MBA Update: Managerial Economics

Guess what? I graduated! Managerial Economics one was of my final two classes, and it required more work (and more advanced math) than most of my classes … I am glad it is over!

Course Description

In this course, students will examine the application of microeconomic theory to the manager’s responsibilities and decision making within the organization. Topics include theory of consumer behavior, the theory of the firm within the framework of profit maximization, demand, supply and the concept of elasticity. Furthermore, the course explores different forms of markets. The course aims to introduce students to analytical tools that can help them to solve business problems and develop managerial skills using an economic framework. This course should equip students with skills to see benefits and costs of making business decisions within the constraints that a firm faces.

Goals

1. Students will have a thorough understanding of the fundamental economic concepts such as scarcity, choice, opportunity cost, market equilibrium, cost, and profit.
2. Students will have a thorough understanding of how the market operates and be able to identify welfare outcomes of government intervention in the market and its implications for consumers and firms.
3. Students will have a thorough understanding of how different market structures and economic and social policies effect market equilibrium and welfare outcomes.
4. Students will have a thorough understanding of how to conduct original research and apply quantitative tools in economics, and demonstrate effective writing and presentation skills.

Books

Managerial Economics and Business Strategy by Michael Baye and Jeff Prince
We used this through a McGraw Hill Connect account/etext which was pretty neat. It had practice quizzes that took you through the text, and homework you could submit via the platform for an immediate grade so you could redo it to get a better grade. Though this one weekly assignment took 4 hours the first time, 2 hours the second time if you save your work from the first time (the questions change slightly), so you may not want to redo it too often!

A Few Lessons

• Market Equilibrium, Demand and Supply Model
• Elasticity and Demand Estimation
• Production and Cost Theory
• The Nature of Industry
• Competitive and Monopolistic Markets
• Oligopolistic Markets
• Pricing Strategies 

The final group project was an in-depth economic analysis about an industry in the U.S., primarily using Porter’s Five Forces. I chose the apparel industry and enjoyed the research.

I started an online MBA at Montclair State University in January 2017 and graduated in February 2019.