UNIVERSITI TEKNOLOGI MARA

SCHEME OF WORK

Code : ECO415

Course : ECONOMICS

Level : Degree
Credit Unit : 3
Contact Hours : 4
Part : 1
Course Status (Core/Non : Core
Core)
Pre-Requisite : None

Course Outcomes

At the end of the course, students should be able to:

1. identify the important concepts and principles of economics which govern the operation
of market based economy.

2. explain those concepts and principles in relation to economic issues, problems and
government policies.

3. apply the knowledge and understanding of economics in real world economic events and
current issues in economics.

Course Description

This is an introductory economics course for students pursuing a three- year degree
program. It provides a detailed, comprehensive, and broad-based analysis of both
microeconomics and macroeconomics principles and their application and relevance in
everyday life.

Fakulti Pengurusan Perniagaan Tahun Semakan: 2013

Ijazah Sarjana Muda Pentadbiran Perniagaan (Kepujian) Ekonomi Perniagaan
© Hak Cipta Universiti Teknologi MARA
 Hours
Course Topics CO Assessment Rubrics
Content Tools
1.0 Introduction to Economics
2
 Definition of economics CO1, CO2 Quiz/Assignment NA
 Scope of economics: Test 1 NA
microeconomics and Final Exam NA
macroeconomics
 Basic economic concepts
 Basic economic problem

2.0 Demand
 Law of demand 6 CO1, CO2 Test 1 NA
 Determinants of demand Final Exam NA
 Changes in demand versus Quiz/Assignment NA
changes in quantity demanded Case study NA
 Price Elasticity of demand
 Determinants of price elasticity of
demand

Supply
 Law of supply
 Determinants of supply
 Changes in supply versus
changes in quantity supplied
 Price Elasticity of supply
 Determinants of price elasticity of
supply

3.0 Market Equilibrium

4 CO1, CO2, Case Study NA
 Determination of equilibrium price CO3 Test 1 NA
and output Final Exam NA
 Effects of changes in demand and Quiz/Assignment NA
supply on equilibrium price and
output.
 Price controls

4.0 Theory of Production and Costs

Costs and profit 4 CO1, CO2 Test 1 NA
 Economic profit versus Accounting Final Exam NA
profit Quiz/Assignment NA
Case study NA

Short-run production costs

 Short-run production function
 Law of diminishing returns
 Short-run costs

Fakulti Pengurusan Perniagaan Tahun Semakan: 2013

Ijazah Sarjana Muda Pentadbiran Perniagaan (Kepujian) Ekonomi Perniagaan
© Hak Cipta Universiti Teknologi MARA
 Long-run production costs
 Long-run average cost
 Economies of scale and
diseconomies of scale

5.0 Theory of the Firm and Market

Structure 4 CO1, CO2, Quiz/Assignment NA
CO3 Test 1 NA
Profit maximization: Total and Final Exam NA
marginal approach Case study NA
1
Perfect competition
 Characteristics
 Short-run and long-run equilibrium

Monopoly
 Characteristics
 Barriers to entry
 Short-run and long-run equilibrium

Monopolistic competition
 Characteristics
 Short-run and long-run equilibrium

Oligopoly
 Characteristics
 Price and output decision
- The Kinked Demand Curve

6.0 MACROECONOMICS
2 CO1, CO2 Test 2 NA
Macroeconomic Objectives Final Exam NA
Case study NA
 Full employment Quiz/Assignment NA
 Price Stability
 Economic growth
 External Balance
 Better quality of life

7.0 Measuring Gross Domestic Output

and National Income Accounting 3 Case study NA
CO1, CO2 Quiz/Assignmen NA
 The circular flow Model (open t NA
economy) Test 2 NA
 Methods of calculating national Final Exam
income
- The expenditure approach
- The product approach
- The income approach
 Uses of National Income

Fakulti Pengurusan Perniagaan Tahun Semakan: 2013

Ijazah Sarjana Muda Pentadbiran Perniagaan (Kepujian) Ekonomi Perniagaan
© Hak Cipta Universiti Teknologi MARA
  Problems in calculating national
income
 Concepts of nominal, real and per
capita income

8.0 0 Public Policies

 Fiscal Policy 5 CO1, CO2 Quiz/Assignmen NA
 Monetary policy t NA
Case study NA
Fiscal policy Test 2 NA
 Sources of fiscal policy Final Exam
- tax
- non-tax
 Types of government expenditure
- operating
- development

1 Monetary policy
- Monetary instruments
- Expansionary
- Contractionary

9.0 Macroeconomic Problems 4

CO1, CO2, Case study NA
 Inflation CO3 Test 2 NA
0 Types and causes of inflation Final Exam NA
- Demand-pull Quiz/Assignmen NA
- Cost-push t

Policies to control inflation

- Fiscal policy
- Monetary policy
- Direct measures

 Unemployment
Types and causes of
unemployment

Policies to control unemployment

- Fiscal policy
- Monetary policy
- Direct measures
10.0 International Economics
4 CO1, CO2, Test 2 NA
 International Trade CO3 Final Exam NA
Gains from trade Quiz/assignment NA
Barriers on free trade Case study NA
Arguments for protectionism

 Balance of Payment
0 Structure of Balance of Payment
1 Corrections of Balance of
Payment deficits

Fakulti Pengurusan Perniagaan Tahun Semakan: 2013

Ijazah Sarjana Muda Pentadbiran Perniagaan (Kepujian) Ekonomi Perniagaan
© Hak Cipta Universiti Teknologi MARA
Teaching Methodology
Lecture
Active learning

Assessment
Continuous Assessment:
Two Tests = 20%
Assignments/Quizzes = 20%
Case study analysis = 10%
Total carry marks 50%

Final Examination:
Format:
2 case study analysis (structured questions) : 20 marks x 2 = 40 marks
3 out of 4 short essay questions : 20 marks x 3 = 60 marks
Total final exam = 100 marks
50%
Total 100%

Recommended Text

1. Jamaliah Taib, Norizan Mohammad, Siti Badariah S.Nathan and Fatimah Setapa.,
Understanding Economics: Theory and Application ( 2nd ed), 2009, Mc Graw Hill,
Malaysia.
OR
2. Nur Huda Abdul Wahab et al., Economic Theory in the Malaysian Context, 2010,
Cengage Learning, Singapore.

References

1. Begg. D,Fisher. S,and Dornbusch. R., Economics (7th ed) 2003. Mc Graw Hill.

2. John Sloman, Economics. Third Edition, Prentice Hall, Edinburgh, 2000

3. Tucker, Irvin B., Economics For Today (5th ed), 2007, Thomson,South-Western
College publishing.

Fakulti Pengurusan Perniagaan Tahun Semakan: 2013

Ijazah Sarjana Muda Pentadbiran Perniagaan (Kepujian) Ekonomi Perniagaan
© Hak Cipta Universiti Teknologi MARA