MODULE HANDBOOK

[Microeconomics]
BBA-1
ECO100

Instructor: Dr. Shahzad Kouser

Department of Management Sciences

COMSATS University Islamabad
Park Road, Tarlai Kalan, Islamabad, PAKISTAN
Course Description
The course is intended to provide the students with the necessary knowledge of the principles
and mechanics of microeconomics theory. The objective of the course is to create an
understanding of preliminary approach, which is important to all the scholars of economics.
The course coverage includes the general framework of demand and supply forces, firm’s
behaviour and consumer’s theory as detailed statement analysis.

Course Objectives
The main objective of this module is to develop understanding of different concepts,
terminologies and methods used in microeconomic theory. This module is designed in
accordance with the current demand and trends followed in the market. Specific objective
are:
 To develop understanding of concepts, models, and other terminologies.
 To develop the tools how a producer acts under certain circumstances to maximize
profits or to minimize the cost.
 To develop the skills to analyze the consumer behavior, as how consumer respond to
changes.
This is a 3 credit hours course, comprising 3 hours of teaching per week.

Details of Instructor
Naeem Ahmed
Email: drskouser@comsats.edu.pk
Office location: Faculty Area (basement), Faculty Block-II, Cabin No. 095
Meeting: By appointment only or during the office hours

Teaching Philosophy
It is important that each of the class participants is successful in this course. The topic as well
as the concepts will be discussed in the classroom. Illustrations, exercises and problems will
also be solved in the classroom. Work will be assigned to the students that will be done by
them at home and the problems arising will be removed in the tutorials as well as during the
consultation hours. Problems given to the student as homework may or may not be a part of
assignment. During the semester, students will be involved in the activities of solving
problems, discussing theories, their applications, and attempting of quiz, and the two
sessional exams. After the completion of the semester there would be a final exam.

Module Handbook of Microeconomics for the students of BBA 1 A sections Fall 2023 Semester at Department
of Management Sciences, COMSATS University Islamabad, Pakistan
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Course Instructor: Dr. Shahzad Kouser
Academic Dishonesty
Academic dishonesty
It is an offence that will not be tolerated in any form. Any student who is involved in any
such activity will be penalized to the fullest extent possibly allowed by university regulations.
If there is any doubt whether an action constitutes academic dishonesty, consult with your
instructor or class mentor before taking the action.

Plagiarism and Cheating:

Plagiarism is the presentation by a student as his or her own work but is actually stolen from
someone else. Whenever a student submits a piece of writing claiming it to be his own
authorship, it is generally understood that all the ideas, opinions, facts, figures, conclusions,
revisions, words are the student’s original work, unless he/she has explicitly indicated
otherwise using citations, footnotes, attribution in the text, and/or used quotation marks.

The use of unauthorized material during an examination in order to secure or give help will
not be tolerated. Academic dishonesty also encompasses unauthorized copying and
distribution of examinations, assignments, reports, projects, term papers or the presentation of
unacknowledged material as if it were the student’s own work. A person failing to
acknowledge and recognize the contribution of the original author will be held responsible
under academic deception. Such action will necessitate towards the disciplinary measures
against the student under University’s academic dishonesty policy. Any academic dishonesty
would call for swift punitive action by the faculty and the names of the students involved
would be reported to the concerned Head of Department.

Course Assessment
Grades:
Letter grades will be assigned based on the university’s standard grading scale.

Being Prepared for Class:

Student must go through the assigned readings before coming to the class. They should be ready to
discuss the undergoing concepts by different perspectives.

Module Handbook of Microeconomics for the students of BBA 1 A sections Fall 2023 Semester at Department
of Management Sciences, COMSATS University Islamabad, Pakistan
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Course Instructor: Dr. Shahzad Kouser
Attendance:
Students are required to attend all the classes; minimum attendance requirement by rule is 80% in
CUI. They are fully responsible for the course materials and other information missed in the class due
to absence.

Quiz:
Quizzes will be announced and there will be no make-up for the missed quiz.

Assignments:
In fairness to students who complete assignments on time, late assignments will not be accepted.
Students must turn in the assignments at the end of the lecture on the day they are due.

Minimizing disruptions:
All cell phones should be turned off or remain silent during the lecture. Do not involve in side
conversations.

Class Participation:
Positive, healthy and constructive class participation will be monitored for each class. Particular
emphasis will be given during the presentation sessions. The manner in which the question is asked or
answered will also be noted. Behaviour in the class will contribute to the class participation marks.

Type of Assessment Weightage

Mid-Term Examination 25%
Assignments, Quizzes and Class Participation 25%
Final Examination 50%

Course Literature
 N. Gregory Mankiw. 2017. Principles of Economics. 8th Edition, Cengage Learning.
 N. Gregory Mankiw. 2017. Principles of Microeconomics. 8th Edition, Cengage
Learning.

Reference Material
 K.K. Dewett & M.H. Navalur. 1996. Modern Economic Theory. Revised Edition.
 Schaum’s Outline Series, Microeconomic Theory (Asian Student Edition)
 The A to Z of Economics. Internet resources. https://www.economist.com/economics-
a-to-z

Module Handbook of Microeconomics for the students of BBA 1 A sections Fall 2023 Semester at Department
of Management Sciences, COMSATS University Islamabad, Pakistan
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Course Instructor: Dr. Shahzad Kouser
 Detail of Course Contents
Objective
Strategies for
Wee Lectu (Goal / Thinking Tasks for
Topic(s) Tasks for
k# re # Outcome Level Students
Students *
of Topic )
1 Scarcity Read the
Ten definition of
1
2 principles of Basic Definition of economics and
economics economics economic
Concepts
basis of
and economics. problems from
Basic
1 fundamenta classification several
Thinking like knowledge of economic
l principles resources
areas, Micro
an economist
2 of and other than the
Economics economics macroecono
mics main
2 models
suggested text
book.
Comprehens Find out the Collect
economics
ion vegetable and
Definition scenarios
where fruit prices in
and role of demand and
1 their peak
demand supply play
Market its role in seasons and
and supply their daily
forces of off seasons
3 lives.
demand and and compare
Demand &
supply Role of Discuss the
supply
demand reactions to price
change in
2 and supply differences in
price. Draw
for setting demand, two different
supply
prices locations
schedule on
4 Elasticity of Demand graph papers
Mathematical
demand and measurem
1 Identify and calculations of
supply ent more find the
causes of elasticity
precise different
2 Determina shapes of Graphical
demand

Module Handbook of Microeconomics for the students of BBA 1 A sections Fall 2023 Semester at Department
of Management Sciences, COMSATS University Islamabad, Pakistan
5
Course Instructor: Dr. Shahzad Kouser
 representations
nts of
of demand and
elasticity curves on the
basis of supply
1 Elasticity of elasticity.

demand and
5 supply with  do
2
applications
in Economics
Define and Consumer and
measure producer
Consumer
consumer surplus under
1 and producer
and demand and
surplus
producer supply curve
Construct
surplus consumer respectively
6 Application and producer
Combining
Identify surplus using
schedules demand and
consumer
Market supply and
2 and
efficiency measure
producer
market
welfare
efficiency
7 Analysis Using Difference
cardinal
between
Introductio approach
Theory of identify cardinal and
n to utility
1 Consumer ordinal
consumer maximizing
Behavior combinations approach
choices under income
Consumer
constraint.
Using ordinal preferences
graphically
2 Theory of Utility Using
identify the
Consumer maximizati indifference schedules of
curve and
Behavior on through utility prices
budget line
cardinal of goods and
approach income apply
equi-marginal

Module Handbook of Microeconomics for the students of BBA 1 A sections Fall 2023 Semester at Department
of Management Sciences, COMSATS University Islamabad, Pakistan
6
Course Instructor: Dr. Shahzad Kouser
 principal
Utility Budget
Theory of maximizati constraint
1 Consumer on through Indifference
Behavior ordinal curves
approach Optimization
Changes in
9 Price effect,
consumer
Income effect
Theory of choices
and
2 Consumer due to
Substitution
Behavior price and
effect, PCC,
income
ICC
changes
1
10 Mid-Term Exam
2
Factors of
Analysis of
production
Theory of production in
1 , Draw
Production production short run and
production function
long run
11 function Synthesis using
schedule.
Draw and Scenario of
Isoquants
Theory of interpret iso optimum
2 Iso-cost quant
Production factor
lines
combinations
12 Theory of Cost Draw all Practice to
Production & minimizati short run cost draw cost
1
Theory of on curves family curves family
Cost graphically by hand
2 Cost and Profit Profit
revenue maximizati maximization
on graphically
and
mathematicall

Module Handbook of Microeconomics for the students of BBA 1 A sections Fall 2023 Semester at Department
of Management Sciences, COMSATS University Islamabad, Pakistan
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Course Instructor: Dr. Shahzad Kouser
 y
Introductio
n to
Market Loss and
market
Structure: profit
1 structure,
Perfect situations
price and
Competition graphically
output
13
decision
price and
Graphically Loss and
Market output see demand
and price profit
2 Structure: decision
decisions situations
Monopoly under under
competition graphically
monopoly
and without
price and Evaluation competition.
output
Market decision Loss and
Structure: under profit
1
Monopolistic monopolist situations
competition ic graphically
14 competitio
n
Draw price
Market for factors of determinatio
Explain
2 production n mechanism
quantitative
Price determination of of labor in
problem
Factors of production the FoPs
1 market
15
2
Projects, Viva Voce,
1 Explain below
16 Presentations & Final Exam
2

Final project

Module Handbook of Microeconomics for the students of BBA 1 A sections Fall 2023 Semester at Department
of Management Sciences, COMSATS University Islamabad, Pakistan
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Course Instructor: Dr. Shahzad Kouser
Objectives: In this course project it is expected from you to revise the course at
large taking into consideration the real time examples. For that it is required that
you choose demand/revenue and cost functions (mathematical equations) from
some reliable sources (mathematics , economics or online resources). Then go
ahead step by step as following.
1. using the cost function derive all measures of cost like, TC, TVC, TFC, AC,
AVC, AFC, and Marginal cost, draw those in figure with accurate origin and
scales. For that I suggest you to utilize Microsoft excel.
2. Using demand functions draw all possible measures of Revenue, like TR,
MR, and AR.
3. Here you will calculate profit maximization quantity using maxima minima
approach with the help of mathematical equations.
4. Combine graphically cost and revenue graphs and identify profit and loss
scenario. Also verify the graphically the already calculated quantity in step 3.
5. In the end you will try to identify the market structure on the basis of demand
curve elasticity.

Exemplary functions

The cost function is

The revenue function is
Q = 101.25 -0.25p
TC = 40 +5Q +Q2

Module Handbook of Microeconomics for the students of BBA 1 A sections Fall 2023 Semester at Department
of Management Sciences, COMSATS University Islamabad, Pakistan
9
Course Instructor: Dr. Shahzad Kouser