QUANTITATIVE TECHNIQUES First Term PGP 1 2010-11

Course Instructors: T. N. Badri Devi Prasad Bedari

T. A. Pai Management Institute, Manipal-576104

QUANTITATIVE TECHNIQUES
TERM :1 COURSE CREDIT :2 NUMBER OF SESSIONS : 16 Introduction In the first part of this course, we will refresh the basics of mathematics, such as algebra, coordinate geometry, vectors and matrices, and calculus. The variables will be economic variables and not engineering variables. Instead of universal laws relating physical quantities we will aim to discover empirical relations between the economic variables through a method called regression (this method itself will be discussed in the Business Statistics course in term 2). The concurrent, second part of the course will be about descriptive statistics. We will look at the representation of data, and the summarization of data using popular measures of central tendency, peakedness and skewness. The previous edition of the course has successfully used election data available in a daily newspaper. One interesting external link that has many visualization tools is at http://manyeyes.alphaworks.ibm.com/manyeyes. Results from the Karnataka state elections of 2008 has been uploaded here by a TAPMI student group, and may be viewed through various charts. Course Objectives The learning objectives of this course are given below. The testing will be designed to evaluate if these objectives have been reached by the student. 1) to refresh elementary topics in algebra and calculus of the firm as needed for economics and other finance and marketing courses that may have some mathematical content. 2) to develop confidence in representing data using charts and trend lines, interpret them and draw conclusions if possible. Course Content: We will follow the following schedule. Please notice that on July 10th (for both sections), July 12th for section 2 (July 13th for section Section 1) and July 15th (for both sections) there are two sessions of QT instead of one. Professor Bedari will handle these sessions (9, 10, 15, 16) on the Statistics topics.

Session No.
1

Date & faculty initials

July 3rd
(TB)

Topics to be covered in session

Straight Line and curves in Economics; Break even point; Taxes and Subsidies Economic Significance of Parabola, Hyperbola and Circle. Linear inequalities in two variable Vectors and Matrices; Multiplication, Inverses and Solving Systems of Equations Economic Applications of Matrices Input-Output models Sets, Relations and Functions;

Examples and Exercises

Bhardwaj: Sections 1.1 to 1.3; Exercise 1.1 Bhardwaj: Sections 1.4 to 1.10; Exercise 1.2 Bhardwaj: Sections 2.1 to 2.9 Exercises 2.1, 2.2, 2.3,2.4 Bhardwaj: Sections 2.10, 2.11 Exercises 2.5 and 2.6 Bhardwaj: Sections 3.1 to 3.4;Exercises 3.1, 3.2 Bhardwaj: Sections 3.5 to 3.6; Exercises 3.3 Q7, 24, 25, 26, 27. Exercise 3.4 Q12, 16, 19, 20, 21, 22, 23, 24. Bhardjwaj: Sections 4.1; Exercise 4.1 Black: Chapter 2 with exercises Black: Chapter 3 with exercises

July 5th
(TB)

July 6th
(TB)

July 7th
(TB)

July 8th
(TB)

July 9th
(TB)

Sequences and Series; Limits

July 10th
(TB)

Derivatives of Simple functions;

July 10th
(DPB)

Classification and Tabulation of Data Graphic presentation of data; Diagrammatic presentation of data Measures of Central Tendencies;

10
For Section 2 only

July 12th
(DPB)

11

July 12th
(TB)

Differentials and Differentiation;

Bhardjwaj: Sections 4.2, 4.3; Exercise 4.2 Black: Chapter 3 with exercises Bhardwaj: Sections 4.4, 4.5,4.6; Exercises 4.3,4.4,4.5 Bhardwaj: Section 5.1, 5.2; Exercise 5.1; Bhardwaj: Section 5.3, 5.4; Exercise 5.2, 5.3 Black: Chapter 3 with exercises Black: Chapter 3 with exercises

10
For Section 1 only

July 13th
(DPB)

Measures of Central Tendencies;

12

July 13th
(TB)

13

July 14th
(TB)

Price and Income Elasticity of Demand; Revenue, Production and Cost Functions ; Marginal Product and Average Product Economic Applications; Maxima and Minima Economic Applications; Maxima and Minima Measures of dispersion

14

July 15th
(TB)

15

July 15th
(DPB)

16

July 16th
(DPB)

Skewness, Moments and Kurtosis;

References: 1. Essential Mathematics for Economics and Business, Bradley and Patton. 2. Chapters 1 to 5, from R. S .Bhardwajs Mathematics for Economics and Business 3. Chapters 1 to 3 from Ken Black Evaluation: Two moodle quizzes, one in the middle of the course and one at the end of the course. They are for feedback and not for credit.