DU SOL B.Com (Hons) Principles of Microeconomics Syllabus – Semester 1

This page provides a structured and clear explanation of the Principles of Microeconomics syllabus for B.Com (Hons), Semester 1 under Delhi University – School of Open Learning (SOL).

Course Overview

Unit-Wise Official Syllabus

Based on the SOL study material, the subject is divided into the following 12 lessons:

Unit 1: Problem of Scarcity and Choice

• Meaning of scarcity
• Basic economic problems
• Production Possibility Curve (PPC)
• Opportunity cost
• Central economic problems

What this means:
This unit introduces why economics exists. The PPC diagram and opportunity cost are frequently asked theoretical and numerical topics.

Unit 2: Demand

• Meaning and determinants of demand
• Demand function
• Law of demand
• Shifts vs movement along demand curve

Core focus: Graph-based explanation and conceptual clarity.

Unit 3: Elasticity of Demand

• Price elasticity
• Income elasticity
• Cross elasticity
• Methods of measurement
• Degrees of elasticity

This is a high-importance unit. Numerical questions are common.

Unit 4: Supply and Elasticity of Supply

• Law of supply
• Determinants of supply
• Elasticity of supply
• Measurement methods

Graphs and short numericals are usually asked.

Unit 5: Determination of Equilibrium Price and Quantity

• Market equilibrium
• Shifts in demand and supply
• Effects of taxes and subsidies

Graph-based questions are common here.

Unit 6: Applications of Demand & Supply

• Price ceiling
• Price floor
• Rationing
• Market intervention

Conceptual and application-based questions appear regularly.

Unit 7: Theory of Consumer’s Demand

• Cardinal utility approach
• Law of diminishing marginal utility
• Law of equi-marginal utility

Theory-heavy unit. Long answers often come from here.

Unit 8: Indifference Curve Analysis

• Ordinal utility
• Indifference curves
• Budget line
• Consumer equilibrium
• Price effect
• Income effect
• Substitution effect

One of the most important units in the syllabus. Diagram clarity is essential.

Unit 9: Production

• Production function
• Law of variable proportions
• Returns to scale

Graph-based and conceptual.

Unit 10: Cost

• Short-run cost concepts
• Long-run cost curves
• Relationship between cost curves

High exam relevance. Cost curve diagrams are frequently asked.

Unit 11: Economies of Scale

• Internal economies
• External economies
• Diseconomies

Generally conceptual, often asked in short notes.

Unit 12: Perfect Competition

• Features of perfect competition
• Short-run equilibrium
• Long-run equilibrium
• Shutdown point
• Break-even point

One of the most scoring units if diagrams are practiced properly.

Exam Pattern Explained

1. Theory Examination

• Total Marks: 75
• Duration: 3 hours
• Mix of:
  • Long answer questions
  • Short notes
  • Numerical questions
  • Diagram-based questions

2. Internal Assessment

• Total Marks: 25

Question Pattern (Typical Structure)

Although question papers may vary, the usual pattern includes:

• 1 compulsory question (short answers)
• 4–5 long questions out of internal choices
• Internal choice between related topics

Graphs and diagrams must be drawn properly and labeled.

Unit-Wise Focus & Practical Weightage Insight

Important Note:
Delhi University does not publish fixed unit-wise weightage. The following analysis is based on previous year question papers.

High-Weightage Areas

• Elasticity of Demand
• Indifference Curve Analysis
• Cost Curves
• Perfect Competition
• Consumer Equilibrium

These units consistently produce long-answer questions.

Moderate-Weightage Areas

• Demand and Supply
• Equilibrium Price
• Production

Often asked as either long answer or short note.

Lower but Scoring Areas

• Economies of Scale
• Price Ceiling / Floor
• Basic Concepts (Scarcity, PPC)

Usually appear as short questions.

Important Topics for Exams

Students should ensure strong preparation in:

• Diagram-based derivations
• Numerical problems in elasticity
• Relationship between AC, AVC, MC
• Law of variable proportions
• Consumer equilibrium (both cardinal and ordinal approach)
• Perfect competition short-run vs long-run equilibrium

If diagrams are weak, marks are lost even if theory is correct.

Common Areas Students Struggle With

1. Confusion between:
   • Movement vs shift in demand/supply
   • Income effect vs substitution effect
2. Diagram mistakes:
   • Wrong labeling
   • Missing equilibrium points
3. Elasticity numericals:
   • Using incorrect formula
   • Ignoring mid-point method
4. Cost curve relationships:
   • Not understanding why MC cuts AC at minimum point

Concept clarity matters more than memorising definitions.

NEP vs Old Batch Clarification

For current batches under NEP structure:

• Subject remains 4 credits
• Internal assessment structure may slightly differ
• Syllabus core remains largely similar

Students should verify whether their batch follows:

• CBCS (Old Structure)
• NEP (2022 onwards)

The core microeconomics content remains substantially the same.

B.Com (Hons) vs B.Com Programme Difference

• B.Com (Hons) includes deeper theoretical treatment
• Numerical and analytical focus is higher
• Graphical explanation is expected in detail

Programme students may have a more applied version, while Hons requires theoretical precision.

How to Study This Subject Strategically

1. First complete Units 1–6 (basic foundation).
2. Then move to consumer theory (Units 7 & 8).
3. Finish with production and cost (Units 9–12).

Microeconomics builds logically. Skipping foundational units creates confusion later.

FAQ

Is mathematics compulsory in this subject?

Basic algebra is required for elasticity and some numerical problems. Advanced mathematics is not required.

Are diagrams compulsory?

Yes. For consumer theory, cost, and perfect competition, diagrams are expected.

Does SOL reduce syllabus?

No. SOL follows the same core syllabus as Delhi University.

Can this subject be prepared without coaching?

Yes, if concepts and diagrams are practiced regularly.

Final Academic Summary

Principles of Microeconomics in Semester 1 lays the foundation for:

• Intermediate Microeconomics
• Macroeconomics
• Business Economics
• CA Foundation Economics

The subject is conceptual, diagram-based, and logically structured.

Students who focus on:

• Graph clarity
• Conceptual understanding
• Previous year questions

generally perform well.

For long-term academic clarity, this subject should not be treated as a memory-based paper. It is analytical in nature and requires structured preparation.

References: DU SOL Study Material