BA 509 - Managerial Economics

Credits: 3

Managerial economics is concerned with the application of economic principles and methodologies to key management decisions within organizations. It fosters the goals of the organization, as well as a better understanding of the external business environment In which an organization operates. Managerial Economics is fundamentally a unique way of thinking about problems, issues and decisions that managers face In each of the functional areas of the organization as well as the strategic decisions faced by the general manager. This course will apply microeconomic theory to make rational, business decisions based on the optimization goals of the organization. Optimization goals may include profit maximization, cost minimization, resource allocation, and logistic and production decisions. Game theory will also be studied as a means to determine how your decisions may impact the decisions and behaviors of others. The impacts of various economic market structures (monopoly, oligopolies, etc.) on decision making will also be explored. Admission to the EOU graduate school and MBA program are required.