Definition of managerial economics

Answer 1

Managerial economics (also called business economics), is a branch of economics that applies microeconomic analysis to specific business decisions. As such, it bridges economic theory and economics in practice. It draws heavily from quantitative techniques such as regression analysis and correlation, Lagrangian calculus (linear). If there is a unifying theme that runs through most of managerial economics it is the attempt to optimize business decisions given the firm's objectives and given constraints imposed by scarcity, for example through the use of operations research and programming.(the things mentioned above are ___________)

Answer 2

Application of economic theory and decision science tools to solve managerial decision problems is called as managerial economic The economic theory includes both Macro and Micro economics ,under which a firm operates. Decision science means ,scientific methods for decision making for business or any other activity. The decision science tools are mathematical economics and econometrics The problems faced by a manger are 1) choosing product line 2) Level and quality of output 3) setting the price 4)choosing technology etc In general Managerial economics uses all these factors to arrive at optimum solutions to managerial decision problems.

In a simple language, we can also define it as Managerial economics is a social science discipline that combines the economics theory, concepts and known business practices.

Answer 3

managerial economics deals with the business firm and the economic problems it need to solve.it is the integration of the economic theories and business practise with the purpose of facilitating decision making and forward planning of management.

Answer 4

Managerial economics as defined by Edwin Mansfield is "concerned with application of economic concepts and economic analysis to the problems of formulating rational managerial decision". It is sometimes referred to as business economics and is a branch of economics that applies microeconomic analysis to decision methods of businesses or other management units.

Answer 5

Managerial macroeconomics is a subject that relates the theories and concepts of macroeconomics to real life business situations.