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Tribhuvan university BBS 2013 Syllabus Microeconomics

Microeconomics - Syllabus

Course Overview and Structure
Syllabus Notes Old Questions Unit Wise Questions Question Bank

Embark on a profound academic exploration as you delve into the Microeconomics course (Microeconomics) within the distinguished Tribhuvan university's BBS department. Aligned with the 2013 Syllabus, this course (MGT 203) seamlessly merges theoretical frameworks with practical sessions, ensuring a comprehensive understanding of the subject. Rigorous assessment based on a 100 marks system, coupled with a challenging passing threshold of , propels students to strive for excellence, fostering a deeper grasp of the course content.

This 3 credit-hour journey unfolds as a holistic learning experience, bridging theory and application. Beyond theoretical comprehension, students actively engage in practical sessions, acquiring valuable skills for real-world scenarios. Immerse yourself in this well-structured course, where each element, from the course description to interactive sessions, is meticulously crafted to shape a well-rounded and insightful academic experience.


Course Objectives

This course of Business Economics-I aims to enhance understanding of the microeconomic theories and develop skills of students in using these theories in business decision making.


Course Description

This course of Business Economics-I consists of the introduction to microeconomics, theory of demand, supply and equilibrium price, elasticity of demand and supply, theory of consumers behavior, theory of production, cost and revenue curves, theory of product pricing and factor pricing

Units

Key Topics

  • Introduction to E-commerce
    IN-1

    Overview of E-commerce and its significance in the digital age.

  • E-business vs E-commerce
    IN-2

    Understanding the differences between E-business and E-commerce.

  • Features of E-commerce
    IN-3

    Key characteristics and benefits of E-commerce.

Key Topics

  • Relational Model Concepts
    TH-1

    This topic covers the fundamental concepts of the relational model, including domains, attributes, tuples, and relations, as well as the characteristics of relations.

  • Relational Model Constraints
    TH-2

    This topic explores the different types of constraints in the relational model, including domain constraints, key constraints, and constraints on null values.

  • Relational Database Schemas
    TH-3

    This topic discusses the concept of relational database schemas, including relational database state, entity integrity, referential integrity, and foreign keys.

  • Update Operations and Transactions
    TH-4

    This topic covers update operations, transactions, and how to deal with constraint violations, including insert, delete, and update operations, as well as restrict, cascade, set null, and set default.

  • Basic Relational Algebra Operations
    TH-5

    This topic introduces basic relational algebra operations, including unary operations (select, project, rename) and binary operations (set theory, Cartesian product, join, and outer join).

  • XML Schema
    TH-6

    Defining the structure and constraints of XML documents using XML Schema.

  • Simple and Complex Types
    TH-7

    Understanding simple and complex data types in XML Schema.

  • XSD Attributes
    TH-8

    Using attributes in XML Schema to provide additional information.

Key Topics

  • E-payment System
    EL-1

    Overview of electronic payment systems, including their types and applications in e-commerce.

  • Online Credit Card Transaction
    EL-2

    The process and security measures involved in online credit card transactions.

  • Online Stored Value Payment System
    EL-3

    A payment system that stores value electronically, allowing users to make payments online.

  • Digital and Mobile Wallet
    EL-4

    Electronic wallets that store payment information and allow users to make transactions online or through mobile devices.

  • Smart Cards
    EL-5

    A type of card that stores and processes data, often used for secure online transactions.

Concept of cardinal and ordinal utility analysis; Cardinal approach: Assumptions, consumer’s equilibrium, criticisms and derivation of

demand curve (cardinal approach); Ordinal approach: Indifference curve: Concept, properties, marginal rate of substitution, price line and consumer’s equilibrium; Price effect: Derivation of PCC; Income effect: Derivation of ICC; Substitution effect: Hicksian approach; Decomposition of price effect into income and substitution effect: Hicksian approach; Derivation of demand curve: (ordinal approach).

(Numerical exercise)

Key Topics

  • Relational Model Concepts
    TH-1

    This topic covers the fundamental concepts of the relational model, including domains, attributes, tuples, and relations, as well as the characteristics of relations.

  • Relational Model Constraints
    TH-2

    This topic explores the different types of constraints in the relational model, including domain constraints, key constraints, and constraints on null values.

  • Relational Database Schemas
    TH-3

    This topic discusses the concept of relational database schemas, including relational database state, entity integrity, referential integrity, and foreign keys.

  • Update Operations and Transactions
    TH-4

    This topic covers update operations, transactions, and how to deal with constraint violations, including insert, delete, and update operations, as well as restrict, cascade, set null, and set default.

  • Basic Relational Algebra Operations
    TH-5

    This topic introduces basic relational algebra operations, including unary operations (select, project, rename) and binary operations (set theory, Cartesian product, join, and outer join).

  • XML Schema
    TH-6

    Defining the structure and constraints of XML documents using XML Schema.

  • Simple and Complex Types
    TH-7

    Understanding simple and complex data types in XML Schema.

  • XSD Attributes
    TH-8

    Using attributes in XML Schema to provide additional information.

  • Default and Fixed Values
    TH-9

    Specifying default and fixed values for elements and attributes in XML Schema.

Concept of cost: Actual cost and opportunity cost, implicit cost and explicit cost, accounting and economic cost, historical cost and

replacement cost, separable cost and common cost. Derivation of short run cost curves. Reason for the ‘U’ shape of short run average cost curve. Derivation of long run cost curves. Relationship between short run and long run AC and MC curve. Shape of the long run average cost curve: Theoretical reason and empirical evidence. Concept of economies of scale and economies of scope. Concept of revenue: Total revenue, average revenue, and marginal revenue. Revenue curves under perfect and imperfect competition. Relation between average and marginal revenue curves. Relationship between price elasticity and marginal revenue and total revenue.

(Numerical exercise)

Perfect competition: Meaning and characteristic of perfect competition; Pricing under perfect competition: Equilibrium of firm and industry in short run and long run (TR-TC approach and MC-MR approach); Derivation of short run and long run supply curve of a firm and industry


Monopoly: Meaning and characteristic of monopoly; Pricing under monopoly: Equilibrium of firm in short run and long run (TR-TC approach and MC-MR approach); Price discrimination: Degree of price discrimination and price and output determination under discrimination; Dumping


Monopolistic competition: Meaning and characteristics of monopolistic competition; Pricing under monopolistic competition: equilibrium of firm in short run and long run; equilibrium of firm under product variation and selling expenses


Oligopoly: Meaning and characteristic of oligopoly; Pricing under cartel (aiming at joint profit maximization).

(Numerical exercise)

Pricing of inputs in perfect competition and imperfect competition market. Rent: Modern theory of rent. Wages: Marginal productivity theory of wages, Concept of collective bargaining and minimum wages fixation. Interest: Loanable fund theory and  Preference Theory of interest. Profit: Economic and Business Profit, Dynamic Theory and Innovation Theory of Profit.

(Numerical exercise)