Introduction
This module unit is intended to equip the trainee with knowledge, skills and attitudes that will enable him/her apply the economic concepts in day to day life
General Objectives
At the end of this module unit, the trainee should be able to:
- Recognize the role of economics in day to day life
- Apply the concept of demand and supply in economic analysis
- Demonstrate an understanding of price determination
- Apply production theory concept in a financial institution
- Demonstrate an understanding of market structures
- Relate the concept of money and banking to banking and financial services business environment
- Demonstrate an understanding of public finance concept
- Assess the relationship of population and unemployment in a economy
- Cope with emerging issues and trends in economics.
Topic 1: Introduction to Economics
- Meaning of economics
- Scope of economics
- Human wants
- Economic resources
- Concept of scarcity and choice
- Economic systems
Topic 2: Demand Analysis
- Concept of demand
- Factors affecting demand of a product
- Demand curve derivation
- Shift and movement along a demand curve
- Definition of elasticity of demand
- Types of elasticity of demand
Topic 3: Supply Analysis
- Concept of supply
- Factors affecting supply of a product
- Supply curve derivation
- Shift and movement along the supply curve
- Elasticity of supply
- Types of elasticity of supply
Topic 4: Price Determination
- Definition of price
- Determination of price
- Equilibrium position in the market
Topic 5: Production Theory
- Production concept
- Purpose of production
- Factors of production and their rewards
- Levels of production
- Law of diminishing returns
Topic 6: Theory of the Firm
- Distinction between firm and industry
- Costs of production
- Concept of Revenue
- Economies and diseconomies of scale
- Factors affecting location of an industry
- Optimal size of a firm
Topic 7: Market Structures
- Definition of market
- Types of market structures
- Needs for control of power in market structures
- Ways of controlling powers in different market structures
Topic 8: National Income
- Definition of national income
- Concepts of national income
- Circular flow of national income
- Methods of measuring national income
- Importance of national income statistics
- Factors affecting national income
- Causes of income disparities
- National income equilibrium
Topic 9: Money and Banking
- Definition of money
- Characteristics of money
- Functions of money
- Demand and supply of money
- Meaning of banking
- Functions of commercial banks
- Functions of central bank
- Non-banking financial institutions
Topic 10: Public Finance
- Definition of public finance
- Principle of public finance
- Effects of government expenditure
- Sources of government revenue
- Purpose of taxation
- Principles of taxation
- Types of taxes
- Meaning of fiscal policy
- National budget
- Public debt/borrowing
Topic 11: Inflation
- Definition of inflation
- Types of inflation
- Causes of inflation
- Effects of inflation
- Measures used to control inflation
Topic 12: International Trade
- Definition of international trade
- Importance of international trade
- Advantages and disadvantages of international trade
- Theories of comparative advantage and absolute advantage
- Balance of trade
- Balance of payment
- Barriers to international trade
- Exchange rate systems
- Economic integration/regional groupings
- Functions of international monetary fund (IMF) and world bank
Topic 13: Population and Unemployment
- Definition of population
- Population growth
- Effects of population growth
- Meaning of unemployment
- Causes of unemployment
- Solutions to unemployment
Topic 14: Economic Growth and Development
- Meaning of economic growth and economic development
- Factors determining growth and development
- Need for development planning
Topic 15: Emerging Trends and Issues in Economics
- Emerging economic trends and issues
- Challenges posed by emerging economic trends and issues
- Approaches to manage emerging economic trends and issues