Introduction to Micro and Macro Economics
- Types of Utility
- Concepts of Utility
- Relationship Between Total Utility and Marginal Utility
- Law of Diminishing Marginal Utility
- Assumptions of Diminishing Marginal Utility
- Exceptions to the Law of Diminishing Marginal Utility
- Criticisms of the Diminishing Marginal Utility
- Significance of the Diminishing Marginal Utility
- Relationship Between Marginal Utility and Price
- Diminishing Marginal Utility
Elasticity of Demand
Forms of Market
- Concept of National Income
- Features of National Income
- Circular Flow of National Income
- Different Concepts of National Income
- Methods of Measurement of National Income
- Output Method/Product Method
- Income Method
- Expenditure Method
- Difficulties in the Measurement of National Income
- Importance of National Income Analysis
Public Finance in India
Money Market and Capital Market in India
- Financial Market
- Money Market in India
- Structure of Money Market in India
- Organized Sector
- Reserve Bank of India (RBI)
- Commercial Banks
- Co-operative Banks
- Development Financial Institutions (DFIs)
- Discount and Finance House of India (DFHI)
- Unorganized Sector
- Role of Money Market in India
- Problems of the Indian Money Market
- Reforms Introduced in the Money Market
- Capital Market
- Structure of Capital Market in India
- Role of Capital Market in India
- Problems of the Capital Market
- Reforms Introduced in the Capital Market
Foreign Trade of India
Introduction to Micro Economics
- Features of Micro Economics
- Analysis of Market Structure
- Importance of Micro Economics
- Micro Economics - Slicing Method
- Use of Marginalism Principle in Micro Economics
- Micro Economics - Price Theory
- Micro Economic - Price Determination
- Micro Economics - Working of a Free Market Economy
- Micro Economics - International Trade and Public Finance
- Basis of Welfare Economics
- Micro Economics - Useful to Government
- Assumption of Micro Economic Analysis
- Meaning of Micro and Macro Economics
Analysis of Demand and Elasticity of Demand
Analysis of Supply
Types of Market and Price Determination Under Perfect Competition
Factors of Production
Introduction to Macro Economics
- Features of Macro Economic
- Improtance of Macro Economic
- Difference Between Mirco Economic and Macro Economic
- Allocation of Resource and Economic Variable
Determinants of Aggregates
- Introduction of Public Economics
- Features of Public Economics
- Meaning of Government Budget
- Objectives of Government Budget
- Features of Government Budget
- Public Economics - Budget (1 Year)(1 April to 31 March)
- Types of Budget
- Taxable Income
- Budgetary Accounting in India
- Budgetary Accounting - Consolidated , Contingency and Public Fund
- Components of Budget
- Factor Influencing Government Budget
Different Concepts of National Income :
1) Gross Domestic Product (GDP) :
Gross Domestic Product is the gross market value of all final goods and services produced within the domestic territory of a country, during a period of one year.
∴GDP = C + I + G + (X-M)
C = Private consumption expenditure
I = Domestic Private Investment
G = Government's consumption and Investment Expenditures
X - M = Net export value (Value of Exports - Value of imports
Importance of GDP:
Samuelson and Nordhaus neatly sum up the importance of the national accounts and GDP in their seminal textbook “Economics” They liken the ability of GDP to give an overall picture of the state of the economy to that of a satellite in space that can survey the weather across an entire continent.
GDP enables policymakers and central banks to judge whether the economy is contracting or expanding, whether it needs a boost or needs to be restrained, and if threats such as a recession or rampant inflation loom on the horizon.
2) Net Domestic Product (NDP) :
Net Domestic Product is the net market value of all final goods and services produced, within the territorial boundaries of a country, during a period of one year.
∴ NDP = GDP - Depreciation.
Importance of NDP:
If the gap between the GDP and NDP is narrower or smaller, then it is considered good for an economy. Also, it indicates economic balance. However, a wider gap between the GDP and NDP shows an increase in the value of obsolescence. As the NDP takes into account the depreciation of capital assets, it is considered to be superior to the GDP as a measure of well-being of a nation.
3) Gross National Product (GNP) :
Gross National Product means the gross value of final goods and services produced annually in a country, which is estimated according to the price prevailing in the market.
∴ GNP = C + I + G + (X-M) + (R-P).
∴ GNP = C + I + G + (X-M) + (R-P).
(R = receipts from abroad and P = payments made abroad)
Importance of GNP:
The big advantage of the GNP is that it is a single figure which contains a huge load of hints concerning not just the economy but also the general living standard in a country. The GNP per capita is not only the average income in a country - countries with a higher GNP can usually afford a better health care and educational system.
4) Net National Product (NNP) :
Net National Product is the net market value of all final goods and services produced by the residents
of a country, during a period of one year.
∴ NNP = GNP – Depreciation
Importance of NNP:
To many of us, the net national product may seem an insignificant figure – another number among the many items discussed by economists. However, we would be mistaken to not understand the importance and significance it represents in our daily lives.
A vibrant economy, represented in part by the NNP, can help us to decide if a particular country is worth moving to or if the economy is growing at a pace that we feel comfortable being paid in the local currency. Thus, the NNP can be a useful figure to understand and interpret, especially when making comparisons among locales.
Concept of Green GNP :
It is defined as, “Green GNP is an indicator of sustainable use of natural environment and equitable distribution of benefits of development.”
Following are the characteristics of Green GNP :
1) Sustainable economic development, i.e. development which should not cause environmental degradation (pollution) and depletion of natural resources.
2) Equitable distribution of benefits of its development.
3) Promotes economic welfare for a long period of time.
Green GNP = GNP - (Net fall in stock of natural capital + pollution load)
Identify and explain the following concept:
Rajendra has a total stock of 500 gel pens in his shop which includes the 200 gel pens produced in the previous financial year.
Study the following table and answer the questions given below it.
|Government Expenditure (G)||400/-|
|Net Export (X-M)||-150/-|
- Calculate GDP (Gross Domestic Product) on the basis of the above table.
- Calculate NDP (Net Domestic Product) on the basis of the above table.
State with reason whether you agree or disagree with the following statement:
Transfer payments are included in national income