BMGT 18065 · Year 1 course unit

Business Economics

5 credits6 units · 28 topicsFinal examination

Prep tip

Economics marks come from diagrams and numbers. Draw every curve with labelled axes, and practise the worked examples (elasticity, equilibrium, cost tables, profit, national income, the multiplier) until the arithmetic is automatic.

Suggested order: Unit I, then II, then III, then IV, then V, and VI last.

Units

Unit I0 of 5 read

Introduction, demand and supply

5 sheets · about 36 min reading

Business economics: basic concepts, micro and macro7 min Economic systems6 min Laws of demand and supply, determinants and curve shifters8 min Market equilibrium and the price mechanism8 min Government price fixing: ceilings and floors7 min

Unit II0 of 3 read

Elasticity and its applications

3 sheets · about 27 min reading

Price elasticity of demand: measurement, determinants and importance10 min Income, cross and supply elasticity8 min Tax incidence, consumer surplus and producer surplus9 min

Unit III0 of 5 read

Consumer behaviour and production decisions

5 sheets · about 48 min reading

Diminishing marginal utility and consumer equilibrium9 min Indifference curves, the budget line and consumer equilibrium10 min Income and price changes: ICC, PCC and the income and substitution effects10 min Production with one variable input: stages and diminishing returns9 min Two variable inputs: isoquants, isocosts and long-run equilibrium10 min

Unit IV0 of 5 read

Costs, profit and market structures

5 sheets · about 47 min reading

Short-run and long-run costs; economies and diseconomies of scale10 min Profit maximisation: total and marginal approaches8 min Perfect competition: short-run and long-run equilibrium10 min Monopoly: price and output9 min Monopolistic competition and oligopoly10 min

Unit V0 of 5 read

National income and macroeconomic models

5 sheets · about 49 min reading

Introduction to macroeconomics: goals, theories, models and policies7 min National income: the circular flow and the three approaches10 min National income equilibrium and the multiplier10 min Goods and money markets: the IS-LM model11 min Aggregate demand and aggregate supply (AD-AS)11 min

Unit VI0 of 5 read

Policy, inflation, unemployment and trade

5 sheets · about 50 min reading

Fiscal policy and the crowding-out effect9 min Monetary policy and central bank interest rate policies10 min Inflation: meaning, measurement, causes, effects and remedies11 min Unemployment and the Phillips curve9 min International trade, global interest rates and global trends11 min

The exam

Graded A+ (85-100) to E (0-24) on a 12-step scale; GPA is credit-weighted (5 credits per course unit).

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