Managerial Economics and Business Strategy, 4/e
The Fundamentals of Managerial Economics
This chapter introduces the new student to economics and
reviews the basics for those students who have previously taken an economics
course. Several definitions and six basic principles of management from an economist's
point of view open the chapter. Next, students are taken through a quick synopsis
of how different players' self-interest and interactions determine market outcomes.
Present value analysis is used to address the profit maximization problem of
the firm. A brief overview of marginal analysis is followed by a suggested mode
of studying economics.