Unit Outline 2014
Department/Centre: Department of Finance and Business
Unit title: Managerial Economics
(Economics for Mangers)
Unit reference code:
This Unit Outline must be read in conjunction with RIM
Academic Policies, which sets out Institute policies and
procedures, including information on matters such as
plagiarism, grade descriptors, moderation, feedback and
deferred exams
1: General Information
Approved by the Academic Committee
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1a Teaching period and year offered: Term II-2014
1b Credit point value: 15 Credit Points
1c Unit level: Post Graduate
1d
Name of Unit Convener and Course Coordinator and contact details (including
telephone and email):
Unit Convener:
Phuntsho Wangmo
Assistant Lecturer
Email-phuntsho_wangmo@rim.edu.bt
Phone No: 02-531014/351013
Course Coordinator - PGDFM
Namgay Dem
Assistant Lecturer
Email- namgay_dem@rim.edu.bt
Phone No: 02-531014/351013
Department of Finance and Business
1e Administrative contact details (including name of the programme assistant
location, telephone and email)
Program Assistant:
Delma
Program Assistant
Email:delma@rim.edu.bt
Phone no: 02-351014/351013
Approved by the Academic Committee
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2: Academic Content
2a Unit description or syllabus
This course is designed to build a foundation on economics concepts and tools for management
students at the PGDFM levels so that they can sue economics tools in analyzing managerial
problems and making decisions thereof for the their firms and industries.
This course provides an understanding of the economics forces that influence firm decision
making. It will provide an introduction to basic principles in microeconomics and also demonstrate
how economics theory can help in decision making.
The course will offer an application of economics theory using both qualitative tools and
techniques. Topics such as Demand/Supply analysis, production and cost analysis, problems of
optimization, pricing policy, understanding markets and their strategies in production and price
setting and behavior of firms under different markets structures use basic mathematical tools in
analyzing and solving managerial problems. The course is mainly analytical in nature and focuses
on clarifying fundamental concepts from a microeconomics viewpoint. The students are expected
to study and analysis the dynamics of managerial decision making through this course.
2b. Learning outcomes
On completion of this course, students will be equipped with following skills:

Student will understand the relative importance of managerial economics and know
how the application of the application of the principle of managerial economics can
aid in the achievement of business objectives.

Students will be able to apply economics tools to determine the most favorable
alternatives in attaining the output, revenue and profit etc maximization and cost/loss
minimization for their business firm.

The participants will be able to analyze different forms of market structure, their
characteristics and output and price setting strategies.

Students will also gain a rigorous understanding of competitive market structures
such as monopoly, Oligopoly and monopolistic competition.

The course attempts to build a strong theoretical foundation for management
students.
Approved by the Academic Committee
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2c. Graduate attributes developed in the unit
The unit is expected to develop the following attributes among the graduates:







Discipline specific knowledge and capabilities- Knowledge appropriate to the level of
study at par with the international standards
Creative, innovative end enterprising- critical and analytical thinking and judgment to
create innovative solutions to challenges
Professional excellence- positive attitude towards work (working independently and
in teams) and taking responsibilities for personal actions.
Leadership attributes –be able to manage, guide and make timely decision
Integrity, honesty and ethical- act in accordance with the universal standards of
integrity, honesty and ethical attributes.
Communication skills- using oral, written and interpersonal communication to inform,
motive and effect change.
Digital literacy- using technologies to find, use and disseminate information
2d. Prerequisites and/or co-requisites
Not relevant
3: Delivery of Unit and Timetable
3a Delivery mode 
This unit will be delivered in 13 sessions of 3 hours each, spread over a term. The
pedagogy of the course will comprise of classroom lecturers, problem solving, case
studies and assignments.
3b Timetable of learning activities
Approved by the Academic Committee
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Seminar
Session
Week 1
Delivery Methods
I. Some Preliminaries

Managers, Profit and
Markets
Week 2

Chapter 2
Lecture
Illustration/case
discussion and
problem solving
Chapter 3
Christopher R.Thomas,
S.Charles Maurice,
Sumit Sarkar.

Lecture
Illustration/case
Theory of consumer discussion and
problem solving
Behavior
Chapters 5
Christopher R.Thomas,
S.Charles Maurice,
Sumit Sarkar.

Elasticity
and Lecture
Illustration/case
discussion and
problem solving
Chapters 6
Christopher R.Thomas,
S.Charles Maurice,
Sumit Sarkar.

Marginal Analysis for
Optimal Decisions
Week 4
Week 5
II. Demand Analysis
Demand
Week 6
III. Production and Cost
Analysis

Week 7
Week 8
Chapter 1 by
Christopher R.Thomas,
S.Charles Maurice,
Sumit Sarkar.
Lecture
Illustration/case
discussion and
problem solving
Demand , Supply and
Market Equilibrium
Week 3
Lecture
Illustration/case
discussion and
problem solving
Required reading

Lecture
Production and Cost Illustration/case
discussion and
in the short run
problem solving
Christopher R.Thomas,
S.Charles Maurice,
Sumit Sarkar.
Chapter 8
Christopher R.Thomas,
S.Charles Maurice,
Sumit Sarkar.
Production and cost in Lecture
Illustration/case
the long run
discussion and
problem solving
Chapter 9 &10
Christopher R.Thomas,
S.Charles Maurice,
Sumit Sarkar.
Lecturer
IV. Profit Maximization Illustration/case
discussion and
in various
problem solving
Market
Chapter 11
Christopher R.Thomas,
S.Charles Maurice,
Sumit Sarkar.
Approved by the Academic Committee
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structures
Week 9
Chapter 10, H. Craig
Petersen & W.Cris
Lewis

Managerial Decisions
in Competitive
Markets

Managerial Decisions Lecturer
Illustration/case
for Firms with Market discussion and
problem solving
Power -Monoploy
Week 10

Week 11
Lecture
Market structure & Illustration/case
barriers to Entry- discussion and
problem solving
oligopoly
Practices/ Lecture
Illustration/case
decisions
discussion and
Pricing of Multiple problem solving
V. Pricing

Chapter 12
Christopher R.Thomas,
S.Charles Maurice,
Sumit Sarkar.
Chapter 10, H. Craig
Petersen & W. Cris
Lewis
Chapter 11 &12
Christopher R.Thomas,
S.Charles Maurice,
Sumit Sarkar.
Chapter 12
Craig Petersen, W.H
Cris Lewis
products
Week 12

Lecture
Illustration/case
discriminationdiscussion and
Necessary conditions problem solving
Pricing
Chapter 12
Craig Petersen, W.H
Cris Lewis
for types of price
discrimination
Week 13
VI. Advance topic in
Managerial
Economics
 Government
Regulation of
Business
Approved by the Academic Committee
Lecture
Illustration/case
discussion and
problem solving
Chapter 16
Christopher R. Thomas,
S. Charles Maurice,
Sumit Sarkar.
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3d
Required Reading:
As given above under 3c
Approved by the Academic Committee
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4: Unit Resources
4a Lists of required texts/readings
Prescribed reading/teaching materials:
Core text:
Managerial Economics, Christopher R. Thomas, S. Charles Maurice & Sumit Sarker, 9
editions.
Supplementary Reading:
Managerial Economics, H.Craig Petersen, W. Cris Lewis, 4th edition
Essentials of Managerial Economics theory, applications and cases, I.C.Dhingra
,
4b Materials and equipment
In order to deliver the unit effectively, the following materials & equipment are required:
While Boards – 1Nos
LCD projector – 1 No.
White Screen – 1 No.
Computer (laptop/desktop) – 1 No
Overall , Handouts to be distributed one day ahead than the class.
4c Unit website
5: Assessment
5a Assessment overview
5a: Assessment Overview
5a Assessment
overview
As a part
of the assessment
for the unit, students will be assessed and evaluated base on a
number of assessment methods such as case study discussion, pop quizzes, midterm exam and
final exam.
Approved by the Academic Committee
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5b. Assessment item description including assessment criteria
For this unit, following assessment methods will be used.
Assessment 1: pop quizzes: 10%
There will be a total of 6 pop quizzes spread over 13 weeks. The pop quizzes will be multiple
choice questions and will be for 30 minutes. Students will have to be ready for pop quizzes as it is
conducted on random basis. There will be no make up for pop quizzes.
Assessment 2:Mid-term class test-45%
As part of the assessment for this unit, there will be a mid-term class test during week7. The exam
will be 3 hours in length and take in class. The exam will cover all materials covered to that point.
This will be a closed book examination and will test on concepts, your application of knowledge to
case studies and on analyzing ability.
Assessment 3: Final Examination-45%
3 hour unseen written exam will be conducted at the end of the term. The final exam is scheduled
during the examination period. This will be a closed book examination and will test on concepts,
your application of knowledge to case studies and on analyzing ability.
5c. Due dates
Assessment
Form/methods
Proportion of
total marks
Due dates
Penalties
application for
late submission
Assessment 1:
Pop Quizzes
10%
RANDOM
No makeup quiz
Assessment 2:
Mid-Term Exam
45%
Week 7
Assessment 3:
Final
Examination
45%
Examination
Week
Failing to sit for
test will be
awarded zero*
Failing to sit for
test will be
awarded zero*
Approved by the Academic Committee
Date- work
expected to be
returned to
student
One week from
the date of
conduct
Week 9
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5d. Weighting within the unit - to 100 per cent
5e. Identification of the learning outcome/s the assessment item addresses
Assessment Items
POP Quizzes
Learning Outcomes
(Refer 2b for details of
outcomes)
1,3,4
Mid-Term Exam
Final Exam
1,2,3,4,5
1,2,3,4,5
Remarks
Students are asked to
present holistic view
of the chosen topic
and therefore covers
all the outcomes of
the unit
5f. Identification of the graduate attributes the assessment item addresses
Assessment Items
Pop Quizzes
Mid-Term Exam
Final Examination
Approved by the Academic Committee
Graduates’ attributes
(Refer 2c for details of
graduates’ attributes)
1,3,4,5,
1,2,3,4,5,6
1,2,3,4,5,6
Remarks
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5g. Special assessment requirements—if any
Not Applicable here
5h. Supplementary assessment criteria
Not Applicable here
5i. Requirements for academic integrity
Students are expected to be well versed with the Academic Integrity Policy of the RIM
and standing rules and regulations on Plagiarism.
Students have a responsibility to uphold ethical values on all matters.
Cheating, plagiarism, and falsification of data are dishonest practices that contravene
academic values and professionalism.
5)j Text-matching software Appropriate software or other means may be used for purposes of detecting plagiarism
or unethical behavior among students.
Approved by the Academic Committee
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6: Student Responsibility
6a Workload
Students will be required to put in at least 150 hours over the 15-week semester or an average of
10 hours per week including the time spent in the classes and preparation for the unit including
reading the required materials, cases, text books, journals, group discussions, data collection, etc.
Students who do not have adequate background in public administration/management will be
required to spend more time than 150 hours for the unit.
6b Special needs Students with special needs due to disability or due to other circumstances should inform their
Unit Convener well in advance so that appropriate arrangements can be made
6c Attendance requirements Students are required to maintain 80% of attendance in the unit failing which they will not be
allowed sit for the final examinations. Further, final marks will not be declared if the students do
6d the
Withdrawal
not meet
attendance requirement
Withdrawal from the Unit will be governed by the Academic Rules and Regulations of the RIM
6e Required IT skills Students must possess basic IT skills including the skills to use Microsoft Office Word, Microsoft
Office Excel, and Microsoft Powerpoint including the skills to use internet
6f Costs
All costs related to the scholarship of the course/unit will be borne by Royal Government of
Bhutan except where specified. For example, student will be buy their own stationeries or pay for
reproduction costs beyond a certain limit.
Approved by the Academic Committee
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6g Work Integrated Learning Not Applicable
6h Additional information As may be announced by the course coordinator and unit convener from time to time
7: Student Feedback
All students enrolled in this unit will have an opportunity to provide anonymous feedback on
the unit at the end of the Semester via the Unit Feedback Survey (USS).
8: Authority of this Unit Outline
This unit outline is prepared based on the:

Credit Policy

Institutional teaching and learning policy

Graduate Attributes Policy

Academic Progress Policy

Assessment Policy

Course and Unit Specifications Policy
The contents of the Unit is also benchmarked with the similar Unit offered in the University of
Canberra, Australia (based on the validation exercise carried out during 2007/2008).
Changes in the contents of this Unit will be governed by the Academic Rules and Regulations of
the RIM
Any change in the contents of this Unit is subject to Academic Rules and Regulations of the RIM.
Approved by the Academic Committee
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