001-2023-0713_DLBBWME01_E_Course_Book

Course Overview

Course Title

• Managerial Economics

Institution

• IU International University of Applied Sciences

Program Code

• DLBBWME01 E

Author Information

Dr. Tolga Ülkü

• Position: Lecturer at IU International University

• Education: PhD in Economics from Humboldt University, Germany; Bachelor's from Bogazici University, Turkey

• Research Areas: Aviation management and economics; previous roles include Chief Financial Officer (CFO) in Berlin and finance research leader in various aviation projects.

• Teaching Areas: Microeconomics, Managerial Economics, Strategic Management, Transportation Economics.

Course Structure

Table of Contents

1. Introduction

2. Basic Reading

3. Further Reading

4. Learning Objectives

5. Unit Breakdown

   • Unit 1: Fundamentals (Page 13)

   • Unit 2: The Invisible Hand of the Market (Page 23)

   • Unit 3: Consumer Decisions (Page 41)

   • Unit 4: Business Decisions I: Full Competition (Page 63)

   • Unit 5: Business Decisions II: Incomplete Competition (Page 83)

   • Unit 6: Business Decisions III: Game Theory (Page 99)

   • Unit 7: Advanced Microeconomics (Page 113)

6. Appendix

7. References

8. List of Tables and Figures

Learning Objectives

• Understand the core concepts of economics, including theory, supply and demand, market interactions, and the behavior of consumers.

• Learn about production functions, cost minimization, pricing strategies, and market structures.

• Analyze decision-making with incomplete information and behavioral economics concepts.

Unit 1: Fundamentals

Study Goals

• Comprehend economic theory, key concepts, economic branches, and economists' methodologies.

Key Concepts

• Scarcity of Resources: The fundamental concept that resources are limited.

• Opportunity Costs: The cost of foregone alternatives.

• Factors of Production: Resources required for producing goods, categorized into land, labor, and capital.

Unit 2: The Invisible Hand of the Market

Study Goals

• Analyze the dependence of supply and demand in a market environment and achieve market equilibrium.

Unit 3: Consumer Decisions

Study Goals

• Understand consumer utility, willingness to pay, and budget constraints.

Unit 4: Business Decisions I: Full Competition

Study Goals

• Explore the production function, cost structures, and determine the profit-maximizing output.

Unit 5: Business Decisions II: Incomplete Competition

Study Goals

• Investigate forms of incomplete competition such as monopolies and oligopolies, their market dynamics, and implications for consumers.

Unit 6: Business Decisions III: Game Theory

Study Goals

• Grasp the essentials of game theory applicable to economic situations with multiple decision-makers.

Unit 7: Advanced Microeconomics

Study Goals

• Delve into topics of incomplete information, behavioral economics, and implications of fairness in economic decision-making.

Conclusion

The course will provide a comprehensive foundation in Managerial Economics with an emphasis on practical applications in business and decision-making scenarios. Students are encouraged to engage actively with the materials and utilize external resources to enhance their understanding.