GC UNIVERSITY, FAISALABAD
FACULTY OF ECONOMICS & MANAGEMENT SCIENCES
Lyallpur Business School (LBS)
Course Specifications
Principles of Micro Economics
ECO-301
Fall- 2023-2024
http://www.gcuf.edu.pk/
COURSE SPECIFICATIONS
Basic Information
Course Title: Principles of Micro Economics
Course Code: ECO-301
Course credits/week: Theory: 03 Lab: Nil Total: 03
Pre-requisite(s): Nil
Co-requisite(s):
Program(s) on which the course is given: BBA Semester first
Is the course major or minor element of the program: Major: Major Minor:
Department offering the program: LBS
Department offering the course: LBS
Academic year/level: 4
Revision #:
Last revised on (date): 10-9-2023
Overall Aims of the Courses
Course Description:
The course provides an introduction to a core area of economics known as microeconomics. It
considers the operation of a market economy and the problem of how best to allocate society's
scarce resources. The course considers the way in which various decision-making units in the
economy (individuals and firms) make their consumption and production decisions and how these
decisions are coordinated. It considers the laws of supply and demand, and introduces the theory
of the firm, and its components, production and cost theories and models of market structure. The
various causes of market failure are assessed, and consideration is given to public policies
designed to correct this market failure.
Course Objectives are:
Learning Outcomes:
on completion of Principles of Microeconomics, students should be able to
Explain the principles that underpin modern economics
Demonstrate an understanding of the way budget constrained individuals make
optimizing choices and the way resources are allocated in private markets
Assess the likely impact of different market structures on the prices and quantities traded
in these markets
Evaluate the effects of government interventions and other exogenous changes in markets
using economic principles
Present clearly written analysis of economic issues and problems
Microeconomics shows conditions under which free markets lead to desirable allocations.
Microeconomics is to analyze the market mechanisms that establish relative prices among
goods and services and allocate limited resources among alternative uses
Class Format& Weekly Work Plan:
To achieve the above these are the main course components
1st – 2nd Week
Introduction about Economics (Page 04 – 13), Market forces of supply and Demand (Page 61 –
74). Principles of Micro Economics by N.Greory Mankiw
3rd – 4th Week
Market forces of supply and Demand (Page 89– 94), Principles of Micro Economics by
N.Greory Mankiw
CASE STUDY
Two ways to reduce the quantity of smoking demanded
5th – 6th Week
Theory of consumer choice Page (61– 74), Principles of Micro Economics by N.Greory
Mankiw
7th – 8th Week
Elasticity and its Applications Page (89– 94), Principles of Micro Economics by N.Greory
Mankiw
CASE STUDY
Pricing admission to an art gallery
9th week Mid Semester Examination
10th – 11th Week
The cost of production Page (263– 277), Principles of Micro Economics by N.Greory Mankiw
12th – 13th Week
Firm in competitive markets Page (303– 313), Principles of Micro Economics by N.Greory
Mankiw
14th – 15th Week
Market Structure, Perfect competitions, Monopoly Page (303– 313), Principles of Micro
Economics by N.Greory Mankiw
CASE STUDY
The Debeers diamonds monoploy
16th – 17th Week
Monopolistic Competition Page (363– 368), Principles of Micro Economics by N.Greory
Mankiw
Our weekly class Instructions and discussions will follow this format:
Weekly Course Objectives
Week Module Intended Main Learning Objectives
Knowledge about ten Principles (Economics
Scarcity and tradeoffs, opportunity cost,
thinking at the margin, markets etc).
Introduction about
Economics Understand Competitive markets and price
taking, the determinants of an individual’s
demand, the demand schedule, the demand
curve, ceteris paribus, market demand.
Understand Shifts in the demand curve vs.
1–2 movement along the demand curve.
Market forces of
supply and Demand Know how the determinants of individual
supply, the supply schedule, the supply curve,
market supply, shifts in the supply curves.
movement along the supply curve work.
Understand Excess supply, excess demand,
and equilibrium
Market forces of supply Analyzing the Change in Equilibrium.
and Demand Shifts verses movements along g curves.
How prices allocate resources
3–4
Understanding about, What the consumer can
afford
What the consumer wants
What the consumer chooses
How changes in income affect the consumer
choice
How changes in price affect the consumer
choice
Theory of consumer
5–6 Utility
choice
Utility functions
Marginal Utility
Assignment
Explain Ten principals of micro economics
Understanding about elasticity of demand,
Elasticity and its
price elasticity and total revenue, income
Applications
elasticity of demand.
7–8 Understanding about elasticity of supply.
Knowledge about Varity of demand& supply
curves.
The cost of production Learning about What are the costs
Knowledge about production and costs
Knowledge about the various measures of
cost
Understanding about short run and long
run costs.
Quiz
Assignment
Difference between long run and short run
10 – 11 cost curve. Explain with the help of
examples
What is competitive market?
Firm in competitive Understand about Profit maximization and the
12 – 13 markets competitive firms supply curve.
Knowledge about the short run decision to shut
down a firm.
Learning about market structure
Market Structure Leering about perfect competition
Perfect competitions Knowledge about monopoly
Monopoly Knowledge about the short run equilibrium of
14 – 15 the firms under monopoly
Understand about price Discriminating
Knowledge about what is Dumping?
Quiz
Monopolistic Understand about competitive firm in short run
Competition Understand about monopolistic verses
competition
Revision Knowledge about market sharing
16 – 17 Comparison about monopoly and
monopolistic competition
Required Learning Resources
Text Book(s): Required Principles of Micro economics by
N.Gregory Mankiw (Harvard University). Updated 8 th
edition
Recommended Economics by Samuelson &Nordhaus seventh edition
printer by Von Hoffmann press,Inc updated edition
Reference Book: Perloff, Jeffrey M. Microeconomics. 5th ed. Addison
Wesley, 2008. ISBN: 9780321558497.
.
Intermediate micro economics a modern approach by
Update, Hal R Varian.
Facilities Required for Teaching and Learning
-Desktop and internet connection (Use in online classes)
Whiteboard. (use in physical classes)
-Multimedia
Assignments Schedule& Quiz
No. Week Week Due QUIZ TESTS
Assigned
Two surprise quiz tests will be conducted
1 during the semester, best of one will be
6 10
counted for final grade. There will be no
makeup of these tests.
2 11 15
Examination / Weighting of Assessments& Quizzes
Quizzes + Assignments + Class Participation + 20 %
Projects
Mid-semester examination 30 %
End-semester examination 50 %
Dress Code:
Formal business attire only (Dress Trouser, Shirt, Tie, Dress Shoes) Jeans and Joggers NOT
ALLOWED.
Not sure what this dress code means? Read When Job-Hunting: Dress for Success.
Instructor Responsibilities:
In keeping with the format of this class, I see myself as your immediate supervisor. In that sense, I
plan to mentor each of you so that you learn how to make the best decisions possible, to understand
and apply key marketing concepts, and to prepare you to become productive employees upon
graduation. I will do my best to help each of you
grow into the best marketer you choose to become. Thus, besides class time -- where I
will often put you on the spot -- I expect there will be many times we will communicate outside
of class, and I will do my best to help you in a timely fashion.
Student Responsibilities:
You are expected to arrive to class on time, professionally dressed, and prepared for the day.
You should be fully prepared to discuss and debate the course material assigned for that date.
You are expected to participate at all levels and offer objective praise and criticism of your
classmates’ analyses and conclusions. This course is not for the meek or timid. You must
contribute to the greater understanding of marketing and marketing management. This course is
a combination of doing (homework), thinking, and discussing.
Class Participation and Individual Conduct
You should make every effort to attend each class meeting. In addition, it is important that you
prepare for each class by reading the relevant book chapters before the class session in which it
will be discussed. You will also be expected to participate in class discussion and complete in‐
class exercises that will be based on these reading assignments. Your participation grade will be
based on contribution and attendances (be punctual, attend classes, come prepared by doing the
readings, show initiative in the discussion). Note that students who only “show up” should not
expect even an average score. You must be present in class in order to receive credit for in ‐class
exercises, quizzes, participation, etc.
Eating, sleeping, reading, texting, listening to or working on unrelated materials, sidebar
conversations, or “multi‐tasking” using a computer or other electronic device is not permitted.
Laptops (and similar devices) may be used in class for course related activities such as taking
notes. Students may bring drinks such as water.
General Expectations & Classroom Etiquettes.
In terms of performance in this class, I have very high expectations and anticipate outstanding
work from each of you. I hope for a very positive experience for us all. Keep in mind that if you
do not deliver outstanding work then you will be graded to reflect this. I ask that you contact me
directly and immediately if you ever have any questions or concerns regarding the class, any
particular assignments, or your grade(s). I am always willing to help.
I do ask that all students be respectful and courteous to other class members as well as the
professor. This includes turning off cell phones and other electronic devices before class begins
and arriving to class on time, as walking in late is disruptive to other classmates and the
professor. Those who walk in late will likely not receive attendance credit for that day.
Useful Tools / Advice:
This course is time and labor intensive. Be certain to schedule enough time in your weekly
planning to accommodate.
You need to have good access to the Web and an e-mail account.
Please always do your best work.
Etc.:
It is expected that all work you submit for a grade in this class be original and prepared for this
class only.
I am always willing to see my students and will go out of my way to schedule meetings. Please
make sure that if you make an appointment that you keep it.
Finally, as will quickly become apparent, e-mail is by far the easiest and most reliable method
to reach me.
