Department of Economics, NSU SPRING 2015 COURSE OUTLINE

Course Title: ECO244

Address: Office : NAC819
Phone Office:

8852000

Email: humaira@northsouth.edu
Ext 1817

Class Time: MW at 11.20 pm

Consultation hours/room :

ST

12 pm to 1 pm

MW 11am to 2 pm

Text Book: Fundamental methods in Mathematical Economics authored by Alpha .

C. Ciang. 3rd or 4th edition.
Supplementary readings:
1. Mathematical Economics by Edward . T. Dowling.

2.. Mathematics for Economics and Business authored by Ian Jacques. Prentice
Hall 2006.
Course Objectives:

1. To train students to think structurally and logically in solving economic

problems by using mathematical tools.
2. To equip students with necessary mathematical tools for higher level
courses as well as for problem solving.
Student Learning outcomes:
Upon the successful completion of this course, a student will be able to:
1. solve optimization problems ( with and without constraints, with single and
multiple choice variables) by using differential calculus and linear programming
2. Deal with exponential and logarithmic functions
3. Understand economic dynamics by using integral calculus, first and higher order
difference an differential equations
4. Work out problems related to finance.
5. Get a grasp on various types of production functions the concept of homogeneity

Grading Policy: The course grade will be based on NSU GRADING system. The weights
are as follows:
Quiz / Assignments
Mid-Term-1
Mid-Term-2
Final Examination
Total:

:
:
:
:
:

20%
25%
25 %
30 %
100%

Topics expected to be covered:

1. Exponential and logarithmic function: Application in Business and
Economics
2. Math for Finance
a. Time value of money
b. Simple interest rate and compound interest rate
c. Present and future value of an annuity
3. Unconstrained optimization:
a) Single variable objective function
b) Multivariable objective function ( 2 variable and 3 variable case)
4. Basic attributes of production functions :
a. Linearly homogenous function
b. Cobb-Douglas production function
c. Constant elasticity of substitution production function
5. Constrained optimization :Lagrange multiplier method ,
Application in production decision problems with resource constraints/ Utility
maximization with Budgetary constraint.
6. Integration:
a. Introduction , Integration by substitution,
b. Integration by parts, Numerical integration and its examples in Business and
Economics.
7. First Order Differential equation:

a. Solution procedure for differential equation with constant coefficient and

constant term.
b. Application in Microeconomic model of Demand and supply and
Macroeconomic model of National Income determination.
c. Exact Differential Equation and method of separable variables
8. First Order Difference equation:
a. Solution procedure for first order Difference equation with constant
coefficient and constant term.
b. Application in Microeconomic and Macroeconomic models (The Cob Web
Model, The Market model of Inventory)
9. Linear Programming
a. Graphical Method
b. Duality theorem (Tentative)
c. Simplex Method (Tentative)
Course regulations:
1. Mobile phones must be switched off during the class hour.
2. Make-up exams will be arranged only in case of emergency , subject to
submission of genuine documents. There will be NO MAKE-UP for quiz tests
under any circumstances.
3. Distracting the instructor by talking to other classmates is not allowed.
4. Students are free to consult the instructor regarding the class material only
during the office hour mentioned.
5. Attendance is important to earn satisfactory grade in this course.