ACE1006 : Introductory Business Economics

Semester 1 Credit Value: 10
ECTS Credits: 5.0


To cover selected principles of economics from a business perspective and to show how economics can be used to understand business problems and aspects of the business environment. This is an introductory module designed for first year undergraduates without ANY prior knowledge of economics.

Outline Of Syllabus

Economics definition and key concepts; business economics.
The working of competitive markets: business in a competitive market; demand and supply, price and output determination; elasticity of demand and supply; Government intervention in competitive markets.
Background to demand: marginal utility theory and demand and the firm.
Background to supply: cost and production; short vs long-run.
Revenue and profit maximisation.
Market Structures: Perfect competition, monopoly, monopolistic competition.
Business in an international environment: globalisation and international trade (key concepts).
The macroeconomic environment of business (key macroeconomics issues): inflation, unemployment, economic growth.
Macroeconomic policy: fiscal and monetary policies; interventionist supply-side policy; European economic and monetary union.

Teaching Methods

Teaching Activities
Category Activity Number Length Student Hours Comment
Guided Independent StudyAssessment preparation and completion110:0010:00preparation and completion of semester 1 examination
Scheduled Learning And Teaching ActivitiesLecture161:0016:00Formal lectures
Guided Independent StudyDirected research and reading132:0032:00Reading of essential texts and recommended readings, and engaged study of assigned topics.
Scheduled Learning And Teaching ActivitiesWorkshops41:004:00Workshops for problem-solving and exam revision.
Guided Independent StudyIndependent study112:0012:00Consolidation of lecture notes and further reading
Guided Independent StudyIndependent study120:0020:00Reading and research beyond course material to consolidate learning
Guided Independent StudyIndependent study16:006:00preparation for workshops
Jointly Taught With
Code Title
ACE1003Economics for Business and Marketing
Teaching Rationale And Relationship

Lectures, backed up with workshops and freely-available web-based material (e.g. Financial Times) convey the underlying principles. These methods should enable students to gain an understanding of how economics, in theory and in practice, relates to business activity. They should also enable students to apply major economic principles to the analysis of the behaviour of firms and consumers, and to understand economic arguments. Students will be able to use the My Econlab software to practice and consolidate their learning.

Assessment Methods

The format of resits will be determined by the Board of Examiners

Description Length Semester When Set Percentage Comment
Written Examination1201A75Unseen (closed book) paper exam: multiple choice;
Other Assessment
Description Semester When Set Percentage Comment
Prob solv exercises1M25students will do one paper based exam c.1hr in a scheduled session
Assessment Rationale And Relationship

One-hour problem solving exercise, gives the students the opportunity to rehearsal for the final exam and get feedback on topics covered so far in the module. Format - multiple choice questions which will test the student's conceptual understanding, analysis and interpretation of information, and problem-solving skills. Weighted 25% of the final mark to reflect the suggested preparation time by the student.
Two-hour, end-of-semester examination assesses student's ability to demonstrate a thorough understanding and application of fundamental concepts and principles covered in the module. Format: multiple-choice questions drawn from all topics covered during the semester. Closed book, and no notes and no calculator.

Reading Lists