Managerial economics / Authored and edited by 3G E-learning LLC, USA.

Includes bibliographical references and index.

A close interrelationship between management and economics has led to the development of managerial economics. Economic analysis is essential for numerous concepts such as demand, supply, profit, cost, and competition. As a result, managerial economics is considered as economics applied to "problems of choice" or alternatives and allocation of scarce resources by the firms. Managerial economics is the science of directing scarce resources to manage cost effectively. It consists of three brances: competitive markets, market power, and imperfect markets. A market consists of buyers and sellers that communicate with each other for voluntary exchange. Whether a market is local or global, the same managerial economics apply. A seller with market power will have freedom to choose suppliers, set prices, and use advertising to influence demand. A market is imperfect when one party directly conveys a benefit or cost to others, or when one party has better information than others. An organization must decide its vertical and horizontal boundaries. For effective management, it is important to distinguish marginal from average values and stocks from flows. Managerial economics applies models that are necessarily less than completely realistic.

Key features:
? Familiarizes the students with theoretical foundation of basic concepts, definitions, and methodologies of economics, as well as its application in the decision-making process.
? Topics are logically arranged according to the course outline of the subject.
? The use of simple language to facilitate a better understanding of each chapter.
? Illustrative examples of varying difficulties, wherever needed, are presented to enhance the interest of students.
? The provision of knowledge check test for each chapter is given at the end of chapter to strengthen the learning process of students.
? Case Study, Role Model, Keywords, and Examples are also provided to enrich the knowledge of students.