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2016/2017  BA-BHAAI1063U  Managerial Economics

English Title
Managerial Economics

Course information
Language English
Course ECTS 7.5 ECTS
Type Elective
Level Bachelor
Duration Summer
Start time of the course Summer
Timetable Course schedule will be posted at calendar.cbs.dk
Max. participants 120
Study board
Study Board for BSc in Economics and Business Administration
Course coordinator
  • Course instructor - Juliana Kozak Rogo, Instructor Tenure-Track, Vancouver School of Economics, University of British Columbia, jukozak@mail.ubc.ca
    Sven Bislev - Department of Intercultural Communication and Management (ICM)
In case of any academic questions related to the course, please contact the course instructor or the academic director, Sven Bislev at sb.ikl@cbs.dk
Main academic disciplines
  • Managerial economics
  • Economics
Last updated on 23/01/2017
Learning objectives
To achieve the grade 12, students should meet the following learning objectives with no or only minor mistakes or errors:
  • Be able to identify trade-offs related to firm organization and market environment.
  • Be able to apply economic models and economic analysis to a wide range of business problems.
  • Be able to apply economic analysis to pricing decisions and competitive strategy decisions.
  • Be able to demonstrate a thorough knowledge of key concepts and perspectives related to firm theory.
  • Be able to provide instructive examples of strategic interaction among firms.
  • Be able to interpret and critically assess case situations in a contextualized market environment.
Course prerequisites
Introduction to economics and basic differential calculus.
Examination
Managerial Economics:
Exam ECTS 7.5
Examination form Written sit-in exam
Individual or group exam Individual exam
Assignment type Written assignment
Duration 4 hours
Grading scale 7-step scale
Examiner(s) One internal examiner
Exam period Summer, Ordinary exam: End of July - beginning of August 2017.

Retake exam: End of September - beginning of October 2017.

3rd attempt (2nd retake) exam: End November - beginning of December 2017.

Exam schedule is available on http://www.cbs.dk/summer http:/​/​www.cbs.dk/​uddannelse/​summer-university-programme/​exam.
Aids allowed to bring to the exam Closed book: no aids
Make-up exam/re-exam
Same examination form as the ordinary exam
If the number of registered candidates for the make-up examination/re-take examination warrants that it may most appropriately be held as an oral examination, the programme office will inform the students that the make-up examination/re-take examination will be held as an oral examination instead.
4 hour written sit-in exam, new exam question.

Exam form for 3rd attempt (2nd retake): 72 hours home project assignment, max. 10 pages.
Course content and structure

Managerial Economics studies economic principles and methodologies applied to key managerial decisions within firms and organizations. It provides the background to understand the organization, the conflicts of interest within a firm as well as output production and shut down decisions. The course provides this learning in a context that emphasizes strategic behavior and global economies. Topics cover the economic foundations of managerial decision–making, supply and demand, empirical methods, organization and objectives of the firm, competition and monopoly, pricing with market power, oligopoly, game theory, uncertainty and global business.

 

Class 1: Introduction, Supply and Demand, Elasticity 

Class 2: Production and Cost; Case Study (The Oil Conundrum)

Class 3: Estimation; Case Study (Estimating Apple's Demand for I-Tunes)

Class 4: Organization and Objectives of the Firm; Case Study

Class 5: Competition, Surplus, Monopoly  

Class 6: Pricing Strategies with Market Power, Price Discrimination

feedback activity: Midterm Evaluation

Class 7: Cartels, Cournot Oligopoly, Bertrand Oligop., Mon. Comp.

Class 8: Game Theory, Static Games, Dynamic Games

Class 9: Entry Deterrence, Hold-Up, Behavioral Game Theory

Class 10: Managerial Decision Making under Uncertainty

Class 11: Global Business
Teaching methods
The course will rely on multiple teaching approaches such as lecture, in-class-conducted experiments, practice problems, case-study discussion. All sessions are interactive.
Student workload
Preliminary assignment 10 hours
Classroom attendance 33 hours
Preparation 144 hours
Feedback activity 7 hours
Examination 12 hours
Further Information

Preliminary Assignment: To help students get maximum value from ISUP courses, instructors provide a reading or a small number of readings or video clips to be read or viewed before the start of classes with a related task scheduled for class 1 in order to 'jump-start' the learning process.

 

Feedback Activity: A feedback activity defined by the course instructor will take place approx. half-way through the course.

 

Course timetable is available on http://www.cbs.dk/uddannelse/summer-university-programme/courses.
Expected literature

Perloff and Brander. (2017). Managerial Economics and Strategy MyEconLab with Pearson eText. 2nd Edition. Pearson.
Last updated on 23/01/2017