Managerial Economics

An invaluable skill that helps students as future managers to decide which products to produce, costs to consider, and prices to charge, as well as the best hiring policy and the most effective style of organization. With its unique integrative approach, the text presents the firm as a cohesive, unified organization and demonstrates that important business decisions are interdisciplinary. A basic valuation model is constructed and used as the underlying economic model of the firm. Each topic is then related to an element of the value maximization model-a process that shows how management integrates accounting, finance, marketing, personnel and production functions. The text also provides an intuitive guide to marginal analysis and basic economic relations. Once students grasp the importance of marginal revenue and marginal costs, the process of economic optimization becomes intuitively obvious. In addition, a wide variety of examples and simple numerical problems vividly illustrate the application of managerial economics to a vast assortment of practical situations. By studying the material in MANAGERIAL ECONOMICS, those seeking to further their business careers learn how to effectively collect, organize and analyze information. They gain powerful tools that can help them become more successful-and satisfied-in their careers. Extremely user-friendly, the text caters to a variety of learning styles as it presents key analytical concepts in several ways, including tabular analysis, graphical analysis and algebraic analysis. Students learn in a format with which they are comfortable, making difficult material more accessible and easier to understand. The new streamlined edition is concise, current and cutting edge and gives instructors more flexibility than ever before. The author balances traditional neoclassical micro theory with extensive coverage of the latest analytical tools in managerial economics. Its focus is on presenting those aspects of economic theory and analysis that are most relevant to students of business administration and a wide variety of examples and simple numerical problems are used to illustrate the application of managerial economics to a vast assortment of practical situations. The nature of the decision process and the role that economic analysis plays in that process are emphasized throughout.