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1. Title of subject

Principles of Economics

2. Subject code

FSBN 102

3. Status of subject

Core

4. Stage

Foundation

5. Credit Hour

3 (3 hours per week x 14 weeks)

6. Pre-Requisite

None

7. Assessment

Coursework Examination Total Semester 1

: 60% : 40% : 100%

8. Semester

9. Objective of subject

Economics subject aims to provide students with a basic introduction to the essential principles of Economics. In addition, it also provides students with the analytical tools necessary to understand both the domestic and international economic environment within which business organisations (public and private) operate.

10. Synopsis of subject

The important reasons to study economics are to learn a way of thinking, to understand society, and to understand the global affairs.

11. Details of subject Week 1

Contents TOPIC: INTRODUCTION TO ECONOMICS Learning Outcomes: After attending the lesson, the students should be able to: • • • • • outline the reasons to study economics identify the scope and diverse fields of economics explain scarcity, choice and opportunity cost illustrate production possibility frontier compare and contrast types of economic systems

Hours 3

Foundation Studies in Business, Stamford College Petaling Jaya

1

Activity: Tutorial questions Further reading for this lesson: Chapters 1 and 2 th Case, K. E., & Fair, R. C. (2005). Principles of Economics (7 ed.). Prentice-Hall. Chapter 1 th Sloman, J. (2003). Economics (5 ed.). Prentice-Hall.

Week 2

TOPIC: THEORY OF DEMAND AND SUPPLY Learning Outcomes: After attending the lesson, the students should be able to: • • • • • define and explain the concepts of demand and supply identify the determinants of demand and supply distinguish between shifts of versus movement along the curves demostrate market equilibrium and adjustment of disequilibrium calculate and interpret elasticities

3

Activity: Discussion Further reading for this lesson: Chapters 3 and 4 Case, K. E., & Fair, R. C. (2005). Principles of Economics (7th ed.). Prentice-Hall. Chapter 2 th Sloman, J. (2003). Economics (5 ed.). Prentice-Hall.

Week 3

TOPIC: THEORY OF PRODUCTION AND COST Learning Outcomes: After attending the lesson, the students should be able to: • • identify various cost and production functions illustrate economies and diseconomies of scale

3

Activity: Debate

Foundation Studies in Business, Stamford College Petaling Jaya

2

Further reading for this lesson: Chapter 2 th Case, K. E., & Fair, R. C. (2005). Principles of Economics (7 ed.). Prentice-Hall. Chapters 5, 6, 7 and 8 th Sloman, J. (2003). Economics (5 ed.). Prentice-Hall.

Week 4

TOPIC: PERFECT COMPETITON Learning Outcomes: After attending the lesson, the students should be able to: • • identify and demostrate perfect competition examine short run and long run equilibrium

3

Activity: Tutorial questions Further reading for this lesson: Chapters 6, 7 and 8 Case, K. E., & Fair, R. C. (2005). Principles of Economics (7th ed.). Prentice-Hall. Chapter 6 Sloman, J. (2003). Economics (5th ed.). Prentice-Hall.

Week 5

TOPIC : MONOPOLY, MONOPOLISTIC AND OLIGOPOLY Learning Outcomes: After attending the lesson, the students should be able to: • • identify and demostrate imperfect competition examine short run and long run equilibrium

3

Activity: Quiz Further reading for this lesson: Chapters 12 and 13 th Case, K. E., & Fair, R. C. (2005). Principles of Economics (7 ed.). Prentice-Hall. Chapter 7 th Sloman, J. (2003). Economics (5 ed.). Prentice-Hall.

Week 6

TOPIC : NATIONAL INCOME

3

Foundation Studies in Business, Stamford College Petaling Jaya

3

Learning Outcomes: After attending the lesson, the students should be able to: • • examine the importance of national income identify and practice different methods to measure national income

Activity: Tutorial questions Further reading for this lesson: Chapter 18 Case, K. E., & Fair, R. C. (2005). Principles of Economics (7th ed.). Prentice-Hall. Chapter 13 th Sloman, J. (2003). Economics (5 ed.). Prentice-Hall.

Week 7

REVISION AND TEST (WEEK 1- 6)

3

Week 8

TOPIC: UNEMPLOYMENT Learning Outcomes: After attending the lesson, the students should be able to: • • • define and measure unemployment describe different types of unemployment analyse potential costs of unemployment

3

Activity: Discussion Further reading for this lesson: Chapter 19 th Case, K. E., & Fair, R. C. (2005). Principles of Economics (7 ed.). Prentice-Hall. Chapter 14 Sloman, J. (2003). Economics (5th ed.). Prentice-Hall.

Week 9

TOPIC: INFLATION

3

Foundation Studies in Business, Stamford College Petaling Jaya

4

Learning Outcomes: After attending the lesson, the students should be able to: • • define and measure inflation rate analyse potential costs of inflation

Activity: Tutorial questions Further reading for this lesson: Chapter 19 th Case, K. E., & Fair, R. C. (2005). Principles of Economics (7 ed.). Prentice-Hall. Chapter 14 Sloman, J. (2003). Economics (5th ed.). Prentice-Hall.

Week 10

TOPIC: FISCAL POLICY Learning Outcomes: After attending the lesson, the students should be able to: • • understand the roles of the government examine the effectiveness of the government policies

3

Activity: Quiz Further reading for this lesson: Chapters 20 and 21 Case, K. E., & Fair, R. C. (2005). Principles of Economics (7th ed.). Prentice-Hall. Chapter 20 th Sloman, J. (2003). Economics (5 ed.). Prentice-Hall.

Week 11

TOPIC: MONETARY POLICY Learning Outcomes: After attending the lesson, the students should be able to: • • • • define money and illustrate its functions discuss the roles of central bank examine money demand and money supply and its determinants analyse the effectiveness of the central bank’s policies

3

Foundation Studies in Business, Stamford College Petaling Jaya

5

Activity: Discussion Further reading for this lesson: Chapter 22 th Case, K. E., & Fair, R. C. (2005). Principles of Economics (7 ed.). Prentice-Hall. Chapter 20 th Sloman, J. (2003). Economics (5 ed.). Prentice-Hall.

Week 12

TOPIC: INTERNATIONAL TRADE Learning Outcomes: After attending the lesson, the students should be able to: • • understand the basis for trade evaluate the arguments for and against free trade

3

Activity: Tutorial questions Further reading for this lesson: Chapter 21 th Case, K. E., & Fair, R. C. (2005). Principles of Economics (7 ed.). Prentice-Hall. Chapter 23 Sloman, J. (2003). Economics (5th ed.). Prentice-Hall.

Week 13

TOPIC: BALANCE OF PAYMENT Learning Outcomes: After attending the lesson, the students should be able to: • • identify and examine different accounts in Balance of Payment (BOP) interpret the statistical data

3

Activity: Presentation Further reading for this lesson: Chapter 33 th Case, K. E., & Fair, R. C. (2005). Principles of Economics (7 ed.). Prentice-Hall. Chapter 33 Sloman, J. (2003). Economics (5th ed.). Prentice-Hall.

Foundation Studies in Business, Stamford College Petaling Jaya

6

Week 14

REVISION AND TEST (WEEK 8 – WEEK 13)

3

Total 12. Text Compulsory

42 Case, K. E., & Fair, R. C. (2005). Principles of Economics (7th ed.). Prentice-Hall. th Reference

Sloman, J. (2003). Economics (5 ed.). Prentice-Hall.

Foundation Studies in Business, Stamford College Petaling Jaya

7

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The Hiest

...The Heist By Hemant Kumar Rachel gently placed down the pile of firewood by the fireplace. She was exhausted it was the third pile of she had to chop and bring in today. She sat down for a second her muscles aced, she needed to get back to it, before her mistress came in. She stood up straight and yawned it was already 5:30. She went into the kitchen and fetched the teapot and made some tea. The water slowly turned brown like waiting for the sun to rise. She looked at her dark brown skin If only she were white. She would have her own personal slave a big white house, get to eat real food and get to taste tea! As the water finally turned dark brown she poured it into the teapot. She set out the teacups the sugar on one tray and brought it out as her owner Sarah and her master Sir John sat down. They both took a teacup and put sugar in the tea. Rachel looked into the deep brown of the tea in sir john’s cup. Rachel smelled the delicious taste that was longing to be brought to her lips. Her hands went out to take the cup but snapped back in when Mistress Sarah yelled, “Stop at once! You fool! Tea is only for civilized human beings! Not a negro like you!” Rachel set the pot of tea by Sir John and ran out into the fields where her mother was picking cotton with a few other Africans. She spotted her mother and hugged her. “What’s happened?” asked her mother stroking her braids. “Oh Mother!” said Rachel wrapping her arms even tighter around her. “Rachel!” yelled Sir John. “Go...

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