{"product_id":"managerial-economics-isbn-9781119554912","title":"Managerial Economics","description":"\u003cp\u003e\u003ci\u003eManagerial Economics\u003c\/i\u003e, 9th Edition, introduces undergraduates, MBAs, and executives to the complex decision problems today’s managers face, providing the knowledge and analytical skills required to make informed decisions and prosper in the modern business environment. Going beyond the traditional academic approach to teaching economic analysis, this comprehensive textbook describes how practicing managers use various economic methods in the real world. Each in-depth chapter opens with a central managerial problem—challenging readers to consider and evaluate possible choices—and concludes by reviewing and analyzing the decision through the lens of the concepts introduced in the chapter.\u003c\/p\u003e \u003cp\u003eExtensively updated throughout, the text makes use of numerous extended decision-making examples to discuss the foundational principles of managerial economics, illustrate key concepts, and strengthen students' critical thinking skills. A range of problems, building upon material covered in previous chapters, are applied to increasingly challenging applications as students advance through the text. Favoring practical skills development over complicated theoretical discussion, the book includes numerous mini-problems that reinforce students' quantitative understanding without overwhelming them with an excessive amount of mathematics.\u003c\/p\u003e \u003cp\u003e\u003cb\u003e1 \u003c\/b\u003e\u003cb\u003eIntroduction To Economic Decision Making 1\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eSeven Examples of Managerial Decisions 2\u003c\/p\u003e \u003cp\u003eSix Steps to Decision Making 4\u003c\/p\u003e \u003cp\u003eStep 1: Define the Problem 5\u003c\/p\u003e \u003cp\u003eStep 2: Determine the Objective 6\u003c\/p\u003e \u003cp\u003eStep 3: Explore the Alternatives 6\u003c\/p\u003e \u003cp\u003eStep 4: Predict the Consequences 7\u003c\/p\u003e \u003cp\u003eStep 5: Make a Choice 8\u003c\/p\u003e \u003cp\u003eStep 6: Perform Sensitivity Analysis 9\u003c\/p\u003e \u003cp\u003ePrivate and Public Decisions: an Economic View 10\u003c\/p\u003e \u003cp\u003ePublic Decisions 12\u003c\/p\u003e \u003cp\u003eThings to Come 13\u003c\/p\u003e \u003cp\u003e\u003cb\u003e2 \u003c\/b\u003e\u003cb\u003eOptimal Decisions Using Marginal Analysis 17\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eA Simple Model 18\u003c\/p\u003e \u003cp\u003eA Microchip Manufacturer 19\u003c\/p\u003e \u003cp\u003eMarginal Analysis 24\u003c\/p\u003e \u003cp\u003eMarginal Analysis and Calculus 25\u003c\/p\u003e \u003cp\u003eMarginal Revenue and Marginal Cost 27\u003c\/p\u003e \u003cp\u003eMarginal Revenue 27\u003c\/p\u003e \u003cp\u003eMarginal Cost 29\u003c\/p\u003e \u003cp\u003eProfit Maximization Revisited 29\u003c\/p\u003e \u003cp\u003eSensitivity Analysis 31\u003c\/p\u003e \u003cp\u003eAsking What If 32\u003c\/p\u003e \u003cp\u003eAppendix to Chapter 2: Calculus and Optimization Techniques 42\u003c\/p\u003e \u003cp\u003eSpecial Appendix to Chapter 2: Optimization Using Spreadsheets 50\u003c\/p\u003e \u003cp\u003e\u003cb\u003e3 \u003c\/b\u003e\u003cb\u003eDemand Analysis and Optimal Pricing 53\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eDeterminants of Demand 54\u003c\/p\u003e \u003cp\u003eThe Demand Function 54\u003c\/p\u003e \u003cp\u003eThe Demand Curve and Shifting Demand 55\u003c\/p\u003e \u003cp\u003eGeneral Determinants of Demand 57\u003c\/p\u003e \u003cp\u003eElasticity of Demand 58\u003c\/p\u003e \u003cp\u003ePrice Elasticity 58\u003c\/p\u003e \u003cp\u003eFactors Affecting Price Elasticity 61\u003c\/p\u003e \u003cp\u003eOther Elasticities 61\u003c\/p\u003e \u003cp\u003ePrice Elasticity and Prediction 62\u003c\/p\u003e \u003cp\u003eDemand Analysis and Optimal Pricing 63\u003c\/p\u003e \u003cp\u003ePrice Elasticity, Revenue, and Marginal Revenue 63\u003c\/p\u003e \u003cp\u003eMaximizing Revenue 66\u003c\/p\u003e \u003cp\u003eOptimal Markup Pricing 67\u003c\/p\u003e \u003cp\u003ePrice Discrimination 69\u003c\/p\u003e \u003cp\u003eInformation Goods 72\u003c\/p\u003e \u003cp\u003eAppendix to Chapter 3: Consumer Preferences and Demand 84\u003c\/p\u003e \u003cp\u003e\u003cb\u003e4 \u003c\/b\u003e\u003cb\u003eEstimating and Forecasting Demand 90\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eCollecting Data 91\u003c\/p\u003e \u003cp\u003eConsumer Surveys 91\u003c\/p\u003e \u003cp\u003eControlled Market Studies 92\u003c\/p\u003e \u003cp\u003eUncontrolled Market Data 93\u003c\/p\u003e \u003cp\u003eRegression Analysis 94\u003c\/p\u003e \u003cp\u003eOrdinary Least-Squares Regression 94\u003c\/p\u003e \u003cp\u003eInterpreting Regression Statistics 100\u003c\/p\u003e \u003cp\u003ePotential Problems in Regression 104\u003c\/p\u003e \u003cp\u003eForecasting 107\u003c\/p\u003e \u003cp\u003eTime-Series Models 107\u003c\/p\u003e \u003cp\u003eFitting a Simple Trend 109\u003c\/p\u003e \u003cp\u003eBarometric Models 115\u003c\/p\u003e \u003cp\u003eForecasting Performance 116\u003c\/p\u003e \u003cp\u003eFinal Thoughts 118\u003c\/p\u003e \u003cp\u003eAppendix to Chapter 4: Regression Using Spreadsheets 129\u003c\/p\u003e \u003cp\u003eSpecial Appendix to Chapter 4: Statistical Tables 133\u003c\/p\u003e \u003cp\u003e\u003cb\u003e5 \u003c\/b\u003e\u003cb\u003eProduction 135\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eBasic Production Concepts 136\u003c\/p\u003e \u003cp\u003eProduction in the Short Run 136\u003c\/p\u003e \u003cp\u003eOptimal Use of an Input 140\u003c\/p\u003e \u003cp\u003eProduction in the Long Run 142\u003c\/p\u003e \u003cp\u003eReturns to Scale 142\u003c\/p\u003e \u003cp\u003eLeast-Cost Production 143\u003c\/p\u003e \u003cp\u003eMeasuring Production Functions 148\u003c\/p\u003e \u003cp\u003eLinear Production 148\u003c\/p\u003e \u003cp\u003eProduction with Fixed Proportions 149\u003c\/p\u003e \u003cp\u003ePolynomial Functions 149\u003c\/p\u003e \u003cp\u003eThe Cobb-Douglas Function 150\u003c\/p\u003e \u003cp\u003eOther Production Decisions 151\u003c\/p\u003e \u003cp\u003eMultiple Plants 151\u003c\/p\u003e \u003cp\u003eMultiple Products 152\u003c\/p\u003e \u003cp\u003e\u003cb\u003e6 \u003c\/b\u003e\u003cb\u003eCost Analysis 163\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eRelevant Costs 164\u003c\/p\u003e \u003cp\u003eOpportunity Costs and Economic Profits 164\u003c\/p\u003e \u003cp\u003eFixed and Sunk Costs 167\u003c\/p\u003e \u003cp\u003eThe Cost of Production 169\u003c\/p\u003e \u003cp\u003eShort-Run Costs 170\u003c\/p\u003e \u003cp\u003eLong-Run Costs 173\u003c\/p\u003e \u003cp\u003eReturns to Scale and Scope 177\u003c\/p\u003e \u003cp\u003eReturns to Scale 177\u003c\/p\u003e \u003cp\u003eEconomies of Scope 181\u003c\/p\u003e \u003cp\u003eCost Analysis and Optimal Decisions 183\u003c\/p\u003e \u003cp\u003eA Single Product 183\u003c\/p\u003e \u003cp\u003eThe Shut-Down Rule 184\u003c\/p\u003e \u003cp\u003eMultiple Products 186\u003c\/p\u003e \u003cp\u003eAppendix to Chapter 6: Transfer Pricing 195\u003c\/p\u003e \u003cp\u003e\u003cb\u003e7 \u003c\/b\u003e\u003cb\u003ePerfect Competition 198\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eThe Basics of Supply and Demand 199\u003c\/p\u003e \u003cp\u003eShifts in Demand and Supply 201\u003c\/p\u003e \u003cp\u003eCompetitive Equilibrium 203\u003c\/p\u003e \u003cp\u003eDecisions of the Competitive Firm 203\u003c\/p\u003e \u003cp\u003eMarket Equilibrium 206\u003c\/p\u003e \u003cp\u003eMarket Efficiency 208\u003c\/p\u003e \u003cp\u003ePrivate Markets: Benefits and Costs 208\u003c\/p\u003e \u003cp\u003eInternational Trade 215\u003c\/p\u003e \u003cp\u003eTariffs and Quotas 215\u003c\/p\u003e \u003cp\u003ePresident Trump’s Tariffs 218\u003c\/p\u003e \u003cp\u003e\u003cb\u003e8 \u003c\/b\u003e\u003cb\u003eMonopoly 227\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003ePure Monopoly 228\u003c\/p\u003e \u003cp\u003eMonopoly Behavior 228\u003c\/p\u003e \u003cp\u003eBarriers to Entry 230\u003c\/p\u003e \u003cp\u003ePerfect Competition versus Pure Monopoly 232\u003c\/p\u003e \u003cp\u003eCartels 234\u003c\/p\u003e \u003cp\u003eNatural Monopolies 237\u003c\/p\u003e \u003cp\u003eMonopolistic Competition 239\u003c\/p\u003e \u003cp\u003e\u003cb\u003e9 \u003c\/b\u003e\u003cb\u003eOligopoly 248\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eOligopoly 249\u003c\/p\u003e \u003cp\u003eFive-Forces Framework 250\u003c\/p\u003e \u003cp\u003eIndustry Concentration 251\u003c\/p\u003e \u003cp\u003eConcentration and Prices 255\u003c\/p\u003e \u003cp\u003eQuantity Competition 257\u003c\/p\u003e \u003cp\u003eA Dominant Firm 257\u003c\/p\u003e \u003cp\u003eCompetition among Symmetric Firms 257\u003c\/p\u003e \u003cp\u003ePrice Competition 261\u003c\/p\u003e \u003cp\u003ePrice Rigidity and Kinked Demand 261\u003c\/p\u003e \u003cp\u003ePrice Wars and the Prisoner’s Dilemma 262\u003c\/p\u003e \u003cp\u003eOther Dimensions of Competition 267\u003c\/p\u003e \u003cp\u003eStrategic Commitments 267\u003c\/p\u003e \u003cp\u003eAdvertising 269\u003c\/p\u003e \u003cp\u003eAppendix to Chapter 9: Bundling and Tying 278\u003c\/p\u003e \u003cp\u003e\u003cb\u003e10 \u003c\/b\u003e\u003cb\u003eGame Theory and Competitive Strategy 282\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eSizing Up Competitive Situations 283\u003c\/p\u003e \u003cp\u003eAnalyzing Payoff Tables 286\u003c\/p\u003e \u003cp\u003eEquilibrium Strategies 288\u003c\/p\u003e \u003cp\u003eCompetitive Strategy 292\u003c\/p\u003e \u003cp\u003eMarket Entry 294\u003c\/p\u003e \u003cp\u003eBargaining 295\u003c\/p\u003e \u003cp\u003eSequential Competition 296\u003c\/p\u003e \u003cp\u003eRepeated Competition 299\u003c\/p\u003e \u003cp\u003eAppendix to Chapter 10: Mixed Strategies 312\u003c\/p\u003e \u003cp\u003e\u003cb\u003e11 \u003c\/b\u003e\u003cb\u003eRegulation, Public Goods, and Benefit-Cost Analysis 317\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eI. Market Failures and Regulation 318\u003c\/p\u003e \u003cp\u003eMarket Failure Due to Monopoly 318\u003c\/p\u003e \u003cp\u003eGovernment Responses 319\u003c\/p\u003e \u003cp\u003eMarket Failure Due to Externalities 324\u003c\/p\u003e \u003cp\u003eRemedying Externalities 326\u003c\/p\u003e \u003cp\u003ePromoting Positive Externalities 330\u003c\/p\u003e \u003cp\u003eMarket Failure Due to Imperfect Information 332\u003c\/p\u003e \u003cp\u003eII. Benefit-Cost Analysis and Public Goods Provision 333\u003c\/p\u003e \u003cp\u003ePublic Goods 333\u003c\/p\u003e \u003cp\u003ePublic Goods and Efficiency 333\u003c\/p\u003e \u003cp\u003eThe Basics of Benefit-Cost Analysis 335\u003c\/p\u003e \u003cp\u003eApplying the Net Benefit Rule 335\u003c\/p\u003e \u003cp\u003eDollar Values 336\u003c\/p\u003e \u003cp\u003eEfficiency versus Equity 336\u003c\/p\u003e \u003cp\u003eEvaluating a Public Project 337\u003c\/p\u003e \u003cp\u003ePublic Investment in a Bridge 337\u003c\/p\u003e \u003cp\u003eValuing Benefits and Costs 339\u003c\/p\u003e \u003cp\u003eMarket Values 339\u003c\/p\u003e \u003cp\u003eNonmarketed Benefits and Costs 339\u003c\/p\u003e \u003cp\u003e\u003cb\u003e12 \u003c\/b\u003e\u003cb\u003eThe Economics of Non-Profit Organizations 350\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eThe World of Non-Profits 351\u003c\/p\u003e \u003cp\u003eA Simple Model of the Non-Profit Firm 353\u003c\/p\u003e \u003cp\u003eProduction and Pricing 353\u003c\/p\u003e \u003cp\u003ePotential Differences between Non-Profits and For-Profits 357\u003c\/p\u003e \u003cp\u003eThe Non-Profit’s Goal when the World is Uncertain 358\u003c\/p\u003e \u003cp\u003eWhen do Non-Profits and For-Profits Take Identical Actions? 360\u003c\/p\u003e \u003cp\u003eAppendix to Chapter 12: The Firm’s Long-Term Value 368\u003c\/p\u003e \u003cp\u003e\u003cb\u003e13 \u003c\/b\u003e\u003cb\u003eDecision Making Under Uncertainty 373\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eUncertainty, Probability, and Expected Value 374\u003c\/p\u003e \u003cp\u003eProbability 374\u003c\/p\u003e \u003cp\u003eExpected Value 375\u003c\/p\u003e \u003cp\u003eDecision Trees 376\u003c\/p\u003e \u003cp\u003eAn Oil Drilling Decision 377\u003c\/p\u003e \u003cp\u003eFeatures of the Expected-Value Criterion 378\u003c\/p\u003e \u003cp\u003eSequential Decisions 382\u003c\/p\u003e \u003cp\u003eRisk Aversion 388\u003c\/p\u003e \u003cp\u003eExpected Utility 390\u003c\/p\u003e \u003cp\u003eWhy the Expected-Utility Method Works 392\u003c\/p\u003e \u003cp\u003eExpected Utility and Risk Aversion 394\u003c\/p\u003e \u003cp\u003e\u003cb\u003e14 \u003c\/b\u003e\u003cb\u003eThe Value of Information 404\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eThe Value of Information 405\u003c\/p\u003e \u003cp\u003eThe Oil Wildcatter Revisited 405\u003c\/p\u003e \u003cp\u003eImperfect Information 406\u003c\/p\u003e \u003cp\u003eRevising Probabilities 408\u003c\/p\u003e \u003cp\u003eBayes’ Theorem 409\u003c\/p\u003e \u003cp\u003eOther Applications 411\u003c\/p\u003e \u003cp\u003ePredicting Credit Risks 412\u003c\/p\u003e \u003cp\u003eBusiness Behavior and Decision Pitfalls 414\u003c\/p\u003e \u003cp\u003eAuctions and Competitive Bidding 417\u003c\/p\u003e \u003cp\u003ePrivate-Value Auctions 418\u003c\/p\u003e \u003cp\u003eCommon-Value Auctions 419\u003c\/p\u003e \u003cp\u003eExpected Auction Revenue 421\u003c\/p\u003e \u003cp\u003e\u003cb\u003e15 \u003c\/b\u003e\u003cb\u003eAsymmetric Information and Organizational Design 433\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eAsymmetric Information 434\u003c\/p\u003e \u003cp\u003eAdverse Selection 434\u003c\/p\u003e \u003cp\u003eSignaling 435\u003c\/p\u003e \u003cp\u003ePrincipals, Agents, and Moral Hazard 436\u003c\/p\u003e \u003cp\u003eOrganizational Design 440\u003c\/p\u003e \u003cp\u003eThe Nature of the Firm 440\u003c\/p\u003e \u003cp\u003eThe Boundaries of the Firm 441\u003c\/p\u003e \u003cp\u003eAssigning Decision-Making Responsibilities 442\u003c\/p\u003e \u003cp\u003eMonitoring and Rewarding Performance 446\u003c\/p\u003e \u003cp\u003eSeparation of Ownership and Control in the Modern Corporation 449\u003c\/p\u003e \u003cp\u003e\u003cb\u003e16 \u003c\/b\u003e\u003cb\u003eBargaining and Negotiation 460\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eThe Economic Sources of Beneficial Agreements 461\u003c\/p\u003e \u003cp\u003eResolving Disputes 463\u003c\/p\u003e \u003cp\u003eDifferences in Values 465\u003c\/p\u003e \u003cp\u003eContingent Contracts 467\u003c\/p\u003e \u003cp\u003eMultiple-Issue Negotiations 468\u003c\/p\u003e \u003cp\u003eNegotiation Strategy 472\u003c\/p\u003e \u003cp\u003ePerfect Information 473\u003c\/p\u003e \u003cp\u003eImperfect Information 474\u003c\/p\u003e \u003cp\u003eRepetition and Reputation 475\u003c\/p\u003e \u003cp\u003e\u003cb\u003e17 \u003c\/b\u003e\u003cb\u003eLinear Programming 485\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eLinear Programs 486\u003c\/p\u003e \u003cp\u003eGraphing the LP Problem 488\u003c\/p\u003e \u003cp\u003eA Minimization Problem 490\u003c\/p\u003e \u003cp\u003eSensitivity Analysis and Shadow Prices 493\u003c\/p\u003e \u003cp\u003eChanges in the Objective Function 493\u003c\/p\u003e \u003cp\u003eShadow Prices 495\u003c\/p\u003e \u003cp\u003eOptimal Decisions and Shadow Prices 497\u003c\/p\u003e \u003cp\u003eFormulation and Computer Solution for Larger LP Problems 499\u003c\/p\u003e \u003cp\u003eProduction Decisions 499\u003c\/p\u003e \u003cp\u003eComputer Solutions 502\u003c\/p\u003e \u003cp\u003e\u003cb\u003e18 \u003c\/b\u003e\u003cb\u003eAuctions and Competitive Bidding Available Online\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eThe Advantages of Auctions\u003c\/p\u003e \u003cp\u003eBidder Strategies\u003c\/p\u003e \u003cp\u003eEnglish and Dutch Auctions\u003c\/p\u003e \u003cp\u003eSealed-Bid Auctions\u003c\/p\u003e \u003cp\u003eCommon Values and the Winner’s Curse\u003c\/p\u003e \u003cp\u003eOptimal Auctions\u003c\/p\u003e \u003cp\u003eExpected Auction Revenue\u003c\/p\u003e \u003cp\u003eCompetitive Procurement\u003c\/p\u003e \u003cp\u003eIndex I-1\u003c\/p\u003e \u003cp\u003e\u003cb\u003eWilliam F. Samuelson\u003c\/b\u003e is professor of economics and finance at Boston University's Questrom School of Business. He received his BA and PhD from Harvard University. His research interests include game theory, decision theory, bidding, bargaining, and experimental economics. He has published a variety of articles in leading economics and management science journals including \u003ci\u003eThe American Economic Review, The Quarterly Journal of Economics, Econometrica, The Journal of Finance, Management Science,\u003c\/i\u003e and \u003ci\u003eOperations Research.\u003c\/i\u003e His teaching and research have been sponsored by the National Science Foundation and the National Institute for Dispute Resolution, among others. He currently serves on the editorial board of Group Decision and Negotiation.\u003c\/p\u003e \u003cp\u003e\u003cb\u003eStephen G. Marks\u003c\/b\u003e is associate professor of law at Boston University. He received his JD, MA, and PhD from the University of California–Berkeley. He has taught in the areas of managerial economics, finance, corporate law, and securities regulation. His research interests include corporate governance, law and economics, finance, and information theory. He has published his research in various law reviews and in such journals as \u003ci\u003eThe American Economic Review, The Journal of Legal Studies,\u003c\/i\u003e and \u003ci\u003eThe Journal of Financial and Quantitative Analysis\u003c\/i\u003e.\u003c\/p\u003e \u003cp\u003e\u003cb\u003eJay Zagorsky\u003c\/b\u003e is a senior lecturer at Boston University's Questrom School of Business. He received his PhD and MA in Economics from Boston University. He has worked and consulted for a variety of high technology companies and served as Economist and Research Scientist for the US government's National Longitudinal Surveys. He has published a variety of articles on personal finance in economics, law, sociology, and psychology journals and has authored two other textbooks, \u003ci\u003eBusiness Macroeconomics: A Guide for Managers, Investors and Traders\u003c\/i\u003e and \u003ci\u003eBusiness Information: Finding and Using Data in the Digital Age\u003c\/i\u003e.\u003c\/p\u003e","brand":"Wiley","offers":[{"title":"Default Title","offer_id":47989561688293,"sku":"NP9781119554912","price":107.5,"currency_code":"USD","in_stock":false}],"thumbnail_url":"\/\/cdn.shopify.com\/s\/files\/1\/1842\/7735\/files\/9781119554912.jpg?v=1761784604","url":"https:\/\/k12savings.com\/es\/products\/managerial-economics-isbn-9781119554912","provider":"K12savings","version":"1.0","type":"link"}