This program covers the essential principles and tools of Managerial Economics, the application of microeconomics to management decisions. Students who master this material will be better prepared for leadership positions in business, not-for-profit, and government entities.
Managerial Economics is the application of economic theory and methodology to managerial decision making problems within various organizational settings such as a firm or a government agency. The emphasis in this course will be on demand analysis and estimation, production and cost analysis under different market conditions, forecasting and decision making under uncertainty. Students taking this course are expected to have had some exposure to economics and be comfortable with basic algebra.
At the end of this course the student will be able to:
Use the theory of the firm to model business organizations
Apply demand theory to establish the elasticity of demand
Use demand estimation to forecast demand trends and change
Apply production theory to manage production
Use cost theory to establish short and long run behavior
Describe market structures to establish market equilibrium
Use game theory to decide on strategies
Use pricing strategies to enable organizational coherence
Carry out investment analyses to manage assets and capital
Use macroeconomic principles to address market failures