This distinctive book features a running case study at the beginning and end of each chapter that explores the decision-making processes of managers within a hypothetical company. It creates a vivid, dynamic business setting that highlights microeconomic theory and the tools of quantitative analysis used in management decision-making. In addition, actual business examples from the popular pressincluding numerous international examplesare incorporated into the chapters to reinforce the connection between economic and real business situations. Chapter topics cover supply and demand, demand elasticity, demand estimation, forecasting, the theory and estimation of production, the theory and estimation of cost, competition and monopoly, monopolistic competition and oligopoly, special pricing practices, economic decision making in the 21st century, capital budgeting, and risk and uncertainty. For today's managers in government and industry.
Table of Contents
1. Introduction. 2. The Firm and Its Goals. 3. Supply and Demand. 4. Demand Elasticity. 5. Demand Estimation. 6. Forecasting. 7. The Theory and Estimation of Production. 8. The Theory and Estimation of Cost. 9. Pricing and Output Decisions: Perfect Competition and Monopoly. 10. Pricing and Output Decisions: Monopolistic Competition and Oligopoly. 11. Special Pricing Practices. 12. Economic Decision Making in the 21st Century: The “Old” Economics of the “New Economy.” 13. Capital Budgeting. 14. Risk and Uncertainty. 15. Government and Industry: Challenges and Opportunities for Today's Managers. 16. Managerial Economics in Action: The Case of the Semiconductor Industry.