View 190 Notes (Detailed) On IIT Joint Admission Test (IITJAM) Economics

11Consumer Theory[48 Notes, 23%]

• 1 [1]
• Weak Axiom of Revealed Preference and Strong Axiom of Revealed Preference
• 2 [3]
• Marshallian Analysis
• Law of Demand
• Arc Elasticity of Demand
• 3 [5]
• Cross Elasticity; Substitutes & Complementaries
• Income Elasticity
• Elasticity of Substitution
• Price Elasticity
• Revealed Preference
• 4 [3]
• Basic Axioms of Consumer Theory
• Theory of Comparative Advantage
• Economic Problems
• 5 [3]
• Economy Characteristics
• Micro-Economic Analysis: Determination of Factor Price in Different Markets
• Marshallian Approach: Laws of Utility
• 6 [2]
• Hicksian Approach: Properties of the Indifference Curve, Assumptions of IC, Consumer Equilibrium with IC Analysis
• Income Effect and Substitution Effect in IC Analysis: Hicks Method or Compensating Variation Method, Slutsky Method or Cost Difference Method
• 7 [2]
• Revealed Preference Analysis: Assumptions, Consumer Equilibrium in Revealed Preference Analysis, Separation of Price Effect into Substitution Effect and Income Effect
• Introduction: Definition, Meaning and Scope of Micro Economics- Evolution, is Economics A Science or Art, Economics Positive or Normative, Relation to Other Subjects
• 8 [2]
• Introduction: Definition, Meaning and Scope of Micro Economics: Microeconomics and Macroeconomics, Basic Areas of Microeconomics- Microeconomics, Macroeconomics
• Definition, Meaning and Scope of Micro Economics- Meaning of Economics, Evolution, Definition of Economics, is Economics A Science or Art, Economics Positive or Normative, What Subjects Does Economics Relate to?
• 9 [2]
• Basic Economic Problem: The Basic Economic Problem – the Problem of Choice- The Production Possibility Curve (PPC)
• Basic Economic Problem: Market, Buyer and Seller, Demand and Supply- Markets in Micro and Macro Theory, Market and Capitalism, Working of Market – Price Mechanism, Market Mechanism and Social Welfare, the Price Mechanism and the Forces of Demand and Supply, Equilibrium, Existence, Uniqueness and Stability of Equilibrium
• 10 [2]
• The Cardinal Utility Approach: The Cardinal Utility Theory, Assumptions, Concepts of Total Utility and Marginal Utility
• The Cardinal Utility Approach: Consumer Equilibrium under Cardinal Approach- Case 1 – Consumer Equilibrium under Single Commodity Case, Case 2 – Consumer Equilibrium under Multiple Commodity Case
• 11 [3]
• The Cardinal Utility Approach: Derivation of Demand Curve, Drawbacks of Cardinal Approach
• Indifference Curve Theory: Assumptions, Indifference Curve
• Indifference Curve Theory: Concept of Marginal Rate of Substitution, Properties of Indifference Curve, Different Shapes of Indifference Curves- Substitute Goods, Complementary Goods, One Good is Necessary, One Good is BAD Good, One Good is A Neutral Good, A Good Turn Bad After Some Point
• 12 [2]
• Indifference Curve Theory: Concept of Budget Line, Consumer Equilibrium – Ordinal Approach
• Indifference Curve Theory: The Effect of Change in Income on Consumer Equilibrium ICC, the Effect of Change in Price of the Goods on Consumer Equilibrium PCC
• 13 [2]
• Applications of Indifference Curve: Measuring Income Effects of Income and Excise Taxes, Measuring Effects of Excise and Income Subsidies- Choice between Taxes
• Applications of Indifference Curve: Income and Substitution Effects of A Price Change: Normal Good- Hicksian Approach, Slutskian Approach
• 14 [3]
• Applications of Indifference Curve: Income and Substitution Effect: Inferior Goods, Giffen Paradox
• Concept of Elasticity: Demand and Supply
• Concept of Elasticity: Demand Elasticity- Price Elasticity of Demand, Income Elasticity of Demand
• 15 [3]
• Concept of Elasticity: Determinants of Price Elasticity of Demand, Measuring Price Elasticity from A Linear Demand Function, Measuring Price Elasticity from A Non-Linear Demand Function, Price Elasticity of Supply, Determinants of Price Elasticity of Supply
• Revealed Preference Theory: The Revealed Preference Theory, Assumptions, Revealed Preference Axioms
• Revealed Preference Theory: Decomposition of Substitution and Income Effect and Derivation of Demand Curve, Derivation of Indifference Curve
• 16 [2]
• Revision of Demand by Hicks and Choice Involving Risk: Preference Hypothesis and Logic of Ordering- Difference between Strong and Weak Ordering, Logic of Weak Ordering, the Direct Consistency Test
• Revision of Demand by Hicks and Choice Involving Risk: Derivation of Law of Demand through Logical Weak Ordering Approach, Choice Involving Risk under Uncertainty
• 17 [2]
• Inter Temporal Choice: Introduction, Inter Temporal Choice: Budget Constraint- Consumption with Lending, Consumption with Borrowing
• Inter Temporal Choice: Inter Temporal Choice: Consumer Preferences, Optimal Consumer Choice, Effect of Change in Endowment on Inter Temporal Choice, Changes in Interest Rate and Inter Temporal Choice
• 18 [2]
• Recent Theories in Demand Analysis: The Pragmatic Approach to Demand Analysis, Linear Expenditure System- The Constant Elasticity of Demand Function, Distributed Lags Models of Demand
• Demand and Its Determinants
• 19 [1]
• Demand and Demand Function
• 20 [2]
• Wiseman-Peacock Hypothesis
• Elasticity of Demand
• 21 [1]
• Breaking up Price Effect into Income Effect and Substitution Effect: H Icksian Approach

12Theory of Production and Cost[16 Notes, 3%]

• 1 [5]
• Short Run Costs
• Relation between ATC and AVC
• Relationship between MC and ATC
• Long Run Costs
• External Economies and Diseconomies
• 2 [6]
• Theory of Production
• Marginal Rate of Technical Substitution
• Short Run Analysis of Production
• Equilibrium of the Firm
• Expansion Path
• Production Possibility Curve or Transformation Curve
• 3 [3]
• Long Run Analysis of Production
• Theory of Rent
• Theory of Production: Law of Variable Proportions, Three Stages of Production, Returns to Scale
• 4 [2]
• Theory of Production and Costs, Cost Concepts, Modern Theory of Cost
• Theory of Production, Properties of Isoquant, Principle of Diminishing Marginal Rate of Substitution

13General Equilibrium and Welfare[8 Notes, 5%]

• 1 [2]
• Fundamental Theorems
• Social Welfare Function
• 2 [3]
• Pareto Optimality
• Equilibrium
• Equilibrium under Price Discrimination
• 3 [1]
• Nicholas Kaldor-Hicks
• 4 [1]
• Pareto Optimality: Marginal Conditions of Pareto Optimality
• 5 [1]
• Social Welfare Function: Social Welfare Function through Social Indifference Curves

14Market Structure[11 Notes, 5%]

• 1 [3]
• Monopoly: Price Elasticity of Demand & Costs
• Measurement of Degree of Monopoly Power
• Monopolistic Completion
• 2 [2]
• Imperfect Competition
• Monopoly: Features, Competitive Structure
• 3 [2]
• Micro-Economic Analysis: Features of Monopolistic Competition
• Micro-Economic Analysis: Features of Oligopoly, Collusive Oligopoly Model, Price and Output Determination under Oligopoly
• 4 [2]
• Micro-Economic Analysis: Basis of Monopoly, Monopoly Power, Methods
• Micro-Economic Analysis: Perfect Competition
• 5 [2]
• Baumol՚s Sales Maximization Model: Williamson & Marris Model
• Basic Economic Problem: Method of Analysis, Economic Concepts, Tools and Models- Deductive, Inductive, Hypothetico Deductive, Variables, Constants, Parameters and Functions, Economic Model, Economic Laws

15Game Theory[4 Notes, 4%]

• 1 [1]
• Theory of Games
• 2 [1]
• Two-Person Zero-Sum Game
• 3 [1]
• Theory of Games: Pure and Mixed Strategy: Concept of Game Theory, Definition of Game Theory
• 4 [1]
• Theory of Games (Saddle Point Distribution): Concept of Saddle Point, Definition of Saddle Point Solution, Key Terminologies

21National Income Accounting[1 Notes, 1%]

• 1 [1]
• National Income

22Behavioural and Technological Functions[4 Notes, 3%]

• 1 [2]
• Life Cycle Hypothesis
• Permanent Income Hypothesis and Robert Hall՚s Random Walk Model
• 2 [2]
• Absolute Income Hypothesis
• Random Walk, Integrated Series and White Noise

23Business Cycles and Economic Models (Closed Economy)[13 Notes, 9%]

• 1 [2]
• Keynesian Stabilization Policies
• Demand for Money
• 2 [2]
• General Equilibrium
• Models of Economic Growth
• 3 [3]
• IS Curve: Derivation of IS Curve, Shift in IS Curve
• LM Curve: Shift in LM Curve
• Effectiveness of Monetary and Fiscal Policy
• 4 [1]
• Hicks Business Cycle Theory, the Autonomous Investment
• 5 [3]
• Fisher and Cambridge Approach: Fisher՚s Equation of Exchange
• Fisher and Cambridge Approach: Cambridge Cash Balance Approach
• Keynesian Approach: Keynesian Demand for Money, Aggregate Demand for Money: Keynes՚ View
• 6 [1]
• Model of Kaldor: Explanation of the Model
• 7 [1]
• Model of Kaldor: Different Stages of Unstable Equilibrium of S and I

24Inflation and Unemployment[7 Notes, 5%]

• 1 [2]
• Theory of Consumption
• Life Cycle Hypothesis: Introduction to the Theory, Assumptions of the Theory, Explanation of the Theory
• 2 [2]
• Permanent Income Hypothesis: Introduction of the Permanent Income Hypothesis, Relationship between Consumption and Permanent Income
• Permanent Income Hypothesis: Permanent and Transitory Income, Permanent Income, Long-Run and Short-Run Consumption Functions
• 3 [1]
• Relative Income Hypothesis: Introduction of Relative Income Hypothesis, Explanation of the Theory through Figure
• 4 [2]
• Keynesian Approach: Principle of Effective Demand
• Keynesian Approach: Determination of Effective Demand, Determination of the Equilibrium Level of Employment by Effective Demand

25Growth Models[2 Notes, 1%]

• 1 [1]
• Schumpeter
• 2 [1]
• Schumpeter Theory, Essential Elements of the Theory

31Probability Theory[9 Notes, 5%]

• 1 [1]
• Statistics and Econometrics (Basics, Events and Probability)
• 2 [2]
• Statistics and Econometrics (Probability, Central Momemts)
• Probability: Theory
• 3 [2]
• Probability: Conditional Probability
• Probability: Bayes՚ Theorem
• 4 [2]
• Probability: Probability Mass Function
• Elementary Counting Techniques, Probability: Decomposition, Complementary, Product, Combination
• 5 [1]
• Distributions: Probability Distributions
• 6 [1]
• Probability and Probability Distribution Function: Probability, Axioms of Probability, Probability of Compound Events, Probability Distributions

32Mathematical Statistics[2 Notes, 1%]

• 1 [2]
• Single Equation Methods of Estimations - Indirect Least Squares and Least Variance Ratio
• Single Equation Methods of Estimations - TSLS

33Hypothesis Testing[8 Notes, 1%]

• 1 [6]
• Hypothesis
• Types of Statistical Hypothesis
• Formulation of Null and Alternate Hypothesis
• Process of Hypothesis Testing
• Procedure Used to Test the Significance
• Introduction of Error
• 2 [2]
• Types of Error
• Confidence Intervals

34Correlation and Regression[17 Notes, 5%]

• 1 [6]
• Correlation
• Types, Methods and Uses of Correlation
• Positive and Negative Correlation
• Partial and Multiple Correlations
• Linear and Non-Liner Correlation
• Measuring Association Among Attributes: Covariance and Correlation
• 2 [3]
• Measuring Association Among Attributes: Regression Analysis
• Measuring Association Among Attributes: Multiple Regression
• Measuring Association Among Attributes: Covariance, Correlation, Linear and Curvilinear Correlation
• 3 [4]
• Standardized Regression Analysis and Standardized Coefficients
• Regression: Plotting the Relationship
• Mean, Variance and Covariance: Building Blocks of Regression
• The Regression Equation
• 4 [3]
• Regression: Significance Testing of B
• Regression: Accuracy of Prediction & Assumptions Underlying Regression
• Interpretation of Regression
• 5 [1]
• Blue: Concept, Definition, Properties of A Good Estimator

41Planning and Indian Development[5 Notes, 4%]

• 1 [2]
• Role of Agriculture in Indian Economy
• New Agricultural Policy
• 2 [2]
• Agricultural Schemes
• Green Revolution
• 3 [1]
• Role of Agriculture in India

42Banking, Finance and Macroeconomic Policies[5 Notes, 3%]

• 1 [2]
• Concept of Money Supply
• Commercial Banking: Functions of Commercial Banks, Banking System, Types of Commercial Banks,
• 2 [2]
• Components of Money Supply: Measures of Money Supply
• Non Banking Financial Company (NBFCS)
• 3 [1]
• Regional Rural Banks and Cooperative Banks

43Inequalities in Social Development[2 Notes, 1%]

• 1 [1]
• Social Sector Development: Concept of Social Sector
• 2 [1]
• Social Sector Development: Component of Social Sector, Importance of Social Sector, Role of Social Sector in Economic Development

44Poverty[1 Notes, Tiny]

• 1 [1]
• Poverty, Inequality and Growth Triangle

51Preliminaries and Functions[2 Notes, 1%]

• 1 [2]
• Real Analysis of Elementary Set Theory
• Convex Set

52Elementary Functions[4 Notes, 1%]

• 1 [2]
• Mathematical Complex Analysis and Topology: Continuity of Function
• Functions and Continuity: Domain and Range or Pre Image and Image, Types of Function
• 2 [2]
• Functions and Continuity: Real Function
• Functions and Continuity: Continuity, One Sided Limit, Illustration

53Sequences and Series[3 Notes, 1%]

• 1 [2]
• Mathematical Complex Analysis and Topology: Sequence and Series
• Mathematical Complex Analysis and Topology: Power Series
• 2 [1]
• Sequence and Series

54Differential Calculus[3 Notes, 1%]

• 1 [3]
• Differential Calculus: Differentiability, Geometrical Meaning, Simple Differentiation
• Differential Calculus: Chain Rule, Differentiation of Implicit Function, Differentiation of Logarithmic Function, Differentiation of Infinity Series, Parametric Differentiation, Higher Order Differentiation
• Differential Calculus: Rolls Theorem, Lagrange Mean Value Theorem, Partial Differentiation, Total Differentiation

55Linear Algebra[1 Notes, Tiny]

• 1 [1]
• Static Optimization Problems

56Systems of Linear Equations[14 Notes, 6%]

• 1 [1]
• Matrices: Addition, Subtraction, Multiplication & Types
• 2 [2]
• Matrices, Representation of Equations in Matrix Form and Their Solutions: Matrix, Matrix Addition and Subtraction, Matrix Multiplication
• Matrices, Representation of Equations in Matrix Form and Their Solutions: Properties of Determinant of Square Matrix, Simultaneous Equations and Their Solution
• 3 [4]
• Determinants & Properties of Determinants
• Adjoint of A Matrix & Properties
• Singular Matrix and Non-Singular Matrix
• Abstract Algebra: Introduction of Vector Space
• 4 [4]
• Vector Space
• Vector Space or Linear Space
• Vector Space: Problems
• Mathematical Complex Analysis and Topology: Normal Spaces
• 5 [1]
• Adjoint Operator
• 6 [2]
• Basic Concepts: Matrices, Algebra of Matrices, Linear Combination, Types of Matrices
• Basic Concepts: Matrices, Inverse of Matrix, Transpose of Matrix, Properties on Transpose of A Matrix, Properties on Conjugate Transpose, Trace of A Matrix, Elementary Operations on Matrix, Row Reduced Echelon Form of A Matrix, Rank of the Matrix