Managerial Economics
Course Syllabus
A. University: Voronezh State University
Instructor: Irina Yu. Liashenko, PhD in Economics, Senior lecturer in
Economics/ Faculty of Economics, Department of economic theory and world economics)
B. Course: Managerial Economics / semester 1
C. Instructor’s office location and address: Voronezh State University,
Building 5a, room 108B; Kholzunova street 40, Voronezh, Russia; office phone
+74732 34 11 59
D. Instructor’s e-mail address: pochtamail11@mail.ru
E. Course description
Welcome to Managerial Economics. I’m Irina Yu. Liashenko, your instructor.
Managerial Economics is aimed at applying economic analysis to decisionmaking techniques of business. Through this interesting course you will gain
knowledge about how to increase a company’s profitability by applying microeconomic analysis to a wide array of business problems. The course focuses on: demand&supply analysis, firm and individual behavior prediction, costs, pricing
strategies, profit maximization by firms, market structures and managerial decision
in different competitive settings.
F. Course Objectives
After completing the course you will
 be able to predict market changes using demand&supply analysis;
 be conversant with marginal analysis;
 recognize how to bargain effectively;
 enhance skills in business decision-making under different competitive
settings;
 know how to align individual incentives with the goals of the company;
 develop the ability to apply microeconomic analysis to a wide array of
business problems.
A problem-solving approach will be used to achieve these objectives.
G. Methods of Instruction
Class meetings will consist of a mixture of lectures (16 hours) and seminars
(16 hours) including different class activities.
Lectures will provide you with some interesting and useful information.
Your class notes will be an invaluable resource to you when working through
homework and preparing for exams.
Class activities participation. During the semester you will deal with a variety of class activities including discussions, case study, different tasks etc.
You are going to be involved in teamwork. You will be assigned business
problems to be solved. Each group will make a short presentation to the class.
Homework. Some homework will be given throughout the semester.
Homework will cover the basic models, how to use these models to discuss business facts and some data analysis and interpretations.
Exams. There will be two midterms. Each exam focuses on one particular
set of topics. These exams are revealed exams, so you will be provided with the list
of questions before exam.
H. Course Requirements and Grading
The course grade will be determined by a weighted average of the following:




Class Participation – 35%
Homework – 10%
Exams (Midterms) – 25%
Final Exam – 30%
Your overall course grade will be determined according to the following
scale:
85 – 100 % – A
70 – 84 % – B
55 – 69 % – C
0 – 54 % – F
I. Final Exam
The final exam is written exam. The final exam will cover all of the material
from the course. Most of the exam will essentially ask you to reproduce elements
of the analysis we do in class, so it is crucial for you to understand well what we do
in class.
J. Required texts
a. Essential readings
1. Keat, Paul G., Young, Philip K Y., Erfle, Stephen E Managerial economics: economic tools for today's decision makers, 7th ed. Boston : Pearson, 2013.
b. Recommended readings
1. Baye, Michael R., Prince, Jeffrey Managerial Economics and Business
Strategy, 8th ed. McGraw-Hill Irwin, 2014
K. Tentative schedule
Class
Assigned readings
and due assignments
Topic
Week 1
Keat, Paul G., Young, Philip K Y.,
Erfle, Stephen E - Ch. 1, 2, 3; Baye,
Michael R., Prince, Jeffrey - Ch.1,
2
Keat, Paul G., Young, Philip K Y.,
Demand Estimation and ForecastClass2
Erfle, Stephen E - Ch. 4, 5; Baye,
ing
Michael R., Prince, Jeffrey - Ch. 3
The Fundamentals of Managerial
Class1 Economics. Market Forces: Demand and Supply
Week 2
Keat, Paul G., Young, Philip K Y.,
Demand Estimation and ForecastClass1
Erfle, Stephen E - Ch. 4, 5; Baye,
ing
Michael R., Prince, Jeffrey - Ch. 3
The Theory of Consumer BehavBaye, Michael R., Prince, Jeffrey Class2
ior
Ch. 4
Week 3
The Theory of Consumer BehavBaye, Michael R., Prince, Jeffrey Class1
ior and Demand Forecasting
Ch. 4
Class2
Production and Costs. CVP- anal- Baye, Michael R., Prince, Jeffrey ysis.
Ch. 4
Week 4
Midterm / Production and Costs.
Class1
CVP- analysis.
Keat, Paul G., Young, Philip K Y.,
Erfle, Stephen E - Ch. 6, 7; Baye,
Michael R., Prince, Jeffrey - Ch. 5
Marginal Analysis.
Pricing and Output Decisions:
Class2 Perfect Competition.
Managing in Monopolistic Markets
Keat, Paul G., Young, Philip K Y.,
Erfle, Stephen E - Ch. 6, 7; Baye,
Michael R., Prince, Jeffrey - Ch. 5
Week 5
Marginal Analysis.
Pricing and Output Decisions:
Class1 Perfect Competition.
Managing in Monopolistic Markets
Keat, Paul G., Young, Philip K Y.,
Erfle, Stephen E - Ch. 8; Baye,
Michael R., Prince, Jeffrey - Ch. 8
Firm’s Pricing Strategies. Special
Class2
Pricing Practices
Keat, Paul G., Young, Philip K Y.,
Erfle, Stephen E - Ch. 6, 7; Baye,
Michael R., Prince, Jeffrey - Ch. 5
Week 6
Class1
Firm’s Pricing Strategies. Special
Pricing Practices
Keat, Paul G., Young, Philip K Y.,
Erfle, Stephen E - Ch. 8; Baye,
Michael R., Prince, Jeffrey - Ch. 8
Keat, Paul G., Young, Philip K Y.,
Erfle, Stephen E - Ch. 10; Baye,
Michael R., Prince, Jeffrey - Ch. 11
Managing in Monopolistically
Class2 Competitive Markets. Oligopoly
and Firm Behavior Models
Week 7
Midterm / Managing in MonopoKeat, Paul G., Young, Philip K Y.,
listically Competitive Markets.
Class1
Erfle, Stephen E - Ch. 10; Baye,
Oligopoly and Firm Behavior
Michael R., Prince, Jeffrey - Ch. 11
Models
Keat, Paul G., Young, Philip K Y.,
Strategic Interaction Among
Class2
Erfle, Stephen E - Ch. 9; Baye, MiFirms
chael R., Prince, Jeffrey - Ch. 8, 9
Week 8
Asymmetric Information, Internal
Class1 and External (Out-of-firm) Markets: Challenges and Opportunities for Today's Manager
Strategic Interaction Among
Firms. Asymmetric Information,
Class2 Internal and External Out-of-firm)
Markets: Challenges and Opportunities for Today's Manager
Keat, Paul G., Young, Philip K Y.,
Erfle, Stephen E - Ch. 9, 11; Baye,
Michael R., Prince, Jeffrey - Ch. 9,
10, 11, 12
Keat, Paul G., Young, Philip K Y.,
Erfle, Stephen E - Ch. 9, 11; Baye,
Michael R., Prince, Jeffrey - Ch. 9,
10, 11, 12