1. Part B (Maths): Starting with Part B first. Frankly, never having seen its paper, we only have limited knowledge of the same. This is for people who have done Bachelors in Mathematics. It contains theoretical (fairly advanced) question relating to Functions, Matrices, Metric Spaces, Real Analysis etc etc. (This is not a comprehensive list of what all is covered). This section itself contains two sections. One section is for Objective type questions and the other is descriptive type (there is usually choice given for the descriptive type questions). There is negative marking for the objective type questions section.

People should not opt for the mathematics part until and unless they are very confident on theoretical Maths. Even people who have done engineering usually attempt the economics part.

1. Part A (Economics): This option is recommended for people from Economics, Statistics, Engineering and others fields.  The subjects that students are expected to be well versed with are: Microeconomics, Macroeconomics, Statistics (and some Econometrics which came by surprise in the last 2009-10 paper) and Mathematics. Although there is no subject-wise allocation for marks, but past trends show that all the four subjects get equal weight age in the paper.

This part contains two sections both containing Objective type questions from all subjects:

1. Twenty questions of 1mark each (20marks)
2. Forty questions of 2marks each (80marks)

There is negative marking of 1/3marks for the 1mark questions and 2/3marks for 2marks questions.

Since all the questions are objective type, the options that are given in the exam are fairly well researched. Teachers are aware of the common mistakes that students commit and therefore, if you commit a mistake in a question, chances are that the wrong option will be present among the four options. There is very little scope for answering by elimination.

Overall, it is not a very lengthy paper. If students allot time judiciously, then there is enough time to attempt all questions easily.

One mark questions do not take that much time but as mentioned above the options are fairly tricky and until and unless you are crystal clear with your concepts, you are bound to make mistakes. Two-markers are lengthy, might require more time. Models generally will have few two-markers to be attempted with them testing different aspects of the same.

“A little knowledge is a dangerous thing” holds true for this exam in particular because  students think they know some question, attempt it wrong and because of the negative marking lose a lot of marks. So, guess work is absolutely not encouraged.

A note on notations: Probably the thing that will scare you if you have a first look at the entrance paper is the extensive use of symbols. Most students from non-maths background are not well versed with the meaning of these symbols. Some common ones are: ?, ?, ?, ? etc.  Such mathematical notation is fairly easy once you know it but can pose problems if you don’t know it. They are extensively used in Microeconomics and Mathematics questions.

Mathematics:

Probably the most scariest and feared section in the paper. The primary references for the same are Fundamental Methods of Mathematical Economics by A. Chiang and Further Mathematics for Economic Analysis by Sydsaeter and Hammond. Students need to be well versed with functions, calculus, logic etc. (Integration and trigonometry can be de-emphasized). Frankly, I don’t think any amount of hard-work can assure that you will be able to attempt the questions that come in the entrance. So, if you are not strong in Maths, recommendation would be that you focus on Micro, Macro and Stats instead.

However, differentiation and differential calculus are extensively used in Macroeconomics and if you are clear with those concepts that 70-80% of your Macro questions are done automatically! (more on this has been covered in the Macroeconomics section) of this post.

Statistics and Econometrics:

Go through DU BA Economics syllabus for Statistics and follow up all the readings. You can refer to Mathematical Statistics by SC Gupta and VK Kapoor for the probability section. For Econometrics, you may refer to Essentials of Econometrics by Gujarati, first 11 chapters. Last year, there were 3-4 questions from Econometrics. So, if you do not wish to take chances, you may decide to do it as well.

Macroeconomics:

First of all, get hold of DU syllabus of Macroeconomics 2nd year and go through all the readings referred. This shall form the basis of the questions asked in the entrance. The entrance will surely have a set of questions on a macroeconomic model. For e.g., the most elementary question can be giving demand and supply sides of the economy in goods and money market respectively and finding the equilibrium output level and rate of interest. This can be supplemented by a question on what will happen if there is an exogenous increase in investment. The basic point to grasp is that one has to be very clear with the concepts because it is then only that you can solve it in mathematical framework. Get hold of Macroeconomics by William Branson. This book deals the subject in the way asked in DSE entrance. Since you will have 4-5 questions linked to the same model, it is necessary that you get the first one right or else it will spill over to all the other questions and hence the negative marking.  While solving the question in the entrance, do it on a fresh page (the extra sheet at the back) and do it very cautiously. DSE professors know where students tend to make mistakes and it is highly likely that the wrong answer that you might be getting is there in one of the options! And as already mentioned, negative marking can ruin your chances to clear the entrance.

Besides having clear concepts, you will also be required to have good mathematical skills, essentially involving differentiation.  Differentiation makes solving these models a lot easier and direct. You will be able to appreciate this when you try out the past year papers. Again, solving the past year question papers is extremely important here. The concepts involved are very much similar to that studied in DU UG but the application part is very different. What you might have studied at UG level is necessary but not at all sufficient to solve the questions asked in Macroeconomics section of DSE entrance.

For the one markers, you should know about different curves in Keynesian and Classical Economics. Also, be clear with Solow model. Questions in Macroeconomics section are quite scoring. So spend good time over getting the concepts right and then applying them in solving the models given in the past years.

Books to be referred:

1. Macroeconomics by Dornbusch and Fisher
2. Macroeconomic Theory and Policy by William Branson
3. Macroeconomics, Schaum Series (little elementary)
4. Macroeconomics by Oliver Blanchard
5. Macroeconomics by Mankiw

You may go through these books and decide for yourself which one is good for which topic. Schaum series Macroeconomics is a little elementary and if you are content with the other books then you may skip this one.

Microeconomics

Again, quite a scoring section if you have the concepts right. Start with Intermediate Microeconomics (7th edition) by Hal Varian and complement it by doing exercises from Varian Workbook. Both are necessary to get the concepts clear. Microeconomics section in DSE would not ask you to do simple maximization, infact the question might appear to be very simple to you but it will have certain relatively tougher concept being tested. Thus, most of the times, it will be asking you about complement, substitutes, quasilinear etc. preferences. Except chapter 11, 13, 17 in Intermediate Microeconomics all other chapters are to be done.

For market structure, follow chapters from Pindyck. We found them better explained there than in Varian. Make sure that you follow up these concepts by practicing questions in Workbook. You may also go through the following website and browse different topics in Microeconomics, their lecture notes and assignments.

http://ocw.mit.edu/OcwWeb/Economics/index.htm

If you are short on time, then just go through the solved assignments.

While doing questions in Varian workbook, you might find them easy as Varian has beautifully written it in a story format. Remember that DSE entrance will not ask you the question in the same format. It will put forth the framework and ask you the last part of question as given in the workbook. Thus, it is necessary that you constantly ask yourself why you are following the procedure outlined through different parts in a question in the workbook and where you are headed.

For the General Equilibrium part, again, the question will not have simple concave utility functions. You have to get hold of how to solve for substitutes, complements and quasilinear preferences. As in macroeconomics section, Geneq section has many questions built in the same framework. Practice them well from the workbook and the past years. Having clear concepts of Consumer theory is essential to get on with General Equilibrium and it is perceived to be the toughest section in DSE. However, if you have the fundas right, General Equilibrium becomes the most interesting section in Microeconomics.

Cut off: We think that the cut-off would usually be around 50.

By: Riju Bafna and Akshay Jain (Akshay is also pursuing Masters from DSE and can be contacted at www.akshayjain.com)

For any queries regarding DSE entrance (AND ONLY DSE entrance), kindly post your queries here. Make sure that your query is not already answered in this blog post. For queries in other entrances (JNU,ISI), put your comments in the respective blog entry.

Also refer to the comment by Shoumitro in this blog entry (Click here) . He is also pursuing Masters in Economics from DSE.

Preparation for this entrance is similar to the MA Economics degree offered by School of Social Studies. If i recall correctly, last year they had 8 questions out of which one had to answer 5. Keep the strategy for this same except that you need to write the answers in coherent manner. Note that the entrance for this course has subjective questions. On addition to the recommended topics for course at SSS (previous entry), go through 3rd year “International Economics” book by Paul Krugman. HO theorem, Specific factor model etc. are required to be done.

Last year, there was a question on money multiplier derivation. So, it is also suggested that you go through the basics of Money, Central bank instruments (CRR, SLR etc.) to control money supply.

Keep the answers terse and be clear with basics.

For any query/comments regarding MA Economics offered by SIS, post your comments on this blog entry. For queries in other entrances (JNU,ISI,DSE), put your comments in the respective blog entry.

1. http://www.indiasummary.com/2010/02/19/general-knowledge-questions-with-answers-for-january-2010-current-affairs-questions-2010/

2. http://www.competitionmaster.com/category.aspx?ID=6c95efd4-997a-430a-b1fb-e438640cb80a

3.http://www.knowledgebase-script.com/demo/article-574.html

For those who are giving entrances that ask questions related to Indian Economics may also go through Economics edition of Pratiyogita Darpan. It has material on all the areas concerning Indian Economy.

All the best!

SSS (MA Economics)

To crack JNU entrance, solving past years is extremely important. They essentially have the same trend of questions being followed over years. If you are preparing for ISI and DSE entrances, clearing JNU may not be that challenging. SSS entrance tests on basics and do not really focus on any sophisticated problems like ISI and DSE. Last year SSS entrance had objective as well as subjective questions.

Mathematics and Statistics part may be done from past years only. They have questions on probability, index numbers, Correlation, Mean, Variance, Coefficient of Variation, quantiles and other such topics from basic statistics (be clear with the properties of all the topics). My suggestion will be to go through DU Economics first year course on Statistical Methods for Economics.  In mathematics, cover topics like AP, GP, HP, Compound Interest, finding maxima and minima, basics about functions like finding inverse of a function, go through the properties of logarithmic and exponential functions etc.

For Microeconomics, utility maximisation, cost functions and various market setups (perfect competition, monopoly, oligopoly) shall be done properly (I fathom that one of the favourite question of JNU is to find equilibrium in perfectly competitive market given a cost function). Know the basics like what is Production Possibility frontier, what happens to MC or AC or some utility function at optimum, price elasticity of demand etc.

NIA used to be one of the favourite topics of SSS. But, last year they did not ask as many questions on NIA as earlier which was quite surprising! However, to be on safe side, go through the basics of NIA from 12^th class NCERT. Do first few chapters of NIA from Dornbusch and Fischer. They are necessary. You can also go through NIA chapter in International Economics by Paul Krugman. They usually ask atleast one question on National Income identity. Also know what appreciation, depreciation and terms of trade like terms are. Questions on IS-LM (goods market equilibrium and money market equilibrium), money multiplier are equally expected.

Lastly, for the social awareness questions, you need to know what poverty line in India is (they may ask what is the poverty ration suggested by Tendulkar Committee!), trend in labour share in different sectors, sex ratio, Five year plans etc. I believe for this section, it is important to be updated with current affairs through newspapers. Last year they had asked to write an essay as well. Financial crisis and Lewis model were one of the five topics on which the student could write on. This time as well they may give topics like Financial Inclusion, Keynesian Economics, something related to New Economic Policy etc.

An entry on MA Economics with specialization in World Economy offered by SIS shall follow!

P.S: Past year papers can be obtained directly from JNU while applying for the course. They are also available at DSE photocopy shop.

For any query/comments regarding MA Economics offered by SsS, post your comments on this blog entry. For queries in other entrances (JNU:SIS,ISI,DSE), put your comments in the respective blog entry.

• Paper 1: Focuses on Mathematics and Statistics
• Paper 2: Focuses on Microeconomics and Macroeconomics

Paper 1: The first step in preparing for any entrance is to go through the past year papers (you can access it from http://www.isid.ac.in/~pu/academics.html). For this section of ISI entrance, you may realize that ISI focuses on 11^th and 12^th class mathematics. Therefore, the first step in going about this section is to brush up on your school level concepts. I would further recommend readers to take up some Engineering entrance preparation book and solve questions from there. Do not go to IIT level questions, just focus on AIEEE kind of questions. Students may also see the past years of BSc Math entrance conducted by ISI. An excellent reference book is “TEST OF MATHEMATICS AT THE 10+2 LEVEL”  published by Affiliated East-West Press Pvt. Limited. It is a collection of past 20yrs B.Stat Entrance questions which are very similar to the ones asked in MSQE entrance.

The key to clearing this section is having the concepts clear and focusing on solving as many types of questions as possible.

For Statistics, I would recommend SC Gupta and V.K.Kapoor’s book on Mathematical Statistics. This book has many questions on Probability and they are of the level asked in ISI entrance.

Paper 2: Microeconomics shall be studied from Intermediate Economics by Hal Varian and some concepts from Pindyck and Rubenfield. After getting hold of the concepts, make sure that you do the relevant chapters from Workbook, Varian. The questions that are asked in ISI entrance again target on the basics. So keep your concepts clear and for that practice as many practical questions as you can. Do not waste time in mugging up some formula. ISI focuses on how well you understand concepts and not on how well you can mug up.

If you have completed the Workbook and pretty confident about it then I would suggest you to do questions from MIT open courseware.

http://ocw.mit.edu/OcwWeb/Economics/index.htm

Just look at different microeconomic courses and see which ones ask concepts that you have done from Varian and Pindyck & Rubenfield. You may go through the lecture notes as well, they are good. I would suggest you to focus on solved assignments than go through the unsolved ones. And to have a stronger grip on the concepts, do solve all the DSE past years question papers.

For Macroeconomics, again, concepts are very important. Go through Dornbusch and Fischer for the same. Mankiw Macroeconomics is good as well. Last year, ISI had asked a question on macroeconomic modeling. If you have time, you may go through ‘Macroeconomic Theory and Policy’ by William Branson for the same. It will help you in DSE preparation as well.  Moreover, try the macroeconomics questions from DSE past years. The question that was asked in ISI last year was somewhat similar to the kind of macroeconomics questions asked in DSE. Another recommended, albeit a little elementary, is Schaum series Macroeconomics. I found the growth models done well in it. You may complement Growth models from Mankiw with Schaum series one. A question on growth model (essentially Solow) is quite likely.

Cut off: I believe the cut-off in maths n stats section could have been around 22-23/30. Actually, it depends on the difficulty level of the paper. If you see 2008 paper, this section was quite easy and hence the cut-off would have been higher. For Micro, Macro section, my suggestion would be to target to attempt 80% of the questions.

Note: For students who did their graduation from non-DU college shall take up DU syllabus of Microeconomics and Macroeconomics taught in 2nd year (can access at http://econdse.org/ba09.pdf)

If anyone has any query about ISI MSQE entrance , you may leave a comment on this entry. For queries in other entrances (JNU,DSE), put your comments in the respective blog entry.

Much of the budget focused on creating schools, hospitals, museums (Rabindranath Museum at Howrah), sport academics, music academy (at Howrah), housing, crèches and hostels. I guess Mamata Banerjee has considered Railways as an institution of ‘inclusive’ economic growth than focusing on what Railways is actually expected to do, i.e., run trains efficiently, on time and have good connectivity all over the nation.

The budget did not address the issue of safety and security in the Rail network. The minister got away with saying that security is a state subject and hence did not announce anything to gear up the security level. Every year, numerous trains are introduced without working on improving the existing network. All of us are aware of the poor hygienic conditions in Railways (baring Western Railways). But no plan has been drawn to improve it. Several new projects like establishment of 6 bottling plants have been proposed to ‘improve’ passenger amenities/services!

Among some of the visionary goals, one is addition of 25,000kms of new lines in the next ten years. This is commendable given that since independence, we have added just 10,419 kms, an annual average of only 180kms! Let’s hope, like all other visions of Railways, this does not turn out to be a faux!

Mamata has announced to develop new business models in Railways. This is quite intriguing. She intends to provide room for domestic investment in Railways through PPP mode.

Over-all, Railway budget 2010-11 seemed to be quite dry, with no plan to really improve traveling in Indian Railways. It is good to have new plans, but it is important to have the old ones working efficiently first!

It is quite a contrast to see two different people, each lacking what the other has, and hoping to have what he/she lacks, something like ‘envy’ principle in economics.

I am not suggesting that being satisfied with what one has shall lead to satiation and hence no struggle to climb up towards the ‘bliss point’ (which in itself is not stationary!). All I wish to contemplate on is why we should be sad over what we do not have, hence forgetting to appreciate our blessings.

I think the law of diminishing marginal utility can never be applied to human desires and emotions. Essentially, it tends to be increasing marginal utility. So, first you struggle to meet basic needs. When you have them, you want qualitative improvement in the same, you want money, more money, you want to be in the best of institute, you want to be the topper of the same, and you want the highest package. And along with this you also want to have better relations. Thus, it is not merely materialistic needs but also emotional needs that are insatiate. Life essentially turns out to be about ‘me and my needs’, an endless loop.

“Maslow believes that the human needs form a pyramidical hierarchy. The physical needs are situated at the base of the pyramid, while self-actualisation is situated at the apex of the pyramid. There are five groups of such human needs, which are as follows:

1. The Basic (Physical) Needs
2. The Safety Needs
3. The Social (Love & affection) Needs
4. The Esteem Needs
5. The Need for Self-Actualisation

1.  THE PHYSICAL NEEDS

These needs are primarily related to human subsistence and his sustenance. Consider a person without any job and without any job and without any source of income. He is without food. He is starving. In such circumstances he obviously wants nothing but some food. He sneers at love. Food is a physical need, which is the most pressing one. Other physical needs are the following:

• Air for Breathing
• Water for Drinking, Washing, etc.
• Sleep for Relaxation
• Sex for gratification of senses and procreation

2. THE SAFETY NEEDS

These needs are related to a sense of security and protection for his life. Consequently, it also includes his employment and regularity of his income. If the man is fortunate, he finds a job. He now seeks safety. He wants to protect himself while at work and he strives to ensure that his employment is permanent.

3. THE LOVE NEEDS

These needs are related to the well-being of man as a social entity. Consider that his management Is sympathetic and he is provided with protective clothing and is assured of permanent employment. Now he begins to look around for friends. Man is a social animal. His quest for friends, their company and love is eternal and irrepressible. When, for instance, he finds that his dearest friend in the office is absent, he becomes acutely uneasy. He cannot work properly without his workmates.

4. THE ESTEEM NEEDS

These needs are related to the self-confidence and self-respect of human beings. Even when he is surrounded by loving friends, he has traces of unhappy. He feels insecure. He is tortured by a sense of inferiority complex. He now badly requires some measure of self-confidence and self-respect. He must be able to assure himself that he can work independently, can do difficult jobs and stand on his feet.

A stage is reached when he feels confident that he has developed a good measure of competence. But he is assailed by fresh doubts, as if he is suffering from the so-called Arjuna disease. He now wants this inward feeling to be confirmed by others. He seeks appreciation and recognition without which he feels uneasy. These are now his dominant desires.

5. THE NEED FOR SELF-ACTUALIZATION

This need is related to achieving the highest objective in life or the supreme goal in human life. When a man gets appreciation and recognition in abundant measure, a man’s mind turns itself inwards.  He wonders whether he has realized his full potential by reaching the summit of his performance. Self-Actualisation is the supreme goal in human life. It can be achieved by our actions, referred as “Karma”.

It may be observed that man is never fully satisfied. He is always in search of something higher, which he does not possess. He remains active. It is always the unsatisfied need that motivates a person. A person who is fully satisfied becomes inactive and apathetic. ”

I am yet to understand whether these needs are good or bad. Somehow I believe that any sort of need is bad and shall be avoided. The question often boils down to how? I do not know. I am still searching for my own answers.