Scarcity; thinking on the margin; opportunity cost; power of trade; comparative advantage; production possibilities frontier.
- Supply and Demand: Demand; supply; demand and supply shifters; equilibrium; elasticity; price ceiling and floors.
- Costs and Production: Profits and losses; how much should a firm produce; production function.
- Government Interventions and Markets: Public goods and private goods; economics of environment; externalities; green economics.
- Macroeconomic Concepts: GDP; unemployment; inflation; role of central banking; other measures of development.
| Time Allocation | Hours |
|---|---|
| Lectures | 15 |
| Tutorials Small Group Discussion | 7 |
| Assignments | 16 |
| Assessment | Percentage Marks |
|---|---|
| Small Group Activities / Case Studies / Assignments / Presentation | 50 |
| End Semester Examination | 50 |