Adam Smith is considered the father of modern economics. He defined economics as the science of wealth and was interested in how the wealth of nations could be increased. Economics studies how individuals and societies choose to use scarce resources to satisfy unlimited wants. It can be divided into microeconomics, which focuses on individual agents and markets, and macroeconomics, which looks at aggregate economic measures such as growth, unemployment, and inflation. The goal of economics is to understand how economies work and how economic policy can be used to promote efficiency and economic well-being.
An efficient allocation of resources that adequately accounts for natural capital. Traditional economics (including environmental economics - defined as the application of traditional economics to environmental problems) has focused on a third of these problems (efficient allocation) and therefore has not fully addressed the issue of sustainable development.
An efficient allocation of resources that adequately accounts for natural capital. Traditional economics (including environmental economics - defined as the application of traditional economics to environmental problems) has focused on a third of these problems (efficient allocation) and therefore has not fully addressed the issue of sustainable development.
The relationship between the environment and the economy can be depicted by means of the “Material Balance Model” The model was developed by Allen Kneese and R.V Ayres. The model visualizes the total economic process as a physically balanced flow between inputs and outputs.
Basic principles in the application of managerial economicsMilan Verma
Basic Principles in the Application of Managerial Economics, what is economics and introduction, Micro economics
Normative (prescriptive) science, Pragmatic (Practical), Uses Macro economics, Uses theory of firm, Management oriented, Multi disciplinary, Art and science. Scope of Managerial Economics, theory of demand and demand analysis, envirmental issues, Significance of managerial economics in decision making, Significance of managerial economics in decision making
Relationship of Managerial Economics with other disciplines,Difference betwee...Pooja Kadiyan
Introduction to Managerial Economics- Relationship of Managerial Economics with other disciplines,
- Difference between Micro and Macroeconomics and
- Economic concepts/Principles Used in Decision Making
Under this technique all costs are classified into fixed costs and variable costs. Only variable costs are considered product costs and are allocated to products manufactured. These costs include direct materials, direct labor, direct expenses and variable overhead. Fixed costs are not considered for computing the cost of products or valuation of inventory.
The relationship between the environment and the economy can be depicted by means of the “Material Balance Model” The model was developed by Allen Kneese and R.V Ayres. The model visualizes the total economic process as a physically balanced flow between inputs and outputs.
Basic principles in the application of managerial economicsMilan Verma
Basic Principles in the Application of Managerial Economics, what is economics and introduction, Micro economics
Normative (prescriptive) science, Pragmatic (Practical), Uses Macro economics, Uses theory of firm, Management oriented, Multi disciplinary, Art and science. Scope of Managerial Economics, theory of demand and demand analysis, envirmental issues, Significance of managerial economics in decision making, Significance of managerial economics in decision making
Relationship of Managerial Economics with other disciplines,Difference betwee...Pooja Kadiyan
Introduction to Managerial Economics- Relationship of Managerial Economics with other disciplines,
- Difference between Micro and Macroeconomics and
- Economic concepts/Principles Used in Decision Making
Under this technique all costs are classified into fixed costs and variable costs. Only variable costs are considered product costs and are allocated to products manufactured. These costs include direct materials, direct labor, direct expenses and variable overhead. Fixed costs are not considered for computing the cost of products or valuation of inventory.
𐫱 This file is especially for engineering students.
This is 'economics for engineers'.
I hope it will help you in your studies as well as university exams.😃
Microeconomics: Introduction and basic conceptsPie GS
1.1 Meaning and definition of microeconomics
1.2 Basic microeconomic issues: scarcity, efficiency and
alternative uses of resources
1.3 Differences between microeconomics and macroeconomics
1.4 Opportunity cost, normative economics and positive
economics
1.5 Importance of microeconomics in business decision making
1.6 Economic models: meaning and use of economic models
Price elasticity is a crucial concept in economicsSAINATHYADAV11
Price elasticity is a crucial concept in economics that measures the responsiveness of quantity demanded or supplied to changes in price. Understanding price elasticity is vital for businesses, policymakers, and economists as it helps predict the impact of price changes on market behavior and revenue. Here's why price elasticity is important:
1. Determining Revenue Impact: Price elasticity helps businesses predict how changes in price will affect their total revenue. If demand is elastic (responsive to price changes), decreasing prices may lead to higher revenue. Conversely, if demand is inelastic (insensitive to price changes), increasing prices may result in higher revenue.
2. Optimizing Pricing Strategies: Businesses can use price elasticity to determine the optimal pricing strategy for their products or services. By understanding the price sensitivity of consumers, companies can set prices that maximize profitability and market share.
3. Forecasting Market Behavior: Price elasticity provides insights into consumer behavior and market dynamics. It helps forecast how changes in prices, incomes, or competitor actions will impact demand and market equilibrium.
4. Policy Decision Making: Policymakers use price elasticity to design and evaluate economic policies, such as taxation, subsidies, and regulations. Understanding the elasticity of supply and demand helps assess the effectiveness and unintended consequences of policy interventions.
There are five cases of price elasticity of demand
A. Perfectly elastic demand:
When small change in price leads to an infinitely large change is quantity demand, it is called perfectly or infinitely elastic demand. In this case E=∞. Sometimes, even there is no change in the price, the demand changes in huge quantity. In case of perfect elastic demand, the demand for a commodity changes even though there is no change in price. This elasticity is very rarely found in practice. We can see a straight line demand curve parallel to the X axis
Ep = ((Q2 − Q1)/Q1) /((P2 − P1)/P1)
𝐸𝑝 = (1000 − 100)/100 /(10 − 10)/10 = ∞
The demand curve is horizontal straight line. It shows the at Rs. 10 price any quantity is demanded and if price increases, the consumer will not purchase the commodity.
B. Perfectly Inelastic Demand
A commodity is said to have perfectly inelastic demand, when even a large change in price of the commodity causes no change in the quantity demanded. The elasticity coefficient of perfectly in elastic demand is Ep = 0.
The shape of the demand curve for perfectly inelastic is vertical as shown below.
Price Demand
10 100
20 100
Ep = ((Q2 − Q1)/Q1) /((P2 − P1)/P1)
𝐸𝑝 = (100 − 100)/100 /(20 − 10)/10 = 0
When price increases from Rs. 10 to Rs.20, the quantity demanded remains the same. In other words the response of demand to a change in Price is nil. In this case ‗E‘=0.
C. Relatively elastic demand:
Demand changes more than proportionately to a change in price. i.e. a small change in price leads to
Premier University
[B.B.A]
Course Teacher: Assistant Professor. Anupam Das
University of Chittagong
Course Title: Managerial Economic
Presentation Subject: Introduction to Managerial Economic
Semester: 7th Section: “A” Batch :22nd
Group Name: D’14
E-mail : mdsaimonchy@yahoo.com
Introduction to Economics, Basics of Managerial Economics, Introduction to Economics, Nature and Scope of Managerial Economics, Managerial Economics & Economics Related Disciplines Interrelationship with Other Subjects, Economics Tools.
Managerial Economics
?
Subject: MANAGERIAL ECONOMICS Credits: 4
SYLLABUS
Basics of Managerial Economics
Introduction to Economics, Basics of Managerial Economics, Introduction to Economics, Nature and Scope of
Managerial Economics, Managerial Economics & Economics Related Disciplines Interrelationship with Other
Subjects, Economics Tools
Demand Theory
Demand Analysis, Elasticity Concepts, Demand Forecasting, and Importance of Demand forecasting
Cost of Production:
Cost Analysis, Economic of Scale, Cost Reduction and Cost control, Capital Budgeting
Production Theory
Introduction to Production Concept, Production Analysis, Stage of Production, Return to Scale, Supply
Analysis
Market Analysis
Introduction to market Structure, Perfect Competition, Monopoly, Oligopoly and Pricing
Suggested Readings:
1. Managerial Economics – Analysis, Problems and Cases, P.L. Mehta, Sultan Chand Sons, New Delhi
2. Managerial Economics – Varshney and Maheshwari, Sultan Chand and Sons, New Delhi
3. Managerial Economics – D. Salvatore, McGraw Hill, New Delhi
4. Managerial Economics – Pearson and Lewis, Prentice Hall, New Delhi
5. Managerial Economics – G.S. Gupta, T M H, New Delhi
5
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NATURE AND SCOPE OF ECONOMIC ANALYSIS
------------------------------------------------------------------------------------------------------------
Structure
1.1 Introduction to Economics
1.2 Concept of Economics in Decision Making
1.3 Scope of Managerial Economics
1.4 Relationship between Managerial Economics and Other Subjects
1.5Tools and Techniques of Decision Making
1.6 Review Questions
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1.1 INTRODUCTION TO ECONOMICS
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This unit introduces you to the basic concepts of Economics. After going through this
unit you will come to know how Economics is helpful for Managers in their Decision
making process.
Objectives: • To analyze the concept of economics- scarcity and efficiency • Micro Economics and macro economics • Concept of managerial economics • How managerial economics differ from economics and its relationship with
management
Good morning students, the basic purpose of our studying of economics are the efficient
utilization of scarce resources. We always have to make choices amongst various
alternatives available for efficient utilization of our scarce resources. The twin theme of
economics is scarcity and efficiency. We will discuss this twin theme in detail before
coming to managerial economics.
Scarcity and Efficiency: The first question which comes here is what is Economics?
Economics is the study of how society choo.
Business economics is a field of applied economics that studies the financial, organizational, market-related, and environmental issues faced by corporations.
The French Revolution, which began in 1789, was a period of radical social and political upheaval in France. It marked the decline of absolute monarchies, the rise of secular and democratic republics, and the eventual rise of Napoleon Bonaparte. This revolutionary period is crucial in understanding the transition from feudalism to modernity in Europe.
For more information, visit-www.vavaclasses.com
Instructions for Submissions thorugh G- Classroom.pptxJheel Barad
This presentation provides a briefing on how to upload submissions and documents in Google Classroom. It was prepared as part of an orientation for new Sainik School in-service teacher trainees. As a training officer, my goal is to ensure that you are comfortable and proficient with this essential tool for managing assignments and fostering student engagement.
The Roman Empire A Historical Colossus.pdfkaushalkr1407
The Roman Empire, a vast and enduring power, stands as one of history's most remarkable civilizations, leaving an indelible imprint on the world. It emerged from the Roman Republic, transitioning into an imperial powerhouse under the leadership of Augustus Caesar in 27 BCE. This transformation marked the beginning of an era defined by unprecedented territorial expansion, architectural marvels, and profound cultural influence.
The empire's roots lie in the city of Rome, founded, according to legend, by Romulus in 753 BCE. Over centuries, Rome evolved from a small settlement to a formidable republic, characterized by a complex political system with elected officials and checks on power. However, internal strife, class conflicts, and military ambitions paved the way for the end of the Republic. Julius Caesar’s dictatorship and subsequent assassination in 44 BCE created a power vacuum, leading to a civil war. Octavian, later Augustus, emerged victorious, heralding the Roman Empire’s birth.
Under Augustus, the empire experienced the Pax Romana, a 200-year period of relative peace and stability. Augustus reformed the military, established efficient administrative systems, and initiated grand construction projects. The empire's borders expanded, encompassing territories from Britain to Egypt and from Spain to the Euphrates. Roman legions, renowned for their discipline and engineering prowess, secured and maintained these vast territories, building roads, fortifications, and cities that facilitated control and integration.
The Roman Empire’s society was hierarchical, with a rigid class system. At the top were the patricians, wealthy elites who held significant political power. Below them were the plebeians, free citizens with limited political influence, and the vast numbers of slaves who formed the backbone of the economy. The family unit was central, governed by the paterfamilias, the male head who held absolute authority.
Culturally, the Romans were eclectic, absorbing and adapting elements from the civilizations they encountered, particularly the Greeks. Roman art, literature, and philosophy reflected this synthesis, creating a rich cultural tapestry. Latin, the Roman language, became the lingua franca of the Western world, influencing numerous modern languages.
Roman architecture and engineering achievements were monumental. They perfected the arch, vault, and dome, constructing enduring structures like the Colosseum, Pantheon, and aqueducts. These engineering marvels not only showcased Roman ingenuity but also served practical purposes, from public entertainment to water supply.
Operation “Blue Star” is the only event in the history of Independent India where the state went into war with its own people. Even after about 40 years it is not clear if it was culmination of states anger over people of the region, a political game of power or start of dictatorial chapter in the democratic setup.
The people of Punjab felt alienated from main stream due to denial of their just demands during a long democratic struggle since independence. As it happen all over the word, it led to militant struggle with great loss of lives of military, police and civilian personnel. Killing of Indira Gandhi and massacre of innocent Sikhs in Delhi and other India cities was also associated with this movement.
Palestine last event orientationfvgnh .pptxRaedMohamed3
An EFL lesson about the current events in Palestine. It is intended to be for intermediate students who wish to increase their listening skills through a short lesson in power point.
Model Attribute Check Company Auto PropertyCeline George
In Odoo, the multi-company feature allows you to manage multiple companies within a single Odoo database instance. Each company can have its own configurations while still sharing common resources such as products, customers, and suppliers.
2024.06.01 Introducing a competency framework for languag learning materials ...Sandy Millin
http://sandymillin.wordpress.com/iateflwebinar2024
Published classroom materials form the basis of syllabuses, drive teacher professional development, and have a potentially huge influence on learners, teachers and education systems. All teachers also create their own materials, whether a few sentences on a blackboard, a highly-structured fully-realised online course, or anything in between. Despite this, the knowledge and skills needed to create effective language learning materials are rarely part of teacher training, and are mostly learnt by trial and error.
Knowledge and skills frameworks, generally called competency frameworks, for ELT teachers, trainers and managers have existed for a few years now. However, until I created one for my MA dissertation, there wasn’t one drawing together what we need to know and do to be able to effectively produce language learning materials.
This webinar will introduce you to my framework, highlighting the key competencies I identified from my research. It will also show how anybody involved in language teaching (any language, not just English!), teacher training, managing schools or developing language learning materials can benefit from using the framework.
A Strategic Approach: GenAI in EducationPeter Windle
Artificial Intelligence (AI) technologies such as Generative AI, Image Generators and Large Language Models have had a dramatic impact on teaching, learning and assessment over the past 18 months. The most immediate threat AI posed was to Academic Integrity with Higher Education Institutes (HEIs) focusing their efforts on combating the use of GenAI in assessment. Guidelines were developed for staff and students, policies put in place too. Innovative educators have forged paths in the use of Generative AI for teaching, learning and assessments leading to pockets of transformation springing up across HEIs, often with little or no top-down guidance, support or direction.
This Gasta posits a strategic approach to integrating AI into HEIs to prepare staff, students and the curriculum for an evolving world and workplace. We will highlight the advantages of working with these technologies beyond the realm of teaching, learning and assessment by considering prompt engineering skills, industry impact, curriculum changes, and the need for staff upskilling. In contrast, not engaging strategically with Generative AI poses risks, including falling behind peers, missed opportunities and failing to ensure our graduates remain employable. The rapid evolution of AI technologies necessitates a proactive and strategic approach if we are to remain relevant.
2. Adam smith (1723-90) defined “economics is the
science of wealth”
He is known as the father of political economy because
he was the first person who put all the economic way. It
is only after Adam smith .
We study economics as a systematic science
3. Economics is concerned with the problems arising
from wealth –getting and wealth using activities of
people.
He was interested mainly in studying the ways by
which the wealth of all nations could be increased.
4. Lot of criticism against Adam smith,definition of
economics. It has got a bad name of economics
he conclude that economics taught men and
women how to make money. So they called it a
selfish science.
5. Economics as “a study of mankind in the ordinary
business of life”
Alfred Marshall agrees that economics studies
about wealth but he does not accept the view that
economics studies about wealth alone.
6. The two terms of economics “manager” and
“economics” = managerial economics
Managerial economics is the study of directing
resources in a way that it most efficiently achieves
the managerial goals.
Managerial economics is also the application of
the tools of economic analysis in decision making
in actual business situation.
7. Economics is a science
A scientific discipline is based on logical
foundations.
Ends –’ends’ refer to human wants, which are
infinite
Scarce -human wants may be unlimited, but
means of satisfying them are very much limited
ex: income & resources like coal,electricity,petrol.
Choice –man has innumerable wants. he has to
make a choice of the most urgent wants.
8. Alternative uses – income in the hands of a
person is so much limited when compared to his
wants.
Scale of preferences –the most urgent wants to
be satisfied, immediately.
Prefer purchasing one good
Sacrifice another commodity
Alternative uses of money income
9. Scarcity
Efficiency
scarcity – goods are limited and wants are
unlimited
Scarcity is the fundamental economic problem
facing all societies
10. Efficiency denotes the most effective use of a
social resources in satisfying people wants' and
needs
12. Microeconomics focuses on how decisions
are made by individuals and firms and the
consequences of those decisions.
Ex.: How much it would cost for a university
or college to offer a new course ─ the cost of
the instructor’s salary, the classroom facilities,
the class materials, and so on.
Having determined the cost, the school can
then decide whether or not to offer the course
by weighing the costs and benefits.
Macroeconomics vs. Microeconomics
13. Macroeconomics examines the aggregate
behavior of the economy (i.e. how the actions of all
the individuals and firms in the economy interact to
produce a particular level of economic
performance as a whole).
Ex.: Overall level of prices in the economy
(how high or how low they are relative to prices
last year) rather than the price of a particular
good or service.
Macroeconomics vs. Microeconomics
14. It is used to explain and understand almost all
major business problems.
It plays a vital role in managerial decision
making
15. Estimation of product demand
Analysis of product demand
Planning of production schedule
Deciding the input combination
Estimation of cost of product
Analysis of cost of product
16. Achieving economics of scale
Determination of price of product
Analysis of price of product
Analysis of market structure
Profit estimation and planning
Planning and control of capital
expenditure
17. What to produce?
How to produce?
For whom to produce?
so as to satisfy the wants of all the people in
society
The problem of what goods to produce, stems
from the basic problem of scarcity of resources
18. Allocation of resources
Choice of production methods
Distribution of national product
Problem of economic efficiency
Full employment of resources
19. The production technique which ensures
maximum production at minimum cost has
to be chosen from among alternative production
techniques available.
A decision has taken whether
labor – intensive or
capital intensive
techniques should be employed
20. The problem of distribution of income in an
economy relates to the distribution of national
output among various individuals and different
sections of the people in the society.
Ex : In India special care is taken to protect the
weaker sections .
By providing rations at subsidized prices.
21. Resources are scarce and can be put into
alternative uses.
Efficiency means using these resources in their
most efficient production processes so that
maximum production is attained.
The most important problem in an economy is to
find out whether all the employable resources are
fully utilized or not.
22. The most important problem in any economy is to
fully utilize all the employable resources
23. Economics-it is economics applied to a firm’s
decision making
Various micro economic concepts such as
demand,production,cost,price and profit analysis.
Statistics-relating to data collection, data analysis,
forecasting techniques.
Mathematics-cost output relationship
Operations research-linear programming models,
inventory models, game theory
Accounting-balance sheet,cash flow etc.,
24. Generally, economics can be divided into two
broad categories: microeconomics and
macroeconomics.
Macroeconomics is the study of the economic
system as a whole. It includes techniques for
analyzing changes in total output, total
employment, the consumer price index, the
unemployment rate, and exports and imports.
Only aggregate levels of these variables are
considered.
25.
26. Prof Ragnar Frisch of Oslo university divided the
methods of economic analysis into two.
Micro Economics
Macro Economics
27. In Greek ‘micros’ means small and ‘macros’
means large
Micro economics is the study of economic
actions of individuals and small groups of
individuals.
Study includes particular firm, particular
individual household,wage,income,
28. Micro economics is like the study of individual trees and macro
economics is like the study of the forests.
The scope of micro economics includes:
Theory of product pricing.
It includes
Theory of demand and supply
Theory of production and cost
Theory of factor pricing
It includes
Theories of rent,wages,interest and profit.
Theory of economic welfare.
29. In micro economics ,we study specific economic
units or a very small segment of the economy.
They are individual consumers represented by the
households, individual industry and firms. So we
analyze the price of a specific product, the factors
of production employed b a single firm or industry
and also their revenues and costs.
30. • Macro economics studies the economy as a whole
through its major internal sub divisions.
• An economy is an aggregate structure of total
employment
• Total consumption
• Total production or supply
• General level of prices
• Economics studies the aggregates of
households(consumption),
• Firms and industries(production)
• Government representing economic policies
31. To understand the working of the economy –what to produce ?,how to
produce etc.,
To provide tools for the economic policies
Helpful in efficient employment of resources
Helpful in understanding the problem of taxation
Helpful in international trade
To examine the conditions of economic welfare
32. Theory of employment and income –it includes
theory of consumption function and investment
function
Theory of general price level
Macro theory of distribution
Macro economic policies
33. MICROECONOMIC
QUESTION
MACROECONOMIC
QUESTION
Go to business school
or take a job?
How many people are
employed in the
economy as a whole?
What determines the
salary offered by
Citibank to Cherie
Camajo, a new
Columbia MBA?
What determines the
overall salary levels
paid to workers in a
given year?
34. MICRO ECONOMIC QUESTION MACROECONOMIC QUESTION
What determines the cost to a
university or college of offering
a new course?
What determines the overall
level of prices in the economy
as a whole?
What government policies
should be adopted to make it
easier for low-income students
to attend college?
What government policies
should be adopted to promote
full employment and growth in
the economy as a whole?
What determines whether
Citibank opens a new office in
Shanghai?
What determines the overall
trade in goods, services and
financial assets between the US
and the rest of the world?