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(Download) NCERT Books for UPSC & State PSC Exams: Class XII (Economics - Microeconomics)

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Content:

1. INTRODUCTION

• A Simple Economy
• Central Problems of an Economy
• Organisation of Economic Activities

• The Centrally Planned Economy
• The Market Economy

• Positive and Normative Economics
• Microeconomics and Macroeconomics
• Plan of the Book

2. THEORY OF CONSUMER BEHAVIOUR

• Utility

• Cardinal Utility Analysis
• Ordinal Utility Analysis

• The Consumer’s Budget

• Budget Set and Budget Line
• Changes in the Budget Set

• Optimal Choice of the Consumer
• Demand

• Demand Curve and the Law of Demand
• Deriving a Demand Curve from Indifference Curves and Budget Constraints
• Normal and Inferior Goods
• Substitutes and Complements
• Shifts in the Demand Curve
• Movements along the Demand Curve and Shifts in the Demand Curve

• Market Demand
• Elasticity of Demand

• Elasticity along a Linear Demand Curve
• Factors Determining Price Elasticity of Demand for a Good
• Elasticity and Expenditure

3. PRODUCTION AND COSTS

• Production Function
• The Short Run and the Long Run
• Total Product, Average Product and Marginal Product

• Total Product
• Average Product
• Marginal Product

• The Law of Diminishing Marginal Product and the Law of Variable Proportions
• Shapes of Total Product, Marginal Product and Average Product Curves
• Returns to Scale
• Costs

• Short Run Costs
• Long Run Costs

4. THE THEORY OF THE FIRM UNDER PERFECT COMPETITION

• Perfect competition: Defining Features
• Revenue
• Profit Maximisation

• Condition 1
• Condition 2
• Condition 3
• The Profit Maximisation Problem: Graphical Representation

• Supply Curve of a Firm

• Short Run Supply Curve of a Firm
• Long Run Supply Curve of a Firm
• The Shut Down Point
• The Normal Profit and Break-even Point

• Determinants of a Firm’s Supply Curve

• Technological Progress
• Input Prices

• Market Supply Curve
• Price Elasticity of Supply

5. MARKET EQUILIBRIUM

• Equilibrium, Excess Demand, Excess Supply

• Market Equilibrium: Fixed Number of Firms
• Market Equilibrium: Free Entry and Exit

• Applications

• Price Ceiling
• Price Floor

6. NON-COMPETITIVE MARKETS

• Simple Monopoly in the Commodity Market

• Market Demand Curve is the Average Revenue Curve
• Total, Average and Marginal Revenues
• Marginal Revenue and Price Elasticity of Demand
• Short Run Equilibrium of the Monopoly Firm

• Other Non-perfectly Competitive Markets

• Monopolistic Competition
• How do Firms behave in Oligopoly?

Glossary

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Courtesy: NCERT