ECB1101: pass the exams, not just read the notes
Your complete guide to Monash University's introductory microeconomics unit. See where the marks are, work real practice questions, and study with an AI tutor that knows ECB1101.
Sia generates ECB1101 practice questions, walks through government intervention and externalities step by step, and quizzes you on the material the exam weights most heavily.
Worked example
A single-price monopolist faces the linear demand curve P = 100 − Q and produces at a constant marginal cost of MC = 20. What price maximises profit?
For linear demand P = a − bQ, marginal revenue shares the intercept but has twice the slope: here MR = 100 − 2Q.
Read the price off the demand curve at Qm = 40: P = 100 − 40 = 60.
So the profit-maximising price is P = 60 (option index 2). For reference, the deadweight loss is half times (80 − 40) times (60 − 20) = 800.
The trap: Setting P = MC (the competitive rule) gives 100 − Q = 20, so Q = 80 and P = 20. That is the efficient, zero-deadweight-loss outcome, not the monopolist's choice. A monopolist sets MR = MC, not P = MC, and always prices above marginal cost. classic slip!
One exam decides 50% of your grade. Covers Week 1 to Week 11 material. This whole page is built around that.
Overview
What ECB1101 is, and where it sits
ECB1101 Introductory Microeconomics is Monash Business School's first-year gateway to economic reasoning: a 6-credit-point unit that builds a single microeconomic toolkit from the ground up. Across the semester you move from the economic way of thinking (scarcity, opportunity cost, comparative advantage and gains from trade) into the market forces of supply and demand, elasticity, welfare and consumer and producer surplus, and then on to government intervention, externalities and public goods, the costs of production, and the market structures of perfect competition, monopoly and monopolistic competition. The framing is applied throughout, with workshops drawing on real-world business and policy examples.
It is taught as a two-hour weekly workshop that blends mini-lectures, problem-solving and discussion rather than a separate lecture-plus-tutorial split, and it follows a Mankiw-style chapter sequence closely. The work is moderately mathematical at an introductory level: linear demand and supply functions, reading and drawing diagrams, slope and gradient, elasticity arithmetic, cost-curve geometry and the monopolist's MR = MC pricing rule. The unit deliberately stays graph-and-algebra based rather than calculus-heavy, and a calculator is permitted in the final exam.
ECB1101 is the assumed-knowledge foundation for further economics study and for commerce decision-making units, and it pairs with the macroeconomics unit ECB1102 in the same first-year sequence. The four learning outcomes ask you to explain core microeconomic models, apply microeconomic reasoning to government policy and market outcomes, evaluate the causes and consequences of market failure, and use economic theory and diagrams to communicate insights in business contexts.
Difficulty & time commitment
Is ECB1101 hard, and how much time does it take?
ECB1101 is manageable if you keep a weekly rhythm and treat the back half as the main event. Across student reviews the pattern is consistent: it starts gently and steepens, and the heaviest assessment is the part that separates grades.
A read across student reviews and course feedback. See what students say ↓
The difficulty curve and the assessment weighting point the same way: the back half is harder and worth more. Front-loading effort there is the highest-return decision in the unit.
Is this unit for you
Who tends to do well, and who tends to struggle
You will likely do well if
- You are comfortable with introductory algebra: rearranging linear demand and supply equations, solving for an equilibrium and reading slopes off a graph.
- You redraw the core diagrams (supply and demand, surplus areas, cost curves, the tax wedge, the externality SMC against demand, and monopoly MR = MC) from blank axes until they are automatic.
- You do the weekly workshop problem sets by hand and self-mark against the posted solutions before moving on, rather than only watching the solution videos.
- You keep on top of the denser second half (government intervention, externalities, costs of production and the three market structures), because that is where the marks and the harder questions concentrate.
You may struggle if
- You assume an HSC economics background covers it; the algebra and the graphical rigour go further and the gap shows up in the in-class quizzes.
- You leave Weeks 6 to 11 (intervention, externalities, costs and the market structures) to cram, even though they are the heavier, more examinable block.
- You memorise rules instead of being able to re-derive them, such as MR = a − 2bQ, the shut-down and exit conditions, or the deadweight-loss triangle, under closed-book exam pressure.
- You do not practise hand-drawn, fully labelled diagrams, since the exam explicitly deducts marks for missing or wrong axis, curve and shift labels.
- Master the Weeks 1 to 5 toolkit (the economic way of thinking, gains from trade, supply and demand, elasticity and surplus) early so the heavier second half has a foundation to stand on.
- Re-derive every result rather than memorising it: comparative advantage from a table, point elasticity, the MC-cuts-AVC-and-ATC geometry, MR = a − 2bQ, and the deadweight-loss triangle.
- Drill the sample exam timed, especially the Section C hybrid questions, and rehearse drawing each diagram fully labelled with arrows for shifts, because that is where marks are lost.
- Keep one page of formulas and key diagrams covering all of Weeks 1 to 11, and rehearse reproducing each graph and each calculation from scratch with whole-number answers.
Syllabus
The 12 topics, week by week
The exam-weight marker on each topic shows where the marks concentrate. The amber topics carry the highest exam weight.
W1 · Introduction and the economic way of thinking
Ch 1, 2Why we study economics, scarcity and trade-offs, opportunity cost, marginal thinking, and what an economic model is (the PPF and positive versus normative statements).
W2 · Interdependence and the gains from trade
Ch 3Absolute versus comparative advantage from a production table, why both parties can gain from specialising and trading, and the terms-of-trade range. Workshop covers understanding slope.
W3 · Supply and demand
Ch 4The law of demand and supply, the determinants that shift each curve, market equilibrium, and movements along a curve versus shifts. Workshop covers functions and drawing diagrams.
W4 · Elasticity
Ch 5Price, cross-price and income elasticity, the point and total-revenue methods, the determinants of elasticity, and how elasticity shapes the response to a price change.
W5 · Market efficiency
Ch 7Consumer surplus and producer surplus as areas, total surplus and the efficiency of competitive equilibrium, and constructing market demand and supply. In-class Quiz 1 is held this week.
W6 · Government intervention
Ch 6, 8Price ceilings and floors, the incidence of a tax or subsidy and how it splits with elasticity, and the deadweight loss of taxation.
W7 · Externalities and public goods
Ch 10, 11Negative and positive externalities, the Pigouvian (corrective) tax and social versus private cost, and the free-rider problem for public goods and common resources. In-class Quiz 2 is held this week.
W8 · The costs of production
Ch 14Fixed, variable, total, average and marginal cost, the shape of the cost curves, why MC cuts AVC and ATC at their minima, and short-run versus long-run costs. Workshop covers drawing cost functions.
W9 · Perfect competition
Ch 15The price-taking firm, the P = MC profit-maximising rule, the shut-down (P < AVC) and exit (P < ATC) decisions, and long-run zero economic profit with free entry. In-class Quiz 3 is held this week.
W10 · Monopoly
Ch 16The price-making firm, MR below price for a downward-sloping demand curve, the MR = MC rule then reading price off demand, monopoly deadweight loss, and price discrimination.
W11 · Monopolistic competition
Ch 17Product differentiation, the short-run versus long-run outcome with free entry, the tangency at zero economic profit with excess capacity, and the role of advertising.
W12 · Exam information and revision
RevisionExam format walkthrough, a revision competition, and consolidation across Weeks 1 to 11. The final exam covers material from Week 1 to Week 11.
How it's assessed
Assessment structure
| Component | Weight | Format & timing |
|---|---|---|
| Online (Moodle) quizzes | 10% | A set of online Moodle quizzes (1% each) completed on Moodle through the semester. Open from early in the semester; all close Monday 8 June 2026, 11:55pm (S1 2026 dates; S2 dates will differ). Low stakes, individual, no hurdle. |
| In-class quizzes | 20% | Three timed in-class quizzes (Quiz 1, 2 and 3) sat in the workshop, run on Moodle; roughly 5% each. Held in Weeks 5, 7 and 9 of the workshop schedule (S1 2026 sat 31 March, 21 April and 5 May; S2 dates will differ). Individual. Solutions and marking guides are released after each quiz. |
| Written assignment | 20% | Five questions, 20 marks each, 100 total; hand-written answers only, including equations and diagrams; show workings. Due Monday of Week 9 (S1 2026 due Monday 4 May 2026, 11:55pm; S2 date will differ). Individual. Late penalty 5% per day. |
| Final exam | 50% | On-campus, closed-book, 2 hours 10 minutes: Section A is 30 MCQ (30 marks), Section B is 4 short-answer questions (30 marks), Section C is 2 hybrid questions (40 marks); calculator allowed. Formal exam period (S1 2026 was 23 June; S2 2026 final to be confirmed against the official timetable). Covers Week 1 to Week 11 material. |
- Pass on an overall mark of at least 50%. There is no hurdle requirement on any single component, per the unit's exam information.
- Three sections totalling 100 marks: Section A (30 MCQ, similar to the online quizzes), Section B (4 short-answer questions that may involve calculations, similar to the problem sets and in-class quizzes), and Section C (2 hybrid questions worth 40 marks that may require drawing graphs, solving equations and making calculations). Always label every axis, curve and shift on graphs, and show calculation steps; answers are usually whole numbers.
- Calculator policy: A calculator is allowed in the final exam. The exam is closed book and held on campus.
This is an exam-cram unit. With the exams at 50% of the grade and the final exam alone at 50%, your result is overwhelmingly decided by how well you perform under time pressure. Covers Week 1 to Week 11 material.
Final exam timing: approx late Nov 2026 (S2 offering, confirm against the official Monash exam timetable). Confirm the exact date and venue on the official exam timetable.
How to actually pass it
A weekly rhythm, two checklists, and the traps to avoid
The unit rewards consistency over cramming, and practice over re-reading. Here is the loop that works, then what to have nailed before each exam.
The weekly loop
Before the mid-semester checklist
- Drill the pre-quiz topics under timed conditions: the economic way of thinking, gains from trade, supply and demand, elasticity and surplus, since the in-class quizzes are sat in the workshop.
- Practise the elasticity and total-revenue test and the consumer- and producer-surplus areas until they are instant.
- Sit the released solution and marking guide for each in-class quiz so you know exactly how marks are awarded.
- Rehearse hand-drawn, fully labelled supply-and-demand and surplus diagrams, because labels carry marks.
Before the final heaviest topics
- Cover all of Weeks 1 to 11, but prioritise the denser second half: government intervention, externalities and public goods, the costs of production, and the three market structures.
- Work the sample exam timed for Sections B and C, then check method against the model answers, not just the final number.
- Practise deadweight-loss triangles and welfare areas quickly, since they recur across taxes, externalities and monopoly.
- Re-derive the monopoly result fast (MR = MC, then read price off demand) and the perfect-competition shut-down and exit rules.
- Redo every online quiz and review the in-class quiz videos, because Section A questions are similar to the quizzes.
The mistakes that cost marks
Using P = MC for a monopolist. The competitive rule P = MC gives the efficient outcome, not the monopolist's. A monopolist sets MR = MC, finds the quantity, then reads the price off demand. This single confusion is the most common monopoly error and it cascades into the wrong profit and the wrong deadweight loss.
Leaving graphs unlabelled. The exam information is explicit: incorrect or missing labels on axes, curves or movements lose marks, and you must use arrows to show shifts. Practising fully labelled hand-drawn diagrams is free marks that many students throw away.
Cramming the second half. Government intervention, externalities, costs of production and the three market structures are the denser, more examinable block. Leaving them to the last week rarely works, especially for the Section C hybrid questions.
Writing essays in a calculation exam. The exam tips say to give short, precise answers and warn that unrelated answers or graphs earn nothing. Show calculation steps, label the diagram, and answer in a sentence or two rather than padding.
Teaching team
Who teaches ECB1101
The bios below are factual. The star ratings are not ours: they are impressions from students who have taken the unit, so you can hear from people who sat in the lectures.
Jackie So
Chief Examiner and lecturer for ECB1101 Introductory Microeconomics in the Department of Economics at Monash Business School, coordinating the unit and releasing quiz solutions and marking guides through the semester.
Teaching team as listed in the unit materials reviewed. AskSia does not rate lecturers; star ratings are submitted by students who have taken ECB1101.
Formula & concept sheet
The vocabulary and formulas you must own
- Opportunity cost
- The value of the next-best alternative forgone. From a production table, the opportunity cost of one unit of X is the units of Y given up divided by the units of X.
- Comparative advantage
- Producing a good at a lower opportunity cost than another party. Gains from trade come from specialising in your comparative advantage, not your absolute advantage.
- Price elasticity of demand
- The percentage change in quantity demanded divided by the percentage change in price. Demand is elastic if the absolute value exceeds 1, inelastic if below 1, and the total-revenue test follows from this.
- Consumer and producer surplus
- Consumer surplus is the area below demand and above price; producer surplus is the area above supply and below price. Total surplus is maximised at the competitive equilibrium.
- Tax incidence and deadweight loss
- A per-unit tax drives a wedge between the price buyers pay and the price sellers receive. The more inelastic side bears more of the tax, and the deadweight loss is half times the tax times the fall in quantity.
- Pigouvian (corrective) tax
- For a negative externality, social marginal cost equals private marginal cost plus the marginal external cost, and the efficient quantity is where demand meets social marginal cost. The corrective tax equals the external cost at that quantity.
- Marginal cost and the cost curves
- Marginal cost is the change in total cost from one more unit. MC cuts AVC and ATC at their minimum points from below; the gap between ATC and AVC is average fixed cost.
- Perfect competition: profit max, shut-down and exit
- A price-taker produces where P = MC. It shuts down in the short run if P < AVC, and exits in the long run if P < ATC; with free entry, long-run economic profit is zero.
- Monopoly marginal revenue and pricing
- For linear demand P = a − bQ, MR = a − 2bQ: the same intercept and twice the slope. The monopolist sets MR = MC for the quantity, then reads the price off demand, so price exceeds marginal cost.
- Monopoly deadweight loss
- DWL = half times (competitive quantity minus monopoly quantity) times the gap between the demand price and marginal cost at the monopoly quantity. The loss comes from restricted output, not from the profit, which is a transfer.
Common acronyms: PPF · MC · MR · AVC · ATC · AFC · CS · PS · DWL · PED · SMC · MEC.
What students say
What students actually say about ECB1101
Recurring themes from student reviews, paraphrased in our own words.
- Described as a manageable but genuinely quantitative intro unit: linear equations, slope and diagrams run through the whole micro sequence.
- The content steps up in the second half as government intervention, externalities, costs of production and the three market structures pile up before the exam.
- Most of the grade sits in timed, written conditions (a 50% closed-book final plus 20% in-class quizzes), so consistent weekly practice matters more than last-minute cramming.
- The unit follows a Mankiw-style chapter sequence closely, so chapter readings line up with the workshops.
- Students lean on the released in-class quiz solutions, marking guides and problem-set solutions, and seek out worked-example content for the high-stakes second-half topics.
- Demand for concise walkthroughs of the core microeconomics diagrams and for timed practice on the Section B and Section C exam questions.
Recurring student opinions, paraphrased and aggregated, not official course information.
Where it fits
Prerequisites, related units & why it matters
A first-year gateway unit that assumes no prior economics; it builds the microeconomic foundation from scratch. It pairs with ECB1102 (the macroeconomics half) in the first-year sequence and is assumed knowledge for later economics and commerce decision-making units.
Your ECB1101 study toolkit
Study the unit with Sia, not just read about it
Each tool already knows ECB1101: your syllabus, your texts, and where the marks are. Grouped by how you study, from first contact to exam week.
FAQ
Frequently asked questions
Is ECB1101 hard?
It is moderate for a first-year unit. The content is introductory supply-and-demand, elasticity and cost-curve material with a calculator allowed, but 70% of the grade sits in timed conditions (a 50% closed-book final plus 20% in-class quizzes), and the second half (government intervention, externalities, costs, and the three market structures) is denser than the first. It is very manageable with consistent weekly workshop practice.
How is ECB1101 assessed?
Online Moodle quizzes worth 10%, three in-class quizzes worth 20% combined, a 20% hand-written assignment of five questions, and a 50% on-campus closed-book final exam. You pass on an overall mark of at least 50%, and there is no hurdle requirement on any single component.
What is the final exam format?
A 2 hour 10 minute on-campus closed-book exam in three sections totalling 100 marks: Section A is 30 multiple-choice questions (30 marks), Section B is 4 short-answer questions that may involve calculations (30 marks), and Section C is 2 hybrid questions (40 marks) that can require drawing graphs, solving equations and making calculations. A calculator is allowed, and it covers Week 1 to Week 11.
How much maths is involved?
It is moderately mathematical at an introductory level: linear demand and supply functions, slope and gradient, solving for equilibrium, elasticity arithmetic, cost-curve geometry and the monopolist's MR = MC rule. The working is graph-and-algebra based rather than calculus, and a calculator is permitted in the exam.
What is the difference between ECB1101 and ECB1102?
ECB1101 is Introductory Microeconomics (individual choices, firms, markets and market structures) and ECB1102 is the macroeconomics half of the first-year sequence (the economy as a whole). ECB1101 does not cover macroeconomics, so the two units complement rather than overlap.
How should I prepare for the assignment and exam?
The assignment is five hand-written questions worth 20% with workings required, so practise setting out equations and diagrams by hand. For the exam, the chief examiner's advice is to redo the online quizzes, review the problem sets and in-class quiz solutions and videos, watch the revision video, and attempt the sample exam for Sections B and C. On graphs, label every axis and curve and use arrows for shifts, because unlabelled or wrong labels lose marks.
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