BA LL.B (Hons.) 5 Year




 Economics – II
Objective: The students in the previous year have been exposed to the basic business economics including policy measures like taxes and subsidies and also various pricing techniques. It is the objective of this paper to take the process forward and make use of the concepts learnt to analyze macroeconomic issues and indicators. The students will also be exposed to various macroeconomic concepts and theories of economic growth and development and their measurement also in order to have deeper understanding of economic processes.

MODULE-I  National Income Concepts:

  1. GDP at Market Price, GNP at market price, NNP at market price, NDP at market price, NDP at Factor Cost, GDP at Factor cost, NNP at Factor Cost, GNP at Factor Cost, Private Income, Personal Income, Disposable Income; Measurement of National Income: Income Method, Product Method, Value Added Method, Expenditure Method,
  2. Concepts: Full Employment, Voluntary Employment, Involuntary Employment, the classical theory of Employment.

Say’s Law of Markets: Its Implications and Criticisms

MODULE-II  Keynesian Theory of employment:

  1. Keynesian Theory of employment: its Significance and Criticism, Effective Demand: Aggregate Demand and Aggregate Supply; Consumption Function and its determinants: Propensity to consume, Psychological Law of Consumption;
  2. Investment; induced and autonomous investment, Factors Influencing Investment and Measures to stimulate Investment, Marginal efficiency of capital: Prospective Yield, Supply Price, Investment Demand Curve, Business Expectations, Secular Stagnation 


Investment multiplier: Static and Dynamic Analysis; Limitations and Leakages of Multiplier, Importance and its Criticism, Investment Theory of Accelerator: its Significance and Criticism, Trade cycle theories: – Samuelson and Hicks, control of trade cycles, Inflation, Monetary Policy and Fiscal Policy 


Economic growth and Development: Difference between Economic Development and Economic Growth, Measurement of Economic Development or Growth, Human Development Index, Physical Quality of Life Index, Difficulties in its measurement; Determinants ofeconomic development: Economic and Non-economic; Vicious circle of poverty: Nurkse Viewpoint

Books Recommended:

1. Dornbusch, Fischer and Startz, Macroeconomics, McGraw Hill.
2. N. Gregory Mankiw. Macroeconomics, Worth Publishers.
3. Olivier Blanchard, Macroeconomics, Pearson Education, Inc..
4. Richard T. Froyen, Macroeconomics, Pearson Education Asia.
5. Chopra, P. N., Macro Economics, Kalyani Publication
6. Lekhi, R.K., Macro Economics Theory, Kalyani Publication
7. Jain, T. R. &Khanna, O.P., Macro Economics, V. K. Global Publication