Microeconomics for managers
Associate Professor Colin Gannon and Mr Matthew Peters
6 points * One 3-hour session per week * First, second semester * Clayton, city
Objectives To develop an understanding of the basic principles of rational behaviour by economic agents, and of resource allocation in a market exchange economy. On completion of this subject students should have an appreciation of how microeconomic principles can be brought to bear to assess key economic issues of interest to managers in both the private and public sectors.
Synopsis Demand, supply and market analysis; cost concepts; price determination and pricing practices under various market structures; monopoly and imperfect competition; surpluses and economic rents; economic and technical efficiency; market structure, conduct and performance, economic regulation; externalities; microeconomic reform.
Assessment Mid-semester quiz (1.25 hours): 30% * Final examination (2.5-hours): 70%
Prescribed texts
Caves, R Australian industry: Structure, conduct, performance 2nd edn Prentice-Hall, 1987
Heyne P The economic way of thinking 7th edn Macmillan, 1994
Landsberg, S E Price theory and applications 2nd edn Dryden, 1992