Definitions of Economics – Basic concepts – Main Divisions of Economics – Subject matter of Economics – Distinction between Micro & Macro Economics – Scope of Economics.
Human wants – characteristics & classification of Human wants – Law of diminishing marginal utility – Law of equi-marginal utility – Law of demand – consumer’s surplus – Elasticity of demand – types-measurement-Factors determining elasticity of demand.
Factors of Production – characteristics – Production function – Law of variable proportions – Large scale & small scale production – merits & demerits – Functions of entrepreneur.
Costs & Revenue – Short & Long run costs – Revenue curves under different market conditions. Perfect competition – Monopoly – Discriminating monopoly – Monopolistic competition – Features & price determination.
Marginal productivity theory – Ricardian theory of rent – Modern theory of rent – Quasi rent – wage theories – classical theory – subsistence theory – Marginal productivity theory & Modern theory Interest theories – Liquidity preference theory – Loanable Fund theory – Theories of profit – Innovation theory – Dynamic theory – Risk bearing theory – Uncertainty.
1. Principles of Economics – K.P.M. Sundaram.
2. Prince Theory – K.K. Dewett.
3. Advanced Economic Theory – H.L. Ahuja.
4. Micro Economics – M.L. Seth.
5. Advanced Economic Theory – M.L. Jhingan.
ECONOMIC DEVELOPMENT OF INDIA
Characters & its Features
Basic character of Indian Economy – Is India a Developed Economy – Availability of Natural Resources in India – population – Demographic Transition in India – Growth – problems – poverty-unemployment – policies adopted to solve them.
Nature, Importance & Problems in Indian Agriculture – Green Revolution – Need – Important Elements – Effects & Limitations of Green Revolution – New Agricultural policy 2000.
Industrial Resolution 1956 – Role of Public Sectors in India – causes for the weaknesses – New Industrial Policy 1991 – Role of Cottage Small Scale Industries in Indian Economy – causes – for Low Capital formation in Indian – Role of FDI in India’s Industrial Development.
Transport & Banking
Role of Transportation in Economic Development – Indian Railways – Roadways – Waterways – Airways – Recent Trends in Indian Banking Sector – Role of EXIM Bank in India’s Foreign Trade.
Economic Reforms Since 1991
Role of Multinational Corporations in Indian Economy - Arguments For & Against Liberalization, Privatization – Globalization in India – Role of WTO – Special Economic Zones in India.
1. Indian Economy – Dutt & Sundram.
2. Indian Economy – H.S. Agarwal.
3. Economic Development of India – P.A. Maraikumar, Immanuel Publication.
Definition & importance of statistics – organizing statistical survey – collection of Data – Primary Data – census & sampling – methods of sampling – classification of data – Tabulation – Diagrammatic & graphical representation of data – frequency Distribution.
Measures of central Tendency – Mean, Median mode, Geometric Mean, Harmonic Mean – Relative merits & limitations of different measures of central tendency.
Measures of Dispersion – Range – Quartile Deviation – Mean Deviation – Standard Deviation – Relative merits & limitations of Dispersion Measures.
Correlation & Regression – Meaning of Correlation – Karlpearson’s coefficient of correlation – Spearman’s rank correlation – Meaning of Regression – Difference between correlation & Regression – Simple Linear Regression equation.
Analysis of Time series & Index Number: Meaning of Time series – components of Time series – Meaning of Index Number – uses of Index number. Problems in the construction of Index Number – Methods of construction of Index Numbers – Laspayers Method – Paasche’s method – Fisher’s index number – Test of Index number.
1. S.P. Gupta Statistical Methods.
2. C.B. Gupta, S.C. Gyla Business Statistics.
3. R.S.N. Pillai & Bagavathi – Business Statistics.
Introduction & National Income
Meaning of Macro Economics – Difference between macro & micro economics – importance & Limitation of macro economic analysis.
Meaning & Definition of National Income – Gross National Product (GNP), Net National Product (NNP), National Income (NI), Personal Income (PI), Disposable Personal Income (DPI) – Measurement of National Income – Difficulties in the calculation – Importance & usefulness of National Income.
Theory of Employment
Meaning of full employment – Types of unemployment: Seasonal, frictional, Technological, structural, voluntary & involuntary, cyclical & disguised unemployment.
Classical theory of output & unemployment.
Classical theory of output & employment: Say’s Law of market – Classical theory with Saving & Investment – Pigou’s view regarding involuntary unemployment.
Heynesian concept of equilibrium of the economy:
1) In terms of effective demand or in terms of aggregate supply function & aggregate demand function.
2) In terms of equality of ex-ante savings with ex-ante investment.
Consumption Function & Investment Function
Consumption & Income – average & marginal propensity to consume & the relationship between the two-Keyne’s psychological law of consumption – Practical utility & theoretical importance – Factors affecting consumption function – Measures to raise the propensity to consume.
Investment Function: Meaning of Capital & Investment – Types of Investment: Induced Vs. Autonomous Investment, ex-ante & ex-post investment – Determinants of Investment: Marginal efficiency of capital & rate of interest – Factors affecting MEC.
Multiplier, Accelerator & Supper Multiplier
Multiplier – Meaning – Relationship with MPC – Working of the multiplier – Leakages of multiplier – Importance – The employment multiplier.
Accelerator – Meaning – assumption – Importance – Limitations. Super multiplier – multiplier & accelerator interaction (Leverage effect).
Macro Economic Policy
Monetary policy – Meaning – Objectives – Monetary policy during depressions & inflation – role of monetary policy in an undeveloped economy.
1. An Introduction to Keynesian Theory – M.L. Seth.
2. A Text Book of Macro Economics – K.V. Sundaram.
3. Macro Economics – K. R. Gupta.
4. Macro Economics Theory – M.L. Jhingan.
5. A Text Book of Modern Economics – H.L. Ahuja.
6. Macro Economic Analysis – Edward Shapiro.
MONEY & BANKING
Meaning – evolution of money – functions of money, primary, secondary, contigent, static & dynamic – Defects of money – different kinds of money – Qualities of good money material.
Meaning of monetary standard – bimetallism – Greshm’s Law. Gold Standard – meaning – features – types – advantages & disadvantages – causes for breakdown of gold standard – Managed Paper Currency Standard – Principles & methods of note issue – Advantages & disadvantages of paper currency.
Demand for Supply of Money
Factors governing demand for money – three motives – Factors governing supply of money – factors governing velocity – Quantity theory of money by Irving Fisher – Cambridge equations – Savings – Investment theory.
Value of money
Meaning of value of money – difference between value of money & value of commodities – Inflation – Meaning – features – causes & effects – Deflation – Meaning – features – causes & effects.
Meaning – importance of banks & types – unit banking – branch banking & mixed banking – Functions of a commercial bank – credit creation.
Functions of a Central bank – Quantitative & Qualitative credit control methods Role & functions of Reserve Bank of India.
1. Monetary Economics – M.L. Seth.
2. Money, Banking, International Trade & Public Finance – K.P.M. Sundaram.
3. Monetary Economics – M.C. Vaish.
Meaning, Features – Objectives – Importance – Functions – Role of marketing in economic development – Markets & its types – Marketing mix – meaning definition – elements – problems.
Product – Meaning – Features – Classification – Product policies – Factors determining product differentiation – Benefit of market segmentation – Life cycle of a product – New product – Product planning.
Pricing – Meaning – objectives – procedure for price determination – kinds of pricing.
Branding & Packaging
Branding: Reasons for branding – Brand names – conditions favourable for branding – Types of branding – Advantages of branding. Brand Mark – Functions-Features-Labeling Types – Functions – Packaging – Definition – Functions - kinds – promotions.
Channels of Distribution
Distribution channels: Definition – Functions – Importance – Types – Patterns of Distributions, Channel – Middleman – Agents – Merchants – Wholesales – Retailers – Dealers – Managing the Dealer Network-Arguments for & against middlemen – Designing of Distribution channel – Network marketing.
Electronic marketing & promotional strategies – marketing through the internet, Advertising & marketing on the internet – Analysis of markets & market place of buyers & sellers, E-Commerce & retailing – case studies of products & services marketed on the Internet.
1. Philllipe Kotler, Market Management, Practice – New Delhi.
2. R.S.N. Pillai & Bhagavathi, Modern Marketing Principles & Practices: S. Chand & Company Ltd.
3. Dr. N. Rajan Nari & Sanjith R. Nair – Marketing, Sultal Chand & Sons, New Delhi.
4. William J. Stanton, Fundamental of Marketing, McGraw Hill, Kogarusha.
Meaning, definition & scope – Functions of a state – Private & Public Finance – Principle of Maximum social advantage.
Meaning & scope – classification of Public expenditure – public & private expenditure – causes for the growth of public expenditure – causes for the growth of public expenditure – Importance of public expenditure – canons of public expenditure – Effects of public expenditure.
Meaning & importance – sources of public revenue – classification of public revenue – canons of taxation – principles of taxation – ability to pay theory of taxation – Taxable capacity – shifting & incidence of taxation – effects of taxation – VAT.
Meaning of public debt – Importance – classification of public debt – sources of public borrowing – effects of public debt – burden of public debt - redemption of public debt – role of public debt in development – burden of public debt – Debt management.
Meaning of objectives of budgetary policy – Principle of budgeting – Qualities of a good budget – process of budget preparation – Types of budget – programme & performance budget – zero base budgeting – Finance Commissions & their functions – fiscal policy.
1. Public Finance Developed & Developing Countries – S.K. Singh.
2. Public Finance – Otto Eckstein.
3. Public Finance – B.P. Tyagi.
4. Public Finance in Theory & Practice – Richard A. Musgrave, Peggy B. Musgrave.
Definition of international trade – difference between internal & international trade – Free trade – advantages & disadvantages, protection – forms of protection – advantages & disadvantages – effects of protection – role of protection in less developed countries.
Theories of International Trade
The classical theory of international trade. Adam Smith’s theory of Absolute cost Difference – David Ricardo’s theory of comparative cost Advantages – Haberler’s opportunity cost theory & modification of comparative cost theory. Heckscher-Ohlin’s theory of international Trade – Samuelson’s Theory of factor – price equilibrium.
Terms of Trade
Terms of trade – types – Factor influencing terms of trade & Economic Welfare – Effects of adverse terms of trade on developing countries – gains from international trade– Factors determining gains – measurement of gains – conditions for reaping maximum gains from international trade.
Balance of Payments
Meaning & difference between balance of trade & Balance of payments – structure of balance of payments – Equilibrium & disequilibrium in the Balance of payments – Causes for adverse balance of payments – Methods of correcting adverse balance of payments.
Foreign Exchange rates & policy
Meaning of foreign Exchange – Fixed Exchange Rate – Arguments for & against Flexible Exchange Rate – Arguments for & against – Determinations of rate of exchange – Mint parity Theory – purchasing power parity theory – Balance of payments theory, Exchange control – meaning objectives – methods of Exchange control.
Books for Reference:
1. International Economics – M.L. Thinagar.
2. Money, Banking & International Trade – K.P.M. Sundaram.
3. International Economics – K.R. Gupta.
4. International Economics – D.M. Mithani.
5. The Theory of International Trade – Haberler.
6. International Trade & Economic Growth – H.G. Johnson.
Meaning & definition of under-development & low-development – characteristics of under developed countries.
Meaning & definition of economic development – Difference between economic development & economic growth.
Obstacles to Economic Development
Vicious circle of poverty – low capital formation – non-economic factors & economic factors – A note on economic dualism & demonstration effect.
Theories of Economic Development
1. The doctrine of balanced growth.
2. The doctrine of unbalanced growth.
3. Big push theory.
4. The thesis of critical minimum effort.
5. Marxian theory of economic development.
6. Mahalanobis thesis in development (Two sector model only).
Measures for economic development
1. Economic development & capital formation.
2. Population & economic development.
3. Social changes & economic development.
4. State & economic development.
1. Economic Development – M.L. Jhingan.
2. Economic Planning – Tandon.
3. Economic Development & Planning – Misra & Puri.
Labour as a factor of production – Types & characteristics features of – Labours – Rural Vs Urban, Agricultural Vs Industrial, organized Vs unorganized – Labour economic Definition – Elements – scope.
Labour & Industrialization
Need & Features of Industrialization – Unity & diversity – Economic – characteristics & labour problems of industrised societies – Industrial work Rule – Migration – Types, causes, effects – Labour Turn over & Absenteeism: Meaning, methods of measurement, determining factors, suggestions for improvement – Labour efficiency: Determining factors, causes for low efficiency, suggestions for improvement.
Meaning – Functions – Features – Dualism in Labour Market – Demand – Supply Analysis – Supply of Labour: Factors determining supply – work participation Rate – Factors determining Supply of Labour – Demand for Labour: Short run Vs. Long run – Wage & employment under competitive equilibrium – Exploitation: Differences in wages & standardization – Diversification in wage system – Factors affecting wage differences – characteristics of a good wage.
Trade Unions, Collective Bargaining & Industrial Relations
Meaning – Theories of Labour Movements – origin – Features – Trade Unions in India: Structure, Strengths, Weakness, suggestions for improvement. Collective Bargaining – Features – importance – Forms – Hindrances – Industrial Relations – Disputes – types & causes – impact – preventive & curative measures – Worker’s Participation in Management: objectives – Arguments for & against – Worker’s Education – Industrial discipline – objectives – causes for indiscipline – suggestions.
Labour Welfare & Labour Security
Definition – Approaches to Labour Welfare – Objectives – Theories – Need – Industrial Health – Industrial Safety – Working conditions – Regulation of Working hours – Work men compensation – Maternity benefit – Provident Fund – Insurance – Bonus – Gratuity Protection of the aged & unemployed – Job Security.
1. A.K. Sharma – “Labour Economics”. Anmol Publications Pvt. Ltd., New Delhi.
2. Saxena, R.C. – “Labour Problems & Social Welfare”. K. Nath & Co., Meerut.
3. Marshall, Cartter & King – “Labour Economics” – Richard Irwin, INC, Illinois.
4. D.P. Tyagi – Labour Problems & Social Welfare.
Definitions & role of Environmental Economics
Economics & environment – Scope & significance of Environmental Economics, Integration of conservation & development.
The Environment & Economy
Relationship between the environment & the economic system – The material balance model – Environment as a resource – Services of the environment – Limited assimilative capacity of the environment – Environmental quality.
Conservation of Resources
Definition & Meaning, Conservation of water, conservation of wild life, conservation of forests, soil conservation, energy conservation. Methods of conservation – Material substitution – Product life extension - Recycling conditions for successful Recycling – Optimum recycling – Waste reduction.
Meaning of energy – Sources of energy & their classification – Renewable & non-renewable source of energy – Conventional & Non-Conventional energy resource – Direct & indirect energy – Need for conserving energy & maintaining environmental quality.
Environmental Problems in India
Nature & sources of environmental problems in India – Different types of AIR Pollution, water pollution, soil pollution, Marine pollution, India’s Environmental Policy. Efforts of the Government to control pollution & environmental protection. National Committee on Environmental planning & Co-ordination (NCEPC), Tiwari Committee (1980) – Department of Environment (DOE) Pollution Control Board (PCB).
Books for Reference:
1. Environmental Economics – Dr.P. Sankaran.
2. Environmental Economics – Varadarajan & S. Elangoven.
3. Environmental Economics – Kneese, Allen V.
4. Environmental Economics – Kneese.
5. Environmental Economics – Seneca J.J. & H.K. Taussig.
6. Environmental Economics – Pearic – C.W.
7. Environmental Economics – Dr. J. John Vellakkan.
Definition of Entrepreneurship – Characteristics of Entrepreneurship – Kao’s conceptual model of Entrepreneurship – Different types of Entrepreneurs – Functions of Entrepreneurs – Growth of Entrepreneurship in India – Women Entrepreneurs – problems & prospects.
Entrepreneurial Motivation & Systems
The motivating factors – David Meclelland’s Achievement Motivational Theory – Search & source of business ideas – ideas processing & selection.
Project Identification & Classification
Meaning of Project – project classification – Project Identification – Desk research & Techno Economic survey technique – constraints. Internal & external Project objectives, life cycle.
Promoting & Starting An Industrial Unit
Nature & types of promoters – steps to start a small scale industry – Incentives & subsides available.
Institutions For Entrepreneurial Development
District Industries Centre (DIC) – State Small Scale Industries Corporation (SSCI) – Small Industries Development Corporation (NSIC) – Industrial & Technical Consultancy Organization of Tamil Nadu (ITCOT) – National Alliance of Young Entrepreneurship (NAYE) – Commercial Banks – New Entrepreneurial Development Agency (NEDA) – Directorate of Industries – India Investment Centre.
Books for Reference:
1. Entrepreneurial Development – S.S. Khanka.
2. Entrepreneurial Development – C.B. Gupta & N.P. Srinivasan.
3. Entrepreneurial Development – Saravenavel.
4. Entrepreneurial Development – Vasant Sathe.
5. Entrepreneurial Development – S.C. Bhanu Shali.
6. Commercial Bank Management – John A. Haslam.