Master of Business Administration
Turfloop Graduate School of Leadership
2013
CMBB192
Economics for a Sustainable World
1. Module Overview
This course is designed to provide an understanding of the relevance of economics to
managers in business, and the public sector entities; and to introduce key issues in the
economics of a sustainable world. The course consists of Microeconomics and
Macroeconomics. Microeconomics content will concentrate on understanding economic
decision making by economic units in various markets and how markets operate.
Macroeconomics focuses on the overall level of economic activity, interest rates,
unemployment rates, inflation and international trade.
The aims of this module are (1) to allow students to develop an understanding of the
presence of the economic problem of scarcity and the response of economic units, and
(2) how nations confront aggregated macroeconomic economic challenges.
2. Intended learning outcomes:
On completion of the module, students should have:
(a) Module Specific Skills enabling them to:
1. represent the key ingredients of microeconomic problems in the form of tractable
models.
2. identify macroeconomic challenges and suggest appropriate macroeconomic
policies.
3. critically discuss the adequacy of economic policies and decisions.
(b) Discipline Specific Skills enabling them to:
4. apply economic reasoning to decision problems
1
Master of Business Administration
Turfloop Graduate School of Leadership
2013
5. use economic analysis to construct explanations for observed economic actions.
6. critically reflect on current economic shocks and how they impact on the economy.
(c) Personal and Key Skills enabling them to:
7. plan and manage their time effectively in relation to deadlines.
8. demonstrate effective independent study skills and analytical thinking.
9. communicate and present complex arguments in oral and written form with clarity
and succinctness.
3. Learning/teaching methods:
A mix of lectures and group discussions.
4. Assessment:
1. Three tests
60%
2. Individual Assignment
20%
3. Group Assignment
20%
Total
100%
5. Syllabus plan:
Microeconomics:
1.
2.
3.
4.
5.
The economic problem, scarcity and opportunity cost.
Determination of the price and output level of particular goods and services.
What determines workers’ wages, interest rates, and business profits?
Market structures.
Why do incentives matter inside markets?
Macroeconomics:
1. Measurement of the overall performance of the economy.
2. How to achieve macroeconomic goals: high growth rates, stable and low prices,
full employment and external equilibrium.
3. Monetary and Fiscal policy impact on business and the public sector.
4. The impact of the foreign sector on business and the public sector.
6. Timetable and concepts/topics to be covered:
2
Master of Business Administration
Turfloop Graduate School of Leadership
2013
Date
Topic description
July 22
(a) The economic problem, scarcity and opportunity cost;
(b) Determination of the price and output level of particular goods and services.
Aug 19
(a) What determines workers’ wages, interest rates, and business profits? –
production and costs.
(b) Market structures.
(c) Why do incentives matter inside markets?
(a) Measurement of the overall performance of the economy.
(b) How to achieve macroeconomic goals: high growth rates, stable and low prices,
full employment and external equilibrium.
Sept 09
Oct 14
(a) Monetary and Fiscal policy impact on business and the public sector.
(b) The impact of the foreign sector on business and the public sector.
Prescribed Reading:
1. Farnham, P.G., (2010) Economics for Managers, 2nd edition. Pearson, Boston.
2. McKenzie, R.B. & Lee, D.R. (2006) Microeconomics for MBAs – The economic
way of thinking for managers 2nd edition. Cambridge University Press, Cambridge.
3. Davis, M.A., (2009) Macroeconomics for MBAs and Masters of Finance,
Cambridge University Press, Cambridge.
4. McConnell, C.R., Brue, S.L. & Flynn, S.M. (2009) Economics, 18th edition.
McGraw-Hill, New York.
Additional Recommended Reading:
1. Newspapers (Business/Economics sections)
2. SARB Quarterly bulletins
3. The Financial Mail
4. The Economist
Module Leader:
Kwena SM Matjekana
Office No. 1032, 1st Floor, SEM Building (Old K Block)
Email Address: kwena.matjekana@ul.ac.za
3
Master of Business Administration
Turfloop Graduate School of Leadership
2013
Telephone No.: +2715 268 2635/8
4