Managerial Economics 2600-MSMz1EM
1. The conncept of managerial economics. Stages in the proces of making optimal decisions.
2. Making optimal decisions under conditions of certainty (managerial analysis, costs taken into account in economic analysis, maximization of a function of two variables, optimization in the presence of constraints – the method of Lagrange multipliers).
3. Price elasticity of demand. Price mark up on costs.
4. Market structures. Indicators measuring the degree of market concentration. Duopol models: Cournot, Bertrand, Edgeworth, Chamberlin, von Stackleberg.
5. Advanced pricing strategies first-degree price discrimination, second-degree price discrimination, third-degree price discrimination, interm price discrimination, price based on average cost, price leadership).
6. Decision-making under risk conditions (expected value EV, expected utility EU, decision-making by assurers, risk-takers and risk-neutral people).
Type of course
Course coordinators
Learning outcomes
Knowledge:
K_W01 – Knows and understands the research methodology and terminology in the field of managerial economics.
K_W03 – Knows and understands advanced economic theories and models concerning organizational functioning.
K_W05 – Knows and understands advanced economic processes and phenomena and their impact on financial decisions in organizations, organizational functioning, particularly regarding economic activity.
Skills:
K_U01 – Can use economic theory to recognize, diagnose, and solve problems related to the functioning of organizations in the market.
K_U02 – Can correctly interpret economic processes and phenomena and their impact on organizational functioning.
K_U05 – Can plan and organize own and team work.
K_U06 – Has the ability to self-educate and improve acquired qualifications.
K_U09 – Can support others in preparing analyses, projects, and economic decisions, and advise on the application of methods and tools in management practice.
Attitudes / Social Competences:
K_K01 – Is ready to evaluate and critically approach situations and phenomena related to organizational functioning in the market.
K_K02 – Is ready to think and act in an entrepreneurial way.
K_K03 – Is ready to comply with professional ethical standards related to economic activity.
K_K05 – Is ready to promote ethical standards and make responsible decisions in organizational activities.
Assessment criteria
A written exam must by passed by the student to get credit for the course on managerial economics. The prerequisite for students to take the final exam is a positive grade received for the classes. All students failing the exam or unable to take it for the lack of credited classes can sit for it during the retake session in September.
Exam structure:
1) narrative questions,
2) algebra and graphics assignments.
Bibliography
Obligatory reading:
Samuelson W.F., Marks S.G. (2009), Ekonomia menedżerska, PWE, Warszawa.
Zalega T. (2016), Mikroekonomia, Wydawnictwo Wydziału Zarządzania UW, Warszawa.
Supplementary reading:
Griffith A., Wall S. (2008), Economics for business and management, Prentice Hall, Cambridge.
Wilkinson N. (2005), Managerial Economics. A Problem-Solving Approach, Cambridge University Press, New York.
Additional information
Additional information (registration calendar, class conductors, localization and schedules of classes), might be available in the USOSweb system: