AIMS AND OBJECTIVES OF THE COURSE: The Economics course is a foundation
course for the understanding of economics and is basis for following courses in economics
and management. The course provides comprehensive introduction to the principle ideas,
concepts and applications of the theory and practice of economics. It develops students’
economic literacy and teaches them how economics relates to the everyday life of individuals,
businesses and society in general. The difference between macro- and microeconomics is
outlined, as the course is focused mainly on topic of microeconomics. The objectives of the
course are to introduce students to some methods and tools applied in economics analysis;
acquaint them with the fundamental principles of microeconomics; teach them how to apply
the concepts to which they were introduced.
DESCRIPTION OF THE COURSE: The Economic Problem. Needs, Wants, and Demands.
Production, Consumption, Exchange. Market Economy Models. Types of Business
Organisations. Industrial Enterprises. Classification According to the Size. Forms of Business
Ownership Markets. Supply and Demand Markets. The Public Sector. The Costs of
Production. Productivity. Elasticity of Demand. Price Elasticity. The Competitive Firm.
Competitive Markets. Imperfect Competition. The Labour Market.
