Escolar Documentos
Profissional Documentos
Cultura Documentos
CHECKLIST
In this packet, if you find anything missing from the above mentioned material,
please contact at the address given below:
Mailing Officer
Services Block No. 28
Allama Iqbal Open University
H-8, Islamabad.
Phone Nos. 051-9057611-12
Humaira Jahanzeb
Course Coordinator
ALLAMA IQBAL OPEN UNIVERSITY, ISLAMABAD
(Department of Business Administration)
WARNING
1. PLAGIARISM OR HIRING OF GHOST WRITER(S) FOR SOLVING
THE ASSIGNMENT(S) WILL DEBAR THE STUDENT FROM AWARD
OF DEGREE/CERTIFICATE, IF FOUND AT ANY STAGE.
2. SUBMITTING ASSIGNMENTS BORROWED OR STOLEN FROM
OTHER(S) AS ONE’S OWN WILL BE PENALIZED AS DEFINED IN
“AIOU PLAGIARISM POLICY”.
ASSIGNMENT No. 1
(Units: 1–4)
Course: Economic Analysis (522) Semester: Spring 2010
Level: MBA Total Marks: 100
Pass Marks: 40
Note: Attempt all questions.
Q. 1 Discuss in detail the term economic resources with reference to service industry.
Explain the link between scarcity, choice and opportunity cost. (20)
2
GUIDELINES FOR ASSIGNMENT # 1:
You should look upon the assignments as a test of knowledge, management skills, and
communication skills. When you write an assignment answer, you are indicating your
knowledge to the teacher:
Your level of understanding of the subject;
How clearly you think?
How well you can reflect on your knowledge & experience?
How well you can use your knowledge in solving problems, explaining
situations, and describing organizations and management?
How professional you are, and how much care and attention you give to what you
do?
To answer a question effectively, address the question directly, bring important related
issues into the discussion, refer to sources, and indicate how principles from the course
materials apply. The student must also be able to identify important problems and
implications arising from the answer.
For citing references, writing bibliographies, and formatting the assignment, APA format
should be followed.
ASSIGNMENT No. 2
Total Marks: 100
Pass Marks: 40
This assignment is a research-oriented activity. You are required to obtain information
from a business/commercial organization and prepare a report of about 1000 words on
the issue allotted to you to be submitted to your teacher for evaluation.
You are required to select one of the following issues according to the last digit of your
roll number. For example, if your roll number is P-3427180 then you will select issue No.
0 (the last digit):-
Issues:
0. Define each of the following terms carefully and give examples PPF, scarcity,
productive efficiency, input and output. Relate these terms to examples in the local
environment.
1. Many scientists believe that we are rapidly depleting our natural resources. Assume
that there are only two inputs (labour and natural resources) producing two goods
(musical concerts and gasoline) with no improvement in society over time. Show
what would happen to the PPF over time as natural resources are exhausts. How
would invention and technological improvements modify your answer? On the
basis of this example, explain why it is said “economic growth is a race between
depletion and invention.”
2. What is the social responsibility of mangers? Comment on social responsibility as a
growing trend in your paper.
3. Contrast command versus market economy? Give examples for your answer.
4. Give three examples of specialties that a manager has to face in an organization
and also comment on how these responsibilities have changed over time?
3
5. Discuss the social responsibilities that a manger has to face in an organization and
also comment on how these responsibilities have changed over time?
6. “Lincoln freed the slaves. With one pen stroke he destroyed much of the capital,
the South had accumulated over the years.” Comment.
7. What importance does the 4economic environment have for a business or non
business enterprise? Please discuss while giving clear and concrete arguments and
justification.
8. Define carefully what is meant by a demand schedule or curve. State the law of
downward sloping demand. Illustrate the law of downward sloping demand with
two cases from your own experience.
9. Define the concept of a supply schedule or curve. Show that an increase in supply
means a rightward and downward shift of the supply curve. Contrast this with the
right ward and upward shift in the demand curve implied by an increase in demand.
What does you, experience suggest?
4
ECONOMIC ANALYSIS
Course Outline (522)
Unit 1: Nature of Economics and Basic Economic Concepts
• Economic: Micro and Macro Economics
• Positive and Normative Economics
• Is Economics Science or an Art?
• Basic Economic Concepts:
• Resources and its scarcity
• Scarcity and Choice
• Opportunity Cost and its uses
• Production Possibility Frontier
• Law of increasing cost or diminishing return
• The concept economic efficiency and growth
Types of Economies
• Command Economy
• Market Economy
• Mixed Economy
• Islamic Economic System
• Prices System and Resource Allocation
5
• Income elasticity of demand and cross-price elasticity of demand
• The determinants of the price elasticity of demand
• Relationship between elasticity of demand and the revenue
• Price elasticity of supply in the short and long run
• The applications of and the uses of elasticity of demand and supply
• Supply and demand analysis and the intervention of the government
Indifference Curve Analysis
• Scale of preferences
• Indifference curves
• Properties of indifference curve
• Marginal rate of substitution
• Budgetary constraint and the determination of consumer equilibrium
• Income substitution, price effects and derivation of demand curve
• Superiority and weaknesses of indifference curve technique
• Applications and uses of indifference curve technique
6
Unit 5: Pricing of Factors of Production
• Factor markets
• Factor supply and the concept of marginal factor cost
• Firm demand for factors of production
• Labour, labour supply and demand curve and the equilibrium in the labour
market
• Determination of equilibrium wage rate under perfect and imperfect market
conditions
• Interest, rent and profit
• Supply of capital
• Interest, credit market, rate of interest
• Rent, pure and economic rent
• Profit: sources of economic profit
• Concept of externalities and the need for government intervention in
imperfectly competitive market conditions.
7
• Relation between inflation and unemployment
• Methods of controlling inflation and unemployment
8
Unit 9: International Trade, Balance of Payments & International Financial System
• Need for international trade
• International trade theory
• Principle of absolute and comparative advantage
• Structure of balance of payments
• Equilibrium in the balance of payments
• Causes and consequences of balance of payments dis-equilibrium
• Methods of controlling balance of payments dis-equilibrium
• Relationship between international trade, balance of payments and the
determination of exchange rate
• Types of foreign exchange rate determination system
• Fixed, floating and flexible exchange rates and their advantages and
disadvantages
• International Monetary Fund: structure, functions and role in the
determination of exchange rate system
• World Bank: functions and role in development of less developed countries
• GATT, rounds of GATT and the New World Order, World Trade
Organization (WTO).
=====