COM200A - Introduction To Economics

Definition and central problems of Economics, Microeconomics vs. Macroeconomics, Normative vs. Positive Economics, Stock vs. Flow variables; Aggregate economic variables: Gross domestic product (GDP), Gross national product (GNP), National income, Money supply, Price index and inflation rate, Unemployment rate, Exchange rate; Laws of demand and supply, Elasticity, Market equilibrium, Consumer and producer surplus, Price controls; Utility theory: Laws of diminishing marginal and equi-marginal utility, Indifference curves and budget constraint, Optimizing conditions, Substitution and income effects; Theory of production and cost: Law of variable proportion, Short run cost functions, Isoquant and isocost, Optimizing conditions, Long run cost functions; Types of market: Perfect Competition, Monopoly, Oligopoly, Monopolistic Competition.