CHOICE OF GENERIC ELECTIVE

PAPER FOR SEMESTER I and

SEMESTER II

25th July, 2016

DEPARTMENT OF COMMERCE DAULAT RAM COLLEGE

CHOOSING COMMERCE

AS GE OPTION

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SEMESTER SUBJECT

I Micro Economics

I Insurance & Risk Management

II Macro Economics

II Investing in Stock Markets

SUBJECTS YOU WILL STUDY

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SEMESTER I: MICRO ECONOMICS

Why study Micro Economics?

Scarcity is a fact of life

Never enough time, money, energy….

Economics is the study of how people make choices, including

How people decide how much to work, save, spend & what to buy

How firms decide how much to produce, how many workers to hire

Unit 1: Consumer Behavior & Elasticity of Demand

Unit 2: Production & Cost

Unit 3: Perfect Competition

Unit 4: Monopoly

Unit 5: Imperfect Competition

SYLLABUS

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If you have not studied economics before, this

paper can help you to build a strong foundation

of economics.

If you have studied economics, this paper can

help you revise the basics and add to your

existing knowledge

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TOPICS COVERED • Basic Demand & Supply

• Ordinal Utility analysis of Consumer Behavior

• Consumer Surplus

• Revealed Preference Theory

Unit 1

• Total Average & Marginal Product Curves

• Stages of Production

• Cost of Production

• Economies & Diseconomies of Scale

Unit 2

• Equilibrium of firm & Industry in Short run

• Supply Curve of firm & industry

• Producers’ Surplus

• Welfare Effects of Excise Tax

Unit 3

• Measurement of Monopoly power

• Comparison of pure competition & monopoly

• Social Costs of Monopoly power

• Degree of Price Discrimination

Unit 4 • Monopolistic Competition

• Oligopoly, Duopoly

• Dominant Firm Price leadership

• Centralized Cartels

• Prisoners’ Dilemma

Unit 5

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What you

learn

Understanding how markets work

Better Decision Making

Study of Consumer Behaviour

Relationship between factors of

production

Demand & Supply

Relationship

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APPLICATIONS OF MICRO ECONOMICS

Everything has an Opportunity Cost !!!

SEMESTER I: INSURANCE & RISK MANAGEMENT

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FIRST LET US UNDERSTAND THE TERMS

RISK AND INSURANCE

Risk is the uncertainty about a situation’s outcome- may be an unpredictable event

which leads to loss or damage

Insurance is an arrangement between an individual

(consumer) and an insurer (insurance company) to protect the individual

against risk

WHAT WILL YOU LEARN FROM THIS

PAPER

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THIS PAPER WILL HELP

YOU UNDERSTAND

VARIOUS TYPES OF RISKS

PRESENT IN OUR LIVES

INSURANCE POLICIES

AVAILABLE FOR DIFFERENT TYPES

OF RISKS

HOW AND WHERE TO USE

INSURANCE AS RISK

MANAGEMENT TOOL HOW TO USE

INSURANCE AS INVESTMENT

NEED OF INSURANCE IN

OUR LIFE

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WHY THERE IS A NEED OF INSURANCE IN

OUR LIFE?

Every activity of a person involves risk, e.g. driving a

car involves a risk of accident, risk of theft, risk of

losing a job, risk of fire etc.

Risk is prevalent everywhere in our personal as well as

professional life.

TO COVER THESE RISKS

WE NEED INSURANCE

Unit 1 : Risk and Risk Management : Concept of Risk, Types of

Risk, Evaluation and Measurement of Risk, Disaster Risk

Management, Risk Retention and Risk Transfer

Unit 2: Insurance : Concept of Insurance, Need for Insurance,

Globalization of Insurance Sector, Reinsurance, Coinsurance etc.

Unit 3: Insurance Contracts & Types of Insurance: Nature of

Insurance Contract, its Features, various types of Insurance (Fire,

Motor, Health, Marine etc.)

Unit 4: Regulatory Framework of Insurance: Power and Functions

of IRDA, Computation of Insurance Premium

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SYLLABUS

1. Prepares students for potential employment in insurance industry

2. Enhance their knowledge to work as financial analyst

3. Develops strong critical thinking and analytical skills for managing organizational risk

4. Helps in clearing Insurance Certification conducted by Banks and PSUs

5. Can be recruited as professionals for Investigation of the claims

BENEFITS FROM OPTING THIS PAPER

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GE Orientation on 29-03-2016 15

SMESTER II: MACRO ECONOMICS

Why study Macro Economics?

Macro Economics is the branch of

economics that deals with the whole

economy and the big picture…

It helps in:

achieving the goal of economic

growth, a higher GDP level, and

higher level of employment.

solving economic problems like

poverty, unemployment, inflation,

deflation

formulation of correct economic

policies .

Unit 1: Introduction

Unit 2: Economy in the Short Run

Unit 3: Inflation,Unemployment and

Labour Market

Unit 4: Open Economy

Unit 5: Behavioural Foundation

SYLLABUS

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If you have not studied economics before, this

paper can help you to build a strong foundation

of economics.

If you have studied economics, this paper can

help you revise the basics and add to your

existing knowledge

GE Orientation on 29-03-2016 17

TOPICS COVERED • Income and Expenditure

• Circular flow of income

• Consumption ,saving and investment

• Determination of Equillibrium

Unit 1

• Fiscal and Monetary Policy

• Aggregate demand and supply Analysis

• Economy in Short run IS-LM framework

Unit 2

• Inflation: Causes and effects

• Unemployment:

• Trade off between Inflation and Unemployment: Philips curve

Unit 3 • Saving and Investment in small and large open

economy

• Exchange Rate: Fixed and Flexible

• Interest Rate Determination

• Balance of Payments

Unit 4

• Determinants of Investment: Business ,Residential ,Inventory Investment

• Demand of Money: Portfolio and Transaction Theory

• Supply of Money

Unit 5

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APPLICATIONS OF MACRO ECONOMICS

MACRO Economics enables us to have an overview of

national economic scenario.

What you will learn from this

paper? To understand the fundamentals of

stock market.

Types of Securities and Investment

options.

Risk and Return Analysis.

Buying and Selling decisions.

How to minimize the Risk.

Role of Regulatory Authorities ( SEBI,

IRDA etc.)

SEMESTER II: INVESTING IN STOCK

MARKETS

GE Orientation on 29-03-2016 19

GE Orientation on 29-03-2016 20

Why study Investing In Stock Markets ?

Studying “investing in Stock Markets” provides the basic skills to operates in the stock Markets and the ways of investing in it.

It will enable to take the decisions relating to investment in stock markets

It will also helps in analyzing the risk inherent in the securities.

Unit 1: Investing Fundamentals : Types of Investments, Trading of

Securities and Stocks Exchanges In India

Unit 2: Stock Analysis and Valuation : Comparative Analysis of

Companies and Stock Valuation.

Unit 3: Investing in Mutual Funds : Types of Mutual Funds and

Valuation of Mutual Funds.

Unit 4: Understanding Derivatives : Types of Derivatives : Futures

and options (put and call options). Commodity and Currency

Derivatives and its trading.

SYLLABUS

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GE Orientation on 29-03-2016 22

APPLICATIONS

SEMESTER SUBJECT

III Project Management

IV Economics of Regulation

SUBJECTS YOU WILL STUDY

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If you opt for Commerce as Generic Elective in all 4 Semesters,

you become eligible to do Masters in Commerce (M.Com)

Both subjects offered are very contemporary

and relevant to real world.

Commerce is a strong complementary choice

for students of Economics, Maths, Political

Science, Psychology and other aspiring

managers, entrepreneurs and policy makers.

WHY COMMERCE GENERIC ELECTIVE?

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THANK YOU!!!!

QUESTIONS ???

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