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School of Social Sciences

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BAEcon Economics
Learn how the social sciences can help you to understand today's world.

BAEcon Economics / Course details

Year of entry: 2018

Course unit details:
Managerial Economics I

Unit code ECON20000
Credit rating 20
Unit level Level 2
Teaching period(s) Full year
Offered by Economics
Available as a free choice unit? Yes

Overview

See course Blackboard pages.

Pre/co-requisites

Unit title Unit code Requirement type Description
ECON10041 Pre-Requisite Compulsory
ECON10081 Pre-Requisite Compulsory
ECON10042 Pre-Requisite Compulsory
ECON10082 Pre-Requisite Compulsory
Introductory Mathematics ECON10061 Pre-Requisite Compulsory
ECON10001 Pre-Requisite Compulsory
Advanced Mathematics ECON10071 Pre-Requisite Compulsory
Introductory Statistics for Economists SOST10062 Pre-Requisite Compulsory
ECON10132 Pre-Requisite Compulsory
Advanced Statistics ECON10072 Pre-Requisite Compulsory
Pre-requisites: (ECON10041 & 10042) OR (ECON10081 & ECON1082) AND (ECON10061 & ECON10062) OR (ECON10001 & ECON10132) OR (ECON10071 & ECON10072)

Must have taken at least one of the following combinations (compulsory Pre-Requisite):

  • (ECON10171 and ECON10172) or
  • (ECON10081 and ECON10082) or
  • (ECON10041 and ECON10042)

 

AND also at least one of the following combinations (compulsory Pre-Requisite):

  • (ECON10061 and ECON10062) or
  • (ECON10001 and ECON10132) or
  • (ECON10071 and ECON10072)

Aims

The aim of this course is to introduce students to theoretical economic concepts and analytical tools relevant to firm management. This module prepares students to more advanced topics covered in Managerial Economics II (ECON31000).

Learning outcomes

At the end of this course students should be able to:

  1. Demonstrate a sound understanding of demand theory, costs and profit analysis, perfect and imperfect competition, and market and organisation structures.
  2. Employ a rigorous approach to modeling economic problems.
  3. Apply the appropriate techniques (including algebraic manipulations, linear regression, forecasting methods, linear programming and other management techniques) to find efficient solutions to these problems.

Syllabus

Semester 1:


Estimation of Demand
• Statistical Estimation of Demand Functions
• Linear Regression Models / Nonlinear Regression Models


Business and Economic Forecasting
• Series Analysis / Smoothing Techniques


Long-Term Investment Decisions
• Capital Budgeting Process / Firm’s Cost of Capital / Cost-Benefit Analysis


Cost Minimization/Profit Maximization
• Linear Programming

 


Semester 2:


Demand Theory and Analysis
• Demand Functions / Price and Income Elasticity


Production and Cost Analysis
• Average and Marginal Costs / Short-Run versus Long-Run Cost
• Returns to Scale; Economies of Scope and Scale; Learning Curves


Perfect/Imperfect Competition
• Perfect Competition / Monopolies / Non-Cooperative Oligopolies

Teaching and learning methods

Lectures, exercise classes and feedback classes.

Employability skills

Analytical skills
Synthesis and analysis of data and information.
Problem solving
Research
Planning, conducting and reporting on research.
Other
Using library, electronic and online resources. Using reporting skills. Mapping and modelling. Information retrieval. Numeracy. Literacy. Computer literacy. Time management. Applying subject knowledge. Improving own learning.

Assessment methods

  • 6 Assignments in total - 3 assignments released per semester (15% of final grade).
  • January Exam - 2 sections of equal weight, answer all of Section A (multiple choice) and 2/3 questions from Section B (42.5% of final grade).
  • May/June Exam - 2 sections of equal weight, answer all of Section A (multiple choice) and 2/3 questions from Section B (42.5% of final grade).
     

Feedback methods

  • Weekly multiple choice quizzes to be completed online.
  • In the Feedback Classes, you collect your Assignment and have the possibility to obtain individual/group feedback on the submitted work and any other items concerning the exercises covered.
  • Office hours.
  • Revision sessions.
  • Discussion boards.
     

Recommended reading

Essential Readings:

  • McGuigan J. R., R. C. Moyer, F. H. deB. Harris (2014), Managerial Economics: Applications, Strategy and Tactics, 13e, Cengage Learning. (ISBN-10: 1285420926, ISBN-13: 9781285420929)

****AVAILABLE as E-BOOK to DOWNLOAD from BLACKBOARD (as part of a Pilot Project)**** 


Supplementary Readings:

  • Allen, W.B., K Weigelt, Neil Doherty (2009), Managerial Economics, 7e, W.W. Norton & Company (ISBN 978-0-393-93224-9)
  • Baye M.R. and Prince J. (2013), Managerial Economics and Business Strategy.  Irwin (8th Edition). (ISBN-10: 0073523224, ISBN-13: 978-0073523224)
  • Kreps D. (2003), Microeconomics for Managers, W.W. Norton & Company (ISBN 0-393-97678-5).

Study hours

Scheduled activity hours
Assessment written exam 3
Lectures 32
Tutorials 12
Independent study hours
Independent study 153

Teaching staff

Staff member Role
Mario Pezzino Unit coordinator
Carlo Reggiani Unit coordinator

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