UNIVERSITI TEKNOLOGI MARA

COURSE INFORMATION

Confidential

Course Code : ECO539

Course Name (English) : INTERMEDIATE MICROECONOMICS APPROVED

Course Name (Malay) : MIKROEKONOMI PERTENGAHAN

Course Level : 6 - Bachelors Degree

SLT : 160 Hours

Equivalent to 4 Credits

Face to Face: 56 Hours

Non Face to Face: 0 Hours

Student Preparation Time: 104 Hours

Pre-Requisite Courses : No course recommendations

Co-requisite Courses : No co-requisite Courses listed

Equivalent Courses : No equivalent Courses listed

Teaching Period Duration : 17 Weeks

Resource Person : ROSILAWATI BINTI AMIRUDDIN

National Education Code : Social Sciences, Business and Law

Delivery Period Duration : 1 Semester

Faculty Name : FACULTY OF BUSINESS MANAGEMENT Start Year : 2020

© Copyright Universiti Teknologi MARA Review Year : 2018
Course Learning Outcomes

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

1. Discuss the theories and principles in microeconomics. (PLO1, C2) ( C2 )

2. Apply microeconomics concepts and theories in decision making process. (PLO6, C3) ( C3 )
3. Demonstrate good decision making from microeconomic perspectives on real life situation/ issues. (PLO8, A3) ( A3 )

Course Description

COURSE DESCRIPTION This course examines those theories that are relevant and applicable to both managerial and
public policy decision making. This is accomplished by covering topics such as analysis of market mechanism, costs and
production, market structure, economic efficiency, pricing strategies and price control policies.

Syllabus Content

1. Market mechanism

• The algebra of demand, supply and equilibrium.

• Application of demand, supply and equilibrium with respects to government market intervention.
• Elasticites of demand and its application.
(Theoretical & Calculation)

2. Theory of consumer behavior

Cardinal approach
• The principle of diminishing marginal utility
• Consumer equilibrium
Ordinal approach
• Indifference curve
• Budget line
• Consumer equilibrium
• Price Consumption Curve
• Income Consumption Curve
Substitution, Income and Net Effects of a Price Change
Attributes approach
(Theoretical and Calculation)

3. Theory of Production and Costs

Production function
• Short-run and long-run production functions
• Optimal combination using one variable input
Law of diminishing marginal productivity. The law and its significance or importance.
• Optimal combination using two or more variable inputs
• Isoquant curves
• Isoquant curves and returns to scale
• Isocost lines and total costs
• Optimal input combination
• Expansion path and long-run total costs
• Impact of changes in input prices and technology on optimal combination and total costs
• Short-run and long-run costs minimization Production Costs
• Short-run and long-run costs
• Economies of scope
• Economies of learning/experience
(Theoretical & Calculation)

Faculty Name : FACULTY OF BUSINESS MANAGEMENT Start Year : 2020

© Copyright Universiti Teknologi MARA Review Year : 2018
4. Market Structure and Pricing Strategy

Perfect competition
• Overview
• Economic efficiency
• Consumer and producer surpluses
Welfare effects of tax and price controls
Monopoly
• Overview
• Efficiency, welfare loss and social cost of monopoly
• Price discrimination
Monopolistic competition
• Overview
• Economic efficiency
• Product variation and selling expenses
Oligopoly models
• Interdependence among oligopoly firms
• Non collusive models: Kinked demand curve and Sweezy’s model
• Collusive models: Cartels and price leadership
Pricing Practices: Marginal cost pricing, Cost plus pricing and limit pricing.
(Theoretical)

5. Market failures

• Externalities
• Public Goods.
(Theoretical-Definition and Description Only)

Teaching Methodologies

Discussion
Lectures

Proposed % Marks Approved by KPP

Question Difficulty Levels Range

C1 - C2 10 - 30

C3 - C4 30 - 80

C5 - C6 0 - 10

Assessment

Continuous 100.00%
Assessment: Assignment - 20% out of 100 on Week 1. Passing Mark(s): 50
assignment 1
CLO: 3

Assignment - 30% out of 100 on Week 8. Passing Mark(s): 50

assignment 2
CLO: 2

Test - 20% out of 100 on Week 9. Passing Mark(s): 50

Test 1
CLO: 2

Test - 30% out of 100 on Week 14. Passing Mark(s): 50

Test 2
CLO: 1

Faculty Name : FACULTY OF BUSINESS MANAGEMENT Start Year : 2020

© Copyright Universiti Teknologi MARA Review Year : 2018
Transferable Skills

Demonstrate ability to identify and articulate self skills, knowledge and understanding confidently and in a variety of
concepts.

Special Regulation

This Module has no special regulation

Reassessment Requirement

This Module has no Reassessment Requirement

Reassessment Description

This Module has no Reassessment Description

Recommended Text

1. Salvatore, Dominick, Microeconomics: Theory and Applications, 4, Oxford university Press: New York, 2009
2. Besanko, David and R. Braeutigam, Ronald,, Microeconomics, 2, John Wiley & Sons (Asia) Pte Ltd: India, 2006

References

1. Colander, David C, Microeconomics. , 5, McGrawHill/Irwin: New York, 2004

2. Pindyck, Robert S. & Rubinfeld, Daniel L. , Microeconomics, 6, Phipe-Pearson Education: New Jersey, 2005
3. Berheim & Whinston, Microeconomics, McGrawHill/Irwin: New York, 2008

Other References

This module does not have other references

Course Extra Information

This Module has no extra information

Faculty Name : FACULTY OF BUSINESS MANAGEMENT Start Year : 2020

© Copyright Universiti Teknologi MARA Review Year : 2018
 UNIVERSITY TEKNOLOGI MARA

COURSE LEARNING OUTCOMES - MOE LEARNING OUTCOMES - SOFT SKILLS LEARNING OUTCOMES RELATIONSHIP MATRIX

COURSE CODE ECO539 FACULTY / ACADEMY FACULTY OF BUSINESS MANAGEMENT

COURSE NAME (IN ENGLISH) INTERMEDIATE MICROECONOMICS CREDIT UNIT 4

COURSE NAME (IN MALAY) MIKROEKONOMI PERTENGAHAN Resource Person ROSILAWATI BINTI AMIRUDDIN

  Achievement of MOHE Learning Outcomes Achievement of Soft Skills Learning Outcomes

Course Learning Outcomes (CLO) LO1 LO2 LO3 LO4 LO5 LO6 LO7 LO8 LO9 SS1 SS2 SS3 SS4 SS5 SS6 SS7

Discuss the theories and

CLO1 principles in microeconomics. /
(PLO1, C2)
( C2 )

Apply microeconomics concepts

CLO2 and theories in decision making / /
process. (PLO6, C3)
( C3 )

Demonstrate good decision

making from microeconomic
CLO3 perspectives on real life situation/ / /
issues. (PLO8, A3)
( A3 )

Ministry of Education Learning Outcomes Soft Skills Learning Outcomes

i. Knowledge i. Critical Thinking and Problem-solving Skills

ii. Practical Skills ii. Communication Skills
iii. Thinking and Scientific Skills iii. Team Skills
iv. Communication Skills iv. Ethics & Moral Professionalism
v. Social skills, Teamwork and Responsibilities v. Life-long Learning & Information Management
vi. Values, Ethics, Moral and Professionalism vi. Entrepreneurial Skills
vii. Information Management and Life Long Learning vii. Leadership Skills
viii. Management and Entrepreneurship
ix. Leadership Skills

Faculty Name : FACULTY OF BUSINESS MANAGEMENT Start Year : 2020

© Copyright Universiti Teknologi MARA Review Year : 2018
 UNIVERSITY TEKNOLOGI MARA

COURSE LEARNING OUTCOMES - TAXONOMY LEVELS

COURSE CODE ECO539 FACULTY / ACADEMY FACULTY OF BUSINESS MANAGEMENT

COURSE NAME (IN ENGLISH) INTERMEDIATE MICROECONOMICS CREDIT UNIT 4

COURSE NAME (IN MALAY) MIKROEKONOMI PERTENGAHAN Resource Person ROSILAWATI BINTI AMIRUDDIN

COGNITIVE PSYCHOMOTOR AFFECTIVE

COURSE OUTCOMES
C1 C2 C3 C4 C5 C6 P1 P2 P3 P4 P5 P6 P7 A1 A2 A3 A4 A5

Discuss the theories and principles in

1 microeconomics. (PLO1, C2) /
( C2 )

Apply microeconomics concepts and

2 theories in decision making process. /
(PLO6, C3)
( C3 )

Demonstrate good decision making from

3 microeconomic perspectives on real life /
situation/ issues. (PLO8, A3)
( A3 )

Faculty Name : FACULTY OF BUSINESS MANAGEMENT Start Year : 2020

© Copyright Universiti Teknologi MARA Review Year : 2018
 UNIVERSITY TEKNOLOGI MARA

COURSE OUTCOMES

COURSE CODE ECO539 FACULTY / ACADEMY FACULTY OF BUSINESS MANAGEMENT

COURSE NAME (IN ENGLISH) INTERMEDIATE MICROECONOMICS CREDIT UNIT 4

COURSE NAME (IN MALAY) MIKROEKONOMI PERTENGAHAN Resource Person ROSILAWATI BINTI AMIRUDDIN

ACHIEVEMENT OF MOE LEARNING OUTCOMES

COURSE LEARNING OUTCOMES TEACHING METHODOLOGY ASSESSMENT
LO1 LO2 LO3 LO4 LO5 LO6 LO7 LO8 LO9

Discuss the theories and principles in Lecture Test

1 microeconomics. (PLO1, C2) / Quiz
Assignment

Apply microeconomics concepts and theories Lecture Assignment

2 in decision making process. (PLO6, C3) / Quiz Test
Assignment

Demonstrate good decision making from Lecture Assignment

3 microeconomic perspectives on real life / Quiz
situation/ issues. (PLO8, A3) Assignment

Faculty Name : FACULTY OF BUSINESS MANAGEMENT Start Year : 2020

© Copyright Universiti Teknologi MARA Review Year : 2018