UNIVERSITY OF CALICUT 
         
                SCHOOL OF DISTANCE EDUCATION 
         
         
         
                     Elective Course 
         
         
         
                    MA ECONOMICS 
                        III SEMESTER 
                         ECO3E02 
         
         
             INDUSTRIAL ECONOMICS 
         
         
                 2019Admission onwards 
                         CBCSS 
                        190312 
                             
         
      
           Elective Course 
           MA  ECONOMICS 
           (2019Admissiononwards) 
      
      
                      UNIVERSITY OF CALICUT 
               SCHOOL OF DISTANCE EDUCATION 
            Calicut University (P.O), Malappuram, Kerala, India 673635 
      
           Prepared by 
                          Dr. Rejuna C.A. 
                          Assistant Professor, 
                          Govt.College,Kasargod 
      
      
                     
           Scrutinised by 
                     
                          Dr.Rahul .K 
                          Assistant Professor 
                          Dept. of Economics 
                         Govt.Arts & Science College 
                          Kunnamangalam,Kozhikode. 
                          
                          
                                  
      
    Industrial Economics 
                     
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   School of Distance Education, University of Calicut 
     Industrial Economics 
     
                    Module I 
            A Prelude to Industrial Economics 
        Industrial economy is a distinctive branch of economics 
        which deals with the economic problems of the firm and 
        industries  and  their  relationship  with  the  society.  It  is 
        known  by  several  names  such  as’  Economics  of 
        industries”, Industry and trade” etc. 
         There are two broad elements: 
        1. Descriptive  element:-  it  is  concerned  with  the 
        information  content  of  the  subject.  It  is  aimed  at 
        providing  the  industrialist  and  businessman  with  a 
        survey  of  industrial  and  clerical  organization  of  his 
        country  and  of  other  countries  with  which  he  might 
        come  in  contact.  It  would  give  him  full  information 
        regarding  the  natural  resources,  industrial  climate, 
        situation  of  infrastructure,  fop,  trade  and  commercial 
        policies and degree of competition. 
        Thus it deals with information about competitors, natural 
        resources, rules and regulations concerned to industry. 
        2.  Business policy and decision making: - This is 
        analytical part dealing with the topics such as: 
              A) Market analysis 
              B)  Pricing 
              C)  Choice of technique 
              D) Location of plant 
              E)  Investment in planning 
              F)  Hiring and firing of labor 
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    School of Distance Education, University of Calicut