Managerial Economics

1. Apply economic theories to business decision-making.
2. Analyze consumer behavior and forecast product demand.
3. Evaluate production and cost structures.
4. Develop pricing strategies for different market conditions.
5. Optimize resource allocation and maximize profits.
6. Understand the impact of market structure on firm behavior.

13 weeks, about 28 hours in total. Yours will differ.

1. Week 1Module 1: Basic Principles in the Application of Managerial Economics

   • Unit 1: Definition and Importance of Managerial Economics · 2 hours

     Define managerial economics and discuss its importance in business decision-making.. Identify the phases in business decision-making processes.. Explain the scope of managerial economics and its role in bridging the gap between theory and practice..

2. Week 2Module 1: Basic Principles in the Application of Managerial Economics

   • Unit 2: Theories of Profit · 2 hours

     Differentiate between accounting profit and economic profit.. Discuss Walker's theory of profit as rent of ability.. Explain Clark's dynamic theory of profit and Schumpeter's innovation theory of profit..

3. Week 3Module 1: Basic Principles in the Application of Managerial Economics

   • Unit 3: Profit Maximisation as a Business Objective · 2 hours

     Understand the conditions for profit maximization.. Apply mathematical concepts to solve profit maximization problems.. Analyze the role of profit maximization as a business objective..

4. Week 4Module 1: Basic Principles in the Application of Managerial Economics

   • Unit 4: Other Business Objectives · 2 hours

     Discuss alternative business objectives, such as sales revenue maximization and growth rate maximization.. Explain managerial utility maximization and long-run survival strategies.. Analyze entry-prevention and risk-avoidance objectives..

5. Week 5Module 1: Basic Principles in the Application of Managerial Economics

   • Unit 5: Constrained Optimisation · 2 hours

     Understand constrained optimization techniques.. Apply the substitution method to solve constrained profit maximization and cost minimization problems.. Use the Lagrangian multiplier method to optimize business objectives under constraints..

6. Week 6Module 2: Decision Analysis

   • Unit 1: Decision Analysis · 2 hours

     Define decision analysis and its importance in modern decision-making.. Differentiate between certainty and uncertainty in decision analysis.. Analyze decision problems and construct payoff tables..

7. Week 7Module 2: Decision Analysis

   • Unit 2: Expected Monetary Value Decisions, Decision- Making Involving Sample Information, and Time Perspective in Business Decisions · 2 hours

     Apply expected monetary value decisions in business scenarios.. Incorporate sample information into decision-making using Bayesian analysis.. Understand the time perspective in business decisions and its impact on outcomes..

8. Week 8Module 3: Analysis of Market Demand, Demand Functions and Demand Forecasting

   • Unit 1: Analysis of Market Demand · 2 hours

     Define market demand and differentiate between various types of demand.. Identify and analyze the determinants of market demand.. Understand the relationship between price, income, and demand..

9. Week 9Module 3: Analysis of Market Demand, Demand Functions and Demand Forecasting

   • Unit 2: Demand Functions · 2 hours

     Understand the different forms of demand functions: linear, non-linear, and multi-variate.. Apply demand functions to model the demand for goods and services.. Analyze the impact of various factors on the shape and behavior of demand functions..

10. Week 10Module 3: Analysis of Market Demand, Demand Functions and Demand Forecasting

    • Unit 3: Elasticity of Demand · 2 hours

      Define elasticity of demand and its types.. Calculate own-price elasticity, cross-elasticity, and income elasticity of demand.. Analyze the determinants of price elasticity of demand..

11. Week 11Module 3: Analysis of Market Demand, Demand Functions and Demand Forecasting

    • Unit 4: Price Elasticity, Revenues and Income Elasticity of Demand · 2 hours

      Understand the relationship between price elasticity and revenues.. Analyze the impact of price changes on total and marginal revenue.. Apply elasticity concepts to sales forecasts and planning..

12. Week 12Module 3: Analysis of Market Demand, Demand Functions and Demand Forecasting

    • Unit 5: Demand Forecasting · 2 hours

      Understand the different demand forecasting techniques.. Apply survey and statistical methods to forecast demand.. Analyze the strengths and weaknesses of various forecasting techniques..

13. Week 13Final Revision

    • Final Revision · 4 hours

      Review all modules and units.. Work on assignments and TMAs.. Prepare for final examinations..