lecture 1_.pdf

The Fundamentals of Managerial Economics Dr. Irfan Ahmad Shah Assistant Professor (Economics) Introduction Economics is “the study of how individuals and societies choose to use the scarce resources that nature and previous generations have provided. Consumer, Fir...

The Fundamentals of Managerial Economics Dr. Irfan Ahmad Shah Assistant Professor (Economics) Introduction Economics is “the study of how individuals and societies choose to use the scarce resources that nature and previous generations have provided. Consumer, Firm, Government, External Sector. Goals and Constraints Profit and Incentives Markets and Marginal Analysis Basic Concepts Accounting vs Economic Cost or Profit Opportunity Cost Present Value vs Future Value (Opportunity Cost of Waiting) Short-term vs Long-term Basic Questions??? What gets produced? How is it produced? Who gets it? - Distribution Capital goods and Consumer goods Basic Concepts Need, Want and Demand Equation of a Straight Line