M.A.

in BUSINESS ECONOMICS

Revised Syllabus for the M.A. in Business Economics)

Sem - I to IV

(As per the Choice Based Credit System with effect from the academic

Year 2021-22)

B. K. Birla College of Arts, Science & Commerce,(Autonomous) Kalyan

Conducted by Kalyan Citizens’ Education Society

Affiliated to University of Mumbai

‘College of Excellence’ status by UGS (2015- 2020)

Reaccredited by NAAC (3rd Cycle) with ‘A Grade (CGPA- 3.58) (2014-2021)

 B. K. Birla College of Arts, Science & Commerce( Autonomous), Kalyan
Affiliated To University of Mumbai

Syllabus for Approval

Sr. No Heading Particulars

1 Title of the Course M.A. in Business Economics

2 No. of Years / Semesters Two Years / Four Semesters

3 Passing Marks - 40%

4 Level P.G.

5 Pattern Semester

6 Status Revised

7 To be implemented from Academic Year 2021-2022

Name & Signature of BOS Chairperson:

Programme Outcomes:

The Master of Arts programme in Business Economics has been designed with the objective to
develop

in-depth knowledge of students in frontier areas of economic theory and methods, so that they
are able

to use the knowledge to study real world economic problems. The course has a strong focus on
theoretical

and quantitative skills and train students in the collection and analysis of the data.

Thus, the Masters in Business Economics programme seek to:

1. Prepare students to develop critical thinking to carry out investigation about various
socio-economic issues objectively while bridging the gap between theory and practice.

2. Equip the student with skills to analyse problems, formulate an hypothesis, evaluate and
validate results and draw reasonable conclusions thereof.

3. Prepare students for pursuing research or careers that provide employment through
entrepreneurship and innovative methods. Because today’s unemployment problem can also be
solved by developing the micro and small entrepreneurship

4. Prepare students to develop own thinking /opinion regarding current national or

international policies and issues

5. Create awareness to become a rational and an enlightened citizen so that they can take the
responsibility to spread the governments’ initiatives/schemes to the rural areas for the upliftment
of the poor or vulnerable section of the society for inclusive growth

Programme Specific Outcome:

At the end of the programme, the students will have adequate competency in the frontier areas
of economic theory and methods. The students will acquire additional specialisation through
optional courses. They will be able to use common software for analysis of economic data.
Besides, students will be able to execute in-depth analysis of economic issues based on their
understanding of economic theory, which will not only widen their opportunities for
employment, but also help them to pursue their doctoral studies.
Keeping the programme objectives in view, the specific learning outcomes of Masters in
Economics are:

1. Understanding the basic assumptions in various economic theories and enhance

capabilities of developing ideas based on them

2. Prepare and motivate students for research studies in Economics especially by developing
questionnaire, collecting primary data through field surveys

3. Provide knowledge of a wide range of econometric techniques using excel or other

statistical software

4. Motivate students to extract or utilize different websites for secondary data collection,
generating concepts for various facets of economic studies and gather latest informations
provided by various Universities, UGC, or ICSSR

5. Motivate students in preparing for various competitive examinations, NET, SET, Indian
Economic Service etc., by developing or gaining value addition day by day by giving
assignments, by following a routine or developing discipline / concentration etc.

ABOUT CREDIT SCHEME:

1. Total 96 credits for entire course ( 24 Credits per semester- 24*4 semester = 96)

2. Per paper 6 credits ( 6*4 papers = 24 at each semester)

3. Per paper 48 teaching hours during the semester

4. Total 12 teaching hours per unit during the semester

5. All papers have 4 units including Project Work

6. Total 4 teaching hours per week per paper

PREAMBLE:

The syllabus of MA has been revised by the Board of Study in Business Economics by keeping
in view of
the recent trends in the subject of economics and by giving due weightage to the case study
approach.

The revised syllabi of MA will be made effective from the Academic Year 2021-22. In this
revision,

some of the existing optional papers have been replaced by new papers. A broad overview of the
structure

and other details of the course is given below.

DURATION:

The course shall be a full time course.

The duration of M.A. course shall be of Two years across Four Semesters.

MA Part I: SEMESTER – I & II (Four papers each semester)

MA Part II: SEMESTER – III (Four papers)

MA Part II: SEMESTER – IV (Three papers and Project Work)

TOTAL CREDITS:

A student enrolled for MA Program should acquire a total of 100 credits over four semesters.

PROJECT COMPONENT

Project component will be for a total of 100 Marks and 10 credits. The pattern of evaluation is

based on the UGC guidelines and that of University of Mumbai. The Board of Studies of
Business Economics

will conduct workshop to throw light on potential areas of case studies of project from time to

time.
 SEMESTER-WISE ALLOCATION

Sr. No. Semester - I Paper Code Credits

1 Micro Economic Analysis - I BPABECO101 6
2 Macro Economic Analysis - I BPABECO102 6
3 Indian Economic Planning and Policy-I BPABECO103 6
4 Statistics for Business Economics BPABECO104 6
Semester - I 6
5 Micro Economic Analysis - II BPABECO201 6
6 Macro Economic Analysis- II BPABECO202 6
7 Indian Economic Planning and Policy - II BPABECO203 6
8 Mathematics for Business Economics BPABECO204 6
Semester - III 6
9 Economics of Growth & Development - I BPABECO301 6
10 International trade & Finance - I BPABECO302 6
11 Public Economics - I BPABECO303 6
12 Financial Institution & Market - I BPABECO304 6
Semester - IV 6
13 International trade & Finance - II BPABECO401 6
14 Public Economics - II BPABECO402 6
15 Financial Institution & Market - II BPABECO403 6
16 Project Report BPABECO404 10
 B. K. Birla College (Autonomous), Kalyan,
Syllabus for Economics for 2021-22
Course Code: BPABECO101
Course Title: Micro Economic Analysis -I
Semester I
Academic Year 2021-22

Course Specific Outcomes:

On successful completion of the course, a student will be able to

1. Develop a sound understanding of the core microeconomic concepts that economists use
to understand the process of decision-making by an economic agent(s).
2. The student should be able to apply mathematical tools and techniques to study behaviour
of economic agents.
3. Students will be able to identify strategic behaviour of economic agents and formulate
them in a game theoretic framework.
4. They will be able to identify and analyse strategic interactions and explain negotiation
and exchange between economic agents in game theory models.
5. The students will be able to understand the production and cost analysis

Unit: I Introduction and Basic Concepts.

Scope and Nature of Business Economics- Basic Economic Problem - Choice and Scarcity-
Positive and Normative Economics -Static and Dynamic Analysis-Economizing Behavior-
General Equilibrium v/s Partial Equilibrium

Unit: II Demand Analysis

Concept of demand and its types- Significance of demand forecasting in business

Methods of demand forecasting: survey and statistical method-Types and measurement of

elasticity of demand-Income Offer Curves and Engel Curves -Application of Demand Elasticity
in business-Application of market Laws and Elasticity.-Recent Development in the Theory of
Market Demand-Application of Indifference Curve

Unit: III Production Analysis

Production function and isoquants - law of Diminishing Return -Returns to scale,

Production Function of a Multi- product Firm-Productivity Growth from Economies of Scale,

Short Run and Long Run Period and Technological Change-Cost minimization and output
maximization

Unit: IV Cost Analysis

Economic Analysis of different costs in Business-Short-run Cost Minimization-Long-run cost

minimization- Cost Minimization with Several Plants-Modern Approach to the theory of Cost-
The Relevance of the Shape of Costs in Decision Making

Reference:

1. D. N. Dwivedi. (2012): Microeconomics: Theory and Applications, 2nd Edition, Pearson

Publication (5th and 6th and 14th Chapters)
2. Hal R. Varian. (2014): Intermediate Microeconomics, 9th Edition, W.W. Norton, New
York
3. Koutsoyiannis, A. (1979): Modern Microeconomics, 2nd ed., Macmillan Press,
London.(Cha 2nd and 4th )

4. Samuelson, P. A. and Nordhaus (2010), Economics, 19thEdition, Tata McGraw Hill,

New Delhi (Cha.6)
5. Gravelle H. and Rees R.(2004), Microeconomics,3 rd edition, Pearson Eduction Ltd.,
New Delhi.(Cha 5 and 6)

B. K. Birla College (Autonomous), Kalyan, Syllabus for Economics for 2021-22

Course Code: BPABECO101
Course Title: Macro Economic Analysis -I
Semester I
Academic Year 2021-22

On successful completion of the course, a student will be able to

1. Get an overview of the major developments in macroeconomic theory, with particular

emphasis on the policy prescriptions of the earlier macroeconomic schools of thought.
2. Develop an understanding of the interrelationships among the various macroeconomic
variables and the way they impact upon the working of the economy as a whole, thereby
determining the course of the economy.
 3. Gain in depth knowledge about Keynesian vs Monetarist policy formulations as well as
the theoretical justifications of such policies, together with the effectiveness of alternative
policies with respect to the policy goals

Unit I The Macroeconomic Perspective (10 Hours)

Macroeconomic objectives and conflicts- Tools of Macroeconomics-Measuring macro-

economic success in India-concepts used in macroeconomic analysis – limitations of
macroeconomics- the Circular flow models of economy

Unit II Measuring Economic Activity(14 Hours)

Measurement of Gross Domestic Product-GDP Components-Comparing GDP among countries-

Why GDP Varies across Countries-Real Versus nominal GDP-GDP deflator Versus consumer
price index-Is GDP a good measure to economic well-being? Limitations of Per Capita Income

Unit: III Behavioral Foundations (11 Hours)

Consumption function-Keynesian absolute income hypothesis -Duesenberry’s relative income

hypothesis -Friedman’s permanent income hypothesis-Anto & Modigliani’s Life-Cycle
hypothesis - The multiplier and accelerator theory of Investment

Unit IV: Inflation and Unemployment (13 Hours)

Methods of measuring inflation- types of inflation-economic effects of inflation –theories of

inflation - measures to control inflation-Measuring unemployment rate-Tradeoff between
unemployment and inflation-The Phillips Curve, Shifts in the Phillips Curve- modification in
Phillips curve

Books for study

1. Romer, David, (1996). Advanced Macroeconomics, New York: McGraw – Hill.

2. Rana, K. C. and K. N Verma, (1998). MacroEconomic Analysis, Vishal Publications.,
3. Barro, Robert J. and Xavier Sala-i-Martin, (1995). Economic Growth, McGraw-Hill.,
New York
4. O.J. Blanchard and S. Fisher, (1989). Lectures in Macroeconomics, Cambridge, Mass:
M.I.T Press.
5. Weintraub (E. Roy), (2000). Micro foundations, Mcgraw – Hill Publications.
6. Dornbusch R., Fischer S., and Starz R., (2012). Macroeconomics, Tata Mcgraw Hill,
New Delhi, 9th Edition
7. Gregory Mankiw. (2010) Macroeconomics, Worth Publishers, 7th edition.
 B. K. Birla College (Autonomous), Kalyan, Syllabus for Economics for 2021-22
Course Code: BPABECO101
Course Title: Indian Economic Planning and Policy-I
Semester I
Academic Year 2021-22

Unit: I Economic Planning in India (10 Hours)

History of Economic Planning in India-Objectives of Indian Economic Planning-Achievements

of Indian economic planning -An overview of the Five Year Plans in India-Limitations of Indian
is planning strategy -NITI Ayog.

Unit: II Human Resource Development (14 Hours)

Concept and Measures of Human Development- Reasons for low Human Development Index of
India-India in the world Population-Population Growth- Inter State Comparison-An analysis on
recent population census- Problems of over population in India- Family welfare policies in India-
Demographic dividend -causes and consequences of malnutrition-

Unit: III Growth and Distribution (14 Hours)

Different concepts and estimates of poverty-Trends of poverty in India- Causes of failure to

remove poverty in India-Assessment of the poverty alleviation policies since independence-
Growth and inequality-Economic Inequalities: Concept and Measurement of Economic
Inequalities, Causes of Economic Inequalities and Policy measures to remove economic
inequality-International comparison of poverty and income inequality.

Unit: IV Economic Policy (10 Hours)

Meaning and objectives of economic policy-New economic policy 1991: Causes and measures-
Impact of new economic policy on poverty, unemployment, and inequality-Employment policy
and its conflict between output and employment Goals.

References

1. Dhingra, I.C. Indian Economy (New Delhi: S Chand and son Co Pvt. Ltd.) (Recent
2. Edition)
 3. Agarwall, A.N. Indian Economy (New Delhi: S Chand) (Recent Edition)
4. Indian Economy by Ruddar Datt and KPM Sundaram, S Chand Publications, Delhi
5. Indian Economy: SK Mishra and VK Puri, Himalaya Publishing House, Mumbai
6. Indian Economy; A N Agrawal, New Age Publishers, D
7. Uma Kapila (Ed) (2002). “Indian Economy since Independence”, Academic Foundation,
New Delhi.
8. Kaushik Basu, 2009, ―China and India: Idiosyncratic Paths to High Growth,Economic
and Political Weekly, September

Websites

1. http://www.indianrailways.gov.in/
2. http://planningcommission.gov.in/
3. https://www.indiastat.com/
4. https://rural.nic.in/

B. K. Birla College (Autonomous), Kalyan, Syllabus for Economics for 2021-22

Course Code: BPABECO101
Course Title: Statistics for Business Economics I
Semester I
Academic Year 2021-22

Objectives:

1. The main objective of this paper is to train the students to use the statistical techniques
for business data analysis, which are commonly applied to understand and analyze
economic problems.
2. The emphasis of this paper is on understanding economics with the help of quantitative
techniques.
3. The intention of this paper is to understand the all types of basic data analysis techniques,
but focus will be on univariate and bi-variate analysis

Unit – I Correlation and Regression Analysis

Concept and Uses of correlation in business-Karl Pearson and Spearman’s Rank correlation-
Meaning and assumptions of Regression Analysis-Single linear equation regression model (by
OLS Method)-Estimation of simple and exponential growth rates

Unit – II Index Number and Time Series

Concept and Uses of Index Number in business-Methods of constructing index numbers-Base
shifting, splicing, and deflating of index numbers-Consumer price index number-Components of
time series analysis-Methods of business forecasting

Steps of business forecasting-Moving averages methods (3,4 and 5 yearly moving average
Methods)

Unit – III Probability and Theoretical Distribution

Basic concepts and definitions of probability-Some importance terms used in probability-

Independent and dependent events; mutually exclusive events-Total and Compound Probability;
Baye’s theorem; Mathematical Expectation-Binomial Distribution, Poisson Distribution – basic
application

Unit – IV- Sampling Techniques and Hypothesis Testing

Census versus Sampling Method-Random and non-random sampling techniques-Type I and

Types II Errors-Types of data and statistical analysis procedures: Univariate, Bivariate and
Multivariate (only overview)-Concept and definition of hypothesis-Types of hypothesis-
Hypothesis Testing procedures based on Z, t, x2 and F-test -One-way ANOVA.

Books for Study

1. Vohra, N. D. Quantitative Techniques in Management, Tata McGraw Hill, New Delhi.

2. Speigal, M. R. Theory and Prodblems of Statistics, McGraw Hill Book, London
3. Croxton, F. E., D. Cowden and S. Kliein, Applied General Statistics, Prentice Hall, New
Delhi.
4. Gupta S.C. and V.K. Kapoor, Fundamentals of Applied Statistics, S. Chand and Sons
New Delhi.
5. Yates, Frank, Sampling Methods for Census and Surveys, Charles, Griffin Co., London.
6. Cocharm, W. G., Sampling Techniques, John Willey, New York.
7. Hansen, hurditz and meadow, Sample Survey Methods and Theory, John Willey New
York.
8. Gupta S. C. Fundamentals of statistics, Himalaya Publishing house, New Dehlhi.
9. Gupta S.P. and Gupta M. P. Business statistics, Sultan chand and sons, New Delhi.
10. Kamenta J. Elements of Econometrics, Machmillan Publishing Co., Inc. New York.
11. Allen R.G.D.: Statistics For Economics; Hutchinson & Co. Ltd. London(1949)

B. K. Birla College of Arts, Science and Commerce, Kalyan (W.)

Syllabus w.e.f. Academic Year, 2021-22 (CBCS)

 M.A. Semester- II

MICRO ECONOMIC ANALYSIS II

COURSE CODE: BPABECO201 (2018-19) Credits- 04

Objectives:

1. The main objective of this paper is to train the students to analyses economic problems.

2. The emphasis of this paper is on understanding economics with the help of quantitative
techniques. Hence, in this paper a student will be initiated into various economic concepts.

Unit-I Theories of the firm

Objectives of modern Firm- Baumol’s Sales Revenue Maximization Model- Williamson’s Model
of Managerial Discretion- Marris Model of Managerial Enterprise,

The Hall and Hitch Report -Full Cost Pricing Rule- Bain’s Limit pricing theory and its recent
developments including Sylos–Lobini’s Model- Behavioral Model of the Firm

Unit-2 Distribution

Neo-Classical Approach -Marginal Productivity Theory -Product Exhaustion Theorem-Technical

Progress and Factor Shares-Theory of Distribution under Imperfect Product and Factor Markets,
Modern Theory of Rent, Determination of Wages-Interest and Profit.

3 Welfare Economics

Pareto Optimal Conditions- Paretian Welfare Criterion – Value Judgment, Social Welfare
Function- Compensation Principle- Inability to obtain Optimum Welfare Imperfections Market
Failure, Decreasing Costs, uncertainty and Non-Existent and Incomplete Markets-Theory of
Second Best – Arrow’s Impossibility Theorem, Equity

4. Project Planning and Capital Budgeting

Need for project planning-Meaning and significance of capital budgeting - Investment appraisal
methods- Payback period-Net present value, Internal rate of return,

Books for Study

 1. Koutsoyiannis A (1985), ‘Modern Micro Economics’ Macmillan Press Ltd.,
2. Ahuja H.L. (1982), ‘Advanced Economic Theory’ S. Chand & company Ltd., New Delhi.
3. Chopra P.N (1981), ’Advanced Micro Economics’ Kalyani Publications
4. Layard, P.R.G. and Walters, A.A. (1978). Microeconomic Theory, McGraw Hill, New York.
5. Little, I.M.D. (1957). Critique of Welfare Economics (2nd edition), Oxford University
Press, Oxford

B. K. Birla College (Autonomous), Kalyan,

Course Code: BPABECO202

Course Title: Macro Economic Analysis -II

Semester II

Academic Year 2021-22

Unit: I Product and Money Market Equilibrium (18 Hours)

Product market equilibrium: derivation of IS curve -Money market equilibrium: derivation of

LM curve -The interdependence of product and money market: IS-LM model -From
disequilibrium to equilibrium the dynamics of adjustment shifts in IS and LM curves-IS-LM
model with Balance of payments.

Unit: II Monetary and fiscal policy

Objectives and Instruments of monetary policy-Objectives and Instruments of fiscal policy-How

monetary policy influence aggregate demand-How fiscal policy influence aggregate demand-Use
of monetary and fiscal policy to stabilize economy-Explanation of fiscal policy and monetary
policy using ISLM curves-The Crowding out – effect- Debates over Macroeconomic Policy

Unit: III Big Events: The Economics of Depression, Hyperinflation, And Deficits

The Great Recession: Bubbles and Bust -What happened during the great depression?

Policy intervention and great depression -Historical Recessions in the world

Hyperinflation- Covid19 economic recession in India-Deficits: Facts and Issues

Unit IV Business Cycle Theories and Global Recession

Meaning and phases of Business Cycle- theories of business cycle- the monetary theory-
monetary over investment theory- Hicksian theory of trade cycle- global recession 2008-09 –
policy measures to control business cycle

Books for Study

1. Abel, A.B., Bernanke, B. S., Croushore, D. (2015) Macroeconomics, Pearson India Education
Services Private Limited., Noida, 8th Edition.

2. Mankiw, N. Gregory (2015). Principles of Macroeconomics, Cengage Learning India Private

Limited, New Delhi, 6 th Edition.

3. Dornbusch, R., Fischer, S., Startz, R. (2012). Macroeconomics, Tata McGraw-Hill Publishing
Company Limited, New Delhi, 9 th Edition.

4. Romer, David. Advanced Macroeconomics, New York: McGraw-Hill, latest Edition.

5. Blanchard, O.J. and Fisher, S. (1989). Lectures in Macroeconomics, Cambridge, Mass: .I.T.
Press.

6. Macroeconomics: Theory and Policy. Author, D. N. Dwivedi. Publisher, Tata McGraw-Hill,

B. K. Birla College (Autonomous), Kalyan,

Course Code: BPABECO 203

Course Title: Indian Economic Planning and Policy- II

Semester II

Academic Year 2021-22

Objectives:

1) Understand the concept of planning in India

2) Familiarize issues associated with agriculture, industry, service, and external sector

3) Make the students understand how to link various economic policies

With plan objectives.

Unit: 1 Policies and Performance in Agriculture Sector

An Overview of Indian Agricultural Sector since 1951-Pattern & Structure of Growth Production
of Major Commercial Crops in India-Major Challenges of Indian Agriculture and policy
response-Achievements of Green revolution-Failures of Green revolution-New Agricultural
Strategy-Effects of New Economic Reforms on Indian Agriculture

Unit: 2 Policies for Agriculture Finance and marketing

Causes of Rural Indebtedness in India- government initiatives to improve agricultural finance-

Problems of agriculture marketing in India- government policies to improve the system of
agricultural marketing- regulated market

Unit: 3 Policies and Performance in Industry Sector

Role of industry in Economic Development-Classification of Industry in India-Industrial policy

of government of India since 1948, 1956 and 1991-Industrial growth rate after new economic
reforms in India -Industrial backwardness of India : causes and remedies

Unit: 4 Policies and Performance in Service Sector

Role of different modes of Transport in Indian Economic Development-Challenges of different

modes of Transport in India-Challenges before health sector in India-Government measures to
improve health sector in India- Challenges before education sector in India-Government
remedies to improve education sector in India

References

1. Ramesh Singh, Indian Economy, Tata Mc-Graw Hill, Publication

2. Indian Economy by Ruddar Datt and K.P.M. Sundaram, S Chand Publications, Delhi
3. Indian Economy: SK Mishra and VK Puri, Himalaya Publishing House, Mumbai
4. Indian Economy; A N Agrawal, New Age Publishers
5. Kaushik Basu, 2009, ―China and India: Idiosyncratic Paths to High Growth, Economic
and Political Weekly, September

Websites

1) http://www.indianrailways.gov.in/
2) http://planningcommission.gov.in/
3) https://www.indiastat.com/
4) https://rural.nic.in/
5) https://apps.fas.usda.gov/psdonline/circulars/production.pdf
 6) brookings.edu/research/global-manufacturing-scorecard-how-the-us-compares-to-18-
other-nations/
7) https://dbie.rbi.org.in/DBIE/dbie.rbi?site=statistics#!1_29
8) https://www.statista.com/topics/5866/cash-crops-in-india/#dossierSummary__chapter1

B. K. Birla College (Autonomous), Kalyan

Course Code: BPABECO 204

Course Title: Mathematics for Business Economics

Semester II

Academic Year 2021-22

Course objective:

1) The main objective of this paper is to train the students to use the techniques of
mathematical analysis, which are commonly applied to understand and analyze economic
problems.

2) The emphasis of this paper is on understanding economic concepts with the help of
mathematical methods rather than learning mathematics itself. Hence in

3) In his paper a student will be initiated into various economic concepts, which are
amenable to mathematical treatment. It will use matrices, determinants, differentiation,
integration, linear programming, and game theory to solve economic problems.

Unit-I Interest Rates and Present Value Analysis

Nominal and effective rate of interest-Present Value Analysis -Rate of Return -Continuously
Varying Interest Rates-Options pricing -pricing Via Arbitrage-

Unit -II Applications of Differentiation

Meaning and rules of differentiation- Elasticity of demand and supply-Market equilibrium-

Marginal cost and average cost functions-Marginal revenue and average revenue-Cost revenue
and profit application

Unit – III Integration

Concept and simple rules of integration-Application to consumer’s and producer’s surplus-
Difference equations: Solution of first order and second order difference equations; Applications
in trade cycle models- Growth models and lagged market equilibrium models.

Unit – IV Linear Programming

Linear programming: Basic concept, Nature of feasible-basic and optimal solution-Solution of

linear programming problem through graphical and simplex method-Concept of a game; Two-
person Zero-sum game and value of a game-Strategies- simple and mixed; Dominance rule;
Solution of a game by linear programming.

Reading List

1. Sheldon M.Ross, An Introduction To Mathematical Finance, Cambridge press – 1999

2. Mathematics for Economics by Michael Hoy etal, PHI, New Delhi.
3. Quantitative Methods for Business and Economics by Adil H. Mouhammed, PHI, New
Delhi.
4. Quantitative Methods by D.R. Aggarwal
5. Basic Mathematics for Economists by R.C. Joshi, New Academic Publishing
6. Miller, R.E. and P.D. Blair Input-Output Analysis: Foundations and Extensions. Prentice-
Hall, Englewood Cliffs, New Jersey.
7. Proops, J., Faber, M. and Wagenhals, G. Reducing CO2 Emissions: A Comparative
Input-Output Study for Germany and the UK, Springer-Verlag, Heidelberg.
8. Aggarwal, H.S. : Modren Micro -Economics, Konark, New Delh.
9. Taro Yamane, Mathematics for Economists, PHI.

10. Allen R.G.D., Mathematical Analysis for Economists, Macmillan Press, London.

11. Black, J. and J.F. Bradley, Essential Mathematics for Economists, John Wiley and Sons.

12. Chiang, A.C. Fundamental Methods of Mathematical Economics (3rd Edition), McGraw
Hill, New Delhi.
 B. K. Birla College (Autonomous), Kalyan,

Syllabus w. e. f. Academic Year, 2021-22 (CBCS)

M.A. Semester- III

ECONOMICS OF GROWTH & DEVELOPMENT

Course Outcome

1. Understanding the basic facts of economic growth.

2. Comprehension of relationship between growth and development.

3. Familiarity with the wide-ranging policy issues and theories in growth economics.

4. A thorough understanding of literature on neoclassical growth models and empirics.

5. A critical account of the extension of the neoclassical growth model and applications.

6. Understanding the interactions of the basic tenets of growth theories and those of debt
with the drivers of globalisation.

Unit: 1 Introduction

Development and underdevelopment concepts -Per capita income- Inequality of income and
wealth, Human development index and other indices of development and quality of life- Food
security, Education, health and nutrition -opulation problem and growth pattern of population-
Population and poverty

Unit: 2 THEORIS OF DEVELOPMENT

Classical theory of development-Karl Marx’s theory of development -Theory of social change-

Immutable laws of capitalist development Crisis in capitalism- Schumpeter and capitalist -
development -Kremer’s O-ring theory of economic development.

Unit: 3 AGRICULTURE, INDUSTRY IN ECONOMIC DEVELOPMENT

Importance of agriculture and industry in economic development The model of

complementarities between agriculture and industry-Rationale and pattern of industrialization in
developing countries - The choice of technology and appropriate technology infrastructure and its
importance.

Unit: 4LESS DEVELOPED COUNTRIES AND DEVELOPMENT

Need for investment criteria in less developed countries; present vs. future growth; Alternative
investment criteria-cost – Benefit analysis- Role of monetary and fiscal policies in developing
countries - WTO and developing countries.

REFERENCES:

1. Adelman I. (1961) Theories of Economic development, Stanford University Press.

2. Behrman S. and T.N. Srinivasan (1965), Handbook of Development economics, Vol.3,

Elsevier, Amesterdam.
3. Brown M. (1966), On the Theory and Measurement of Technical Change, Cambridge
University, Press, Cambridger, Mass.
4. Chenary H.B. and T. N. Srinivasan, (Eds.), (1989), Handbook of Development
Economics, Vol.1& 2,
5. Chenery, H. and T. N. Srinivasan (Eds.) (1989), Handbook of Development Economics,
Vols. 1 & 2, Elsevier, Amsterdam.
6. Dasgupta, P. (1993), An Enquiry into Well-being and Destitution, Clarendon Press,
Oxford.
7. Ghatak, S. (1986), An Introduction to Development Economics, Allen and Unwin,
London.
8. Gilliis, M. D. H. Perkins, M. Romer andD. R. Snodgrass (1992), Economics of
Development, (3rd Edition), W. W. Norton, New York.
9. Hogendorn, J. (1996), Economic Development, Addison, Wesley, New York.
10. Kindleberger, C.P. (1977), Economic Development, (3rd Edition), McGraw Hill, New
York.
11. Meier, G. M. (1995), Leading Issues in Economic Development, (6th Edition), Oxford
University Press, New Delhi.
 B. K. Birla College (Autonomous), Kalyan,

Syllabus w. e. f. Academic Year, 2021-22 (CBCS)

M.A. Semester- III

INTERNATIONAL TRADE & POLICY

Objectives

1. To understand the historical perspectives of India’s International Trade and theories

governing international trade

2. To evaluate the policies pursued by various economic bodies in international economics

3. To understand the BOP of India and policies with regards to BOP

1 Introduction 12

Historical Perspectives of India’s International Trade-Importance of International Trade-

Analytical tools of international trade-Current International Economic Problems in Trade
Arguments for and Against Free Trade

2 Development in Trade Theories

Review of classical Theories of Intonational Trade- Heckscher-Ohlin Theory- Factor

Endowments Theory- Leontief’s Paradox-Learner's Illustration of Factor-Price Equalization-
Prebisch - Singer Thesis-Metzler’s Paradox- Linder theory of international trade-Technological
Gap and Product Cycle-Environment Standard and Trade

3 Balance of Payments and Foreign Exchange Market

Meaning and Structure of Balance of Balance of Payments -Causes of disequilibrium in Balance

of Payments-Different Kinds of disequilibrium in Balance of Payments-Measures to correct
disequilibrium in Balance of Payments-Trends in India’s BOP since 1991- Meaning and Types
of foreign exchange market - Purchasing Power Parity theory

4 International Trade Policy

Government intervention in trade - Trade Restrictions: Tariffs and Non-Tariff Barriers -The
Political Economy of Trade Policy- Trade Policy in Developing Countries- -Dumping and Anti-
Dumping duties
BASIC READING LIST:

1. Bhagwati, J. (Ed.) (1981), International Trade, Selected Readings, Cambridge

University Press, Massachusetts
2. Carbough, R. J. (1999), International Economics, International Thompson
Publishing, New York.
3. Chacholiades, M. (1990), International Trade: Theory and Policy, McGraw Hill
Kogakusha, Japan.
4. Dana, M.S. (2000), International Economics: Study, Guide and work Book(5th
Edition), Routledge Publishers ,London.
5. Krugman, P. R. and M. Obstfeld (1994), International Economics Theory and
Policy, Glenview Foresman
6. Salvatore, D. (1997), International Economics, Prentice Hall, Upper Saddle River
N. J. New York
7. Soderstron, Bo (1991), International Economics, The Macmillan Press Ltd
London
8. Mithani D.M. (1997), International Economics, Himalaya publishing House,
Mumbai

B. K. Birla College (Autonomous), Kalyan,

Syllabus w.e.f. Academic Year, 2021-22 (CBCS)

M.A. Semester- III

PUBLIC ECONOMICS-I

Objectives:

1. To understand the nature and working of fiscal policy,

2. To examine the revenue and expenditure administration at the national,

regional and local levels

Course Outcome

1. The overall outcome of the course is the development of an understanding of public

sector financial resources.

2. Understanding of the rationale for the existence of modern governments

3. Familiarity with the micro and macro aspects of public expenditure.

4. Acquaintance with the phenomenon of externality and the role of government.

5. An understanding of the mechanics of government budget.

1 INTRODUCTION

Economic Rational of government-Fiscal Function of the government-Causes of market failures:

Remedies for market failures -Social welfare function; Theory of second best.

2 PUBLIC EXPENDITURE

Classification of public expenditure in India-Growth of public expenditure-Causes of increase in

public expenditure-Canons of Public Expenditure-Economic Effects of public expenditure-
Wagner’s Law of public expenditure -Wiseman – Peacock Hypothesis;

3 TAXATION

Various approaches to taxation

Bowen Model of taxation

Lindahl Model of taxation

Theory of optimal taxation.

Effects of taxation on work effort, Savings, investment and growth, social efficiency,
revenue and income

Types of tax systems 12

4 IMPACTS AND INCIDENCE OF TAXES

Distinction between Impact and Incidence of taxes

Concepts of tax incidence: H. Dalton, J.R. Hicks, and Musgrave

factors influencing incidence of taxation: - Elasticity of demand and supply

12
REFERENCE BOOKS

1) Atkinsin, A.B. and J.E. Siglitz (1980), Lectures on Public Economics, Tata McGraw Hill,
New York.

2) Auerbach, A.J. And M. Feldstern (Eds.) (1985), Handbook of Public Economics, Vol.I,
North Holland, Amsterdam.

3) Buchanan, J.M. (1970), The Public Finances, Richard D. Irwin, Homewood.

4) Goode, R. (1986), Government Finance in Developing Countries, Tata McGraw Hill,

New Delhi.

5) Jha, R. (1998), Modern Public Economics, Rutledge, London.

6) Menutt, P. (1996), The Economics Public Choice, Edward Elgar, U.K.

7) Musgrave, R.A. (1959), The Theory of Public Finance, McGraw Hill, Kogakhusa,
Tokyo.

8) Musgrave, R.A. and P.B. Musgrave (1976), Public Finance in Theory and Practice,
McGraw Hill Kogakusja, Tokyo.

9) Shome, P. (Ed), (1995), Tax Policy: Handbook, Tax Division, Fiscal Affairs Department
International Monetary Fund, Washington D.C.

B. K. Birla College of Arts, Science and Commerce, Kalyan (W.)

Syllabus w.e.f. Academic Year, 2018-19 (CBCS)

M.A. Semester- III

FINANCIAL INSTITUTIONS& MARKETS – I

MODULE 1: NATURE OF FINANCIAL SYSTEM: (12)

Nature & Role of Financial System –

Money and near money-

Structure of Financial System,

 Financial Intermediation and intermediaries,

Functions of a financial Sector,

Indicators of financial developments,

Equilibrium in financial Markets,

Financial System and Economic Developments.

MODULE 2: THE ROLE OF FINANCIAL SYSTEM: (12)

Criteria to evaluate assets,

Concepts of Risk and Return,

Types of Risk – default risk, financial risk, liquidity risk, interest rate risk, inflation risk,
currency risk, market risk,

Yield on assets – Internal rate if return, Coupon rate, basic yield, current yield, yield to
maturity, dividend yield, gross yield and net yield-

Required rate of return, Risk – return trade off, Valuation of securities, bonds and equity
shares

MODULE 3: BANKING IN INDIA: (12)

Growth and structure of Commercial Banks in India after 1970-

Banking Sector Reforms,

Asset Liability Management of Commercial Banks,

Management of NPAs,

Diversification on Commercial Banking,

Profitability and Productivity of Commercial Banks in India,

Co-operative Banks –

Structure, Performance and Policy

MODULE 4: THE CENTRAL BANK AND CREDIT POLICY: (12)

Function of the Central Bank,

 Credit Creation and its control,

Profitability and efficiency of banks;

Monetary Policy of R.B.I. - Aims, Objectives and Effectiveness.

Financial Reforms since 1991-

Proliferation of banking and non-banking financial intermediaries

BOOKS RECOMMENDED:

1) BharatiPathak (2009) The Indian Financial System : Pearson Education Publication New
Delhi

2) Bhattacharaya, B.B., Financial Reforms and Financial Development in India, Institute of

Management Technology, New Delhi

3) Bhole, L.M. (2008), Financial Institutions and Markets; Tata McGraw Hill Company Ltd.,
New York.

4) Chandra, P. (1997), Financial Markets, (4th Edition), Tata McGraw Hill, New Delhi.

5) Desai Vasant, Money and Central Banking, Himalaya House, Mumbai.

6) Edminister, R.O. (1986), Financial Institutions, Markets and Managements, McGraw Hill,
New Delhi

7) Ghosh B.N. and Ghosh Rama, Fundamentals of Monetary Economics, Himalaya Publishing
House, Mumbai.

8) Gupta, S.B., Monetary Economics, Institutions, Theory and Policy, S.Chand& Co., New
Delhi.
B. K. Birla College of Arts, Science and Commerce, Kalyan (W.)

Syllabus w.e.f. Academic Year, 2021-22 (CBCS)

M.A. Semester- IV

INTERNATIONAL TRADE & POLICY-II

COURSE CODE: BPABECO401 (2021-22) Credits- 04

Unit: 1 Economics of Integration and International Institutions

Meaning and Benefits of Economic Integration

Forms of Economic Integration

Theory of Customs Union

Regional Trade Agreements-

EU, SAARC, NAFTA, OPEC, ASEAN-

Multilateral Institutions-IMF, WB, WTO

Unit: 2 International Trades and Economic Development

Review of classical Theories of International Trade

The Importance of Trade to Development

 The Terms of Trade and Economic Development

Export Stability and Economic Development

Import Substitution versus Export Promotion

Current Problems Facing Developing Countries

Unit: 3India’s Top Trading Partners

United States

United Arab Emirates

China

Hong Kong

Singapore

United Kingdom

Netherlands

Germany

Bangladesh

Nepal

Unit: 4 International Macroeconomic Policy

Macroeconomic Policy goals in an Open Economy

The Interwar Years 1918-39

The Bretton Woods System and IMF

Fall of Bretton Woods System \

Developing Countries: Growth and Crisis

REFERENCES:

1) Carbough, R. J. (1999), International Economics, International Thompson Publishing, New

York.

2) Chacholiades, M. (1990), International Trade: Theory and Policy, McGraw Hill Kogakusha,
Japan.

3) Dana, M.S. (2000), International Economics: Study, Guide and work Book (5th Edition),
Routledge Publishers , London.

4) Dunn, R. M. and J. H. Mutti (2000), International Economics, Routledge, London.

5) Kenen, P. B. (1994), The International Economy, Cambridge University Press London

6) Kindleberger, C. P. (1973), International Economics, R. D. Irwin, Homewood.

7) King, P. G. (1995), International Economics and International Economic Policy: A Reader,

McGraw Hill International, Singapor

8) Krugman, P. R. and M. Obstfeld (1994), International Economics Theory and Policy,

Glenview Foresman

9) Salvatore, D. (1997), International Economics, Prentice Hall, Upper Saddle River N. J. New
York

10) Soderstron, Bo (1991), International Economics, The Macmillan Press Ltd London

11) Mithani D.M. (1997), International Economics, Himalaya publishing House, Mumbai

12) Lobo Radhika (2003), Southeast Asian Crisis: An Economic Analysis, Serials Publication,
Delhi
 B. K. Birla College of Arts, Science and Commerce, Kalyan (W.)

Syllabus w.e.f. Academic Year, 2021-22 (CBCS)

M.A. Semester- IV

PUBLIC ECONOMICS-II

COURSE CODE: BPABECO402 (2021-22) Credits- 04

Course Outcome

1. Develops an understanding of various aspects public choice theory

2. Familiarity with the different aspects of fiscal federalism

3. Acquaintance with the technique of cost-benefit analysis for project appraisal

4. Understanding of various aspects of fiscal policy and debt management

1 PUBLIC DEBT

Classical and modern views of Public debt- Sources of Public debt-burden of public debt-public
borrowings and price level-Principles of public debt management and repayment 12

2 FISCAL POLICY

Objectives of fiscal policy: Full employment, Anti- inflation, economic growth, redistribution of
income and wealth-Instruments of fiscal policy-macroeconomic effects of fiscal deficits- the
high inflation trap-Fiscal deficit in India; Indian fiscal policy since 1991 12

3 FISCAL FEDERALISM

Fiscal federalism in India-Vertical and horizontal imbalance-Decentralization theorem -role of

NITI Aayog - Criteria for transfer of resources-Deficit finance – Causes and Consequences
12

4 INDIAN FINANCES

Tax systems in India- Sources of Revenue of the Union, States and local bodies-Classification of
taxes: Direct and indirect taxes, progressive, proportionate and -regressive taxes-reforms in
direct and indirect taxes-Analysis of Central and State government budgets. 12
REFERENCE BOOKS:

1) Atkinsin, A.B. and J.E. Siglitz (1980), Lectures on Public Economics, Tata McGraw Hill,
New York.
2) Buchanan, J.M. (1970), The Public Finances, Richard D. Irwin, Homewood.
3) Goode, R. (1986), Government Finance in Developing Countries, Tata McGraw Hill,
New Delhi.
4) Houghton, J.M. (1970), The Public Finance: Selected Readings, Penguin,
Harmondswortth.
5) Jha, R. (1998), Modern Public Economics, Rutledge, London.
6) Menutt, P. (1996), The Economics Public Choice, Edward Elgar, U.K.
7) Musgrave, R.A. (1959), The Theory of Public Finance, McGraw Hill, Kogakhusa,
Tokyo.
8) Musgrave, R.A. and P.B. Musgrave (1976), Public Finance in Theory and Practice,
McGraw Hill Kogakusja, Tokyo

B. K. Birla College of Arts, Science and Commerce, Kalyan (W.)

Syllabus w.e.f. Academic Year, 2021-22 (CBCS)

M.A. Semester- IV

FINANCIAL INSTITUTIONS& MARKETS – II

MODULE 1: STRUCTURE OF INTEREST RATES: (12)

Theories of Interest rate determination - level of interest rates - long period and short period

rates- Term structure of Interest rates-Spread between lending and deposit rates- Administered

interest rates- Appropriate interest rate policy.

MODULE 2: Financial Markets in India: (12)

Role and Structure of Money Market- Features of Indian money market, defects and measures to

correct them- Capital Market - Call Money Market, Treasury Bill Market, Commercial Bill
Market including commercial paper and certificate- Role of SEBI ( Securities and Exchange

Board of India) and IRDA (Insurance Regulatory Development Authority)

MODULE 3: Non Banking Financial Institutions (12)

Non-banking financial institutions: Nature, Significance, types and performance, Regulations in

India- Functions of Small Saving and Provident Funds- Performances of General & Life

Insurance company, Mutual Funds- Role& working of IFCI, ICICI, IDBI, EXIM bank, SIDBI,

SFC’s.

MODULE 4: International Financial Market: (12)

Nature, organization and participants, Exchange rates, devaluation and depreciation- Working of

floating exchange rates since 1991- International Financial flows, forms and volume- Reforms

in International monetary system for developing countries- Lending operation of World Bank

and its affiliates- Asian development bank and its lending activities,

Books Recommended:

1) Bharati Pathak (2009) The Indian Financial System : Pearson Education Publication New

Delhi

2) Bhattacharaya, B.B., Financial Reforms and Financial Development in India, Institute of

Management Technology, New Delhi

3) Bhole, L.M. (2008), Financial Institutions and Markets; Tata McGraw Hill Company Ltd.,

New York.

4) Chandra, P. (1997), Financial Markets, (4th Edition), Tata McGraw Hill, New Delhi.

5) Desai Vasant, Money and Central Banking, Himalaya House, Mumbai.

6) Edminister, R.O. (1986), Financial Institutions, Markets and Managements, McGraw Hill,

New Delhi
7) Ghosh B.N. and Ghosh Rama, Fundamentals of Monetary Economics, Himalaya Publishing

House, Mumbai.

8) Gupta, S.B., Monetary Economics, Institutions, Theory and Policy, S.Chand& Co., New

Delhi.

9) Hanson, J.A. and S. Kathuria (Eds.) (1999), India : A Financial Sector for the Twenty-first

Century, Oxford

10) University, Press, New Delhi.

11) Harker, P.T. and A.Tenias (2000) (Ed) Performance of Financial Institutions, Cambridge

University Press, Cambridge.

12)Johnson, H.S.(1993), Financial Institutions and Markets, Tata McGraw Hill, New Delhi.

13) Khan, M.Y. (1996), Indian financial System, Tata McGraw Hill, New Delhi.

14) MachiRaju, M.R. (1999), Indian Financial Systems, Vikas Publishing, New Delhi.

15) Prasad, K.N. (2001), Development & India’s Financial Systems, sarup& Sons, New Delhi.

8) Mithani D.M. (1997), International Economics, Himalaya publishing House, Mumbai

 B. K. Birla College of Arts, Science and Commerce, Kalyan (W.)

Syllabus w.e.f. Academic Year, 2021-22 (CBCS)

M.A. Semester- IV

Project Report

COURSE CODE: BPABECO404 (2021-22) Credits- 10

The Project Report for M.A. Business Economics Semester IV is started from Academic Year
2021-22. The Project Based Course will be conducted as per the Guidelines and Regulations of
the University of Mumbai. In the semester IV Three Core Papers (including one paper of 100
marks project work)