Role of economics in management

Answer 1

If the economic climate is bad, the business manager is less likely to invest in an idea or entrepeneur, as they're taking a risk by spending money on something that may not bring a profit at all. All things in business are designed to bring a company or business profit.

However if the economic climate is good, the business is more likely to invest in something.

Example: 1920s. lots of businesses investing in stuff

1930s: no money, Stock Market crash, hardly any investment

Answer 2

he does two basic tasks that is making decisions and processing infromation. although both these tasks are practically inseparable yet these two are separated for analytical purposes. that is the managerial economist must be able to obtain process and use infromation so as to make intelligent decision . the above two tasks can be done by two general forms

1. specific decision

2. general assignment

Answer 3

Economics contributes to managment a great deal to the managers.the managers having working knowledge of economics perform well as compared to those without it.we know that economics is the study of how people use their scarce resource.same with the manager has to use scarce resources in order to achieve objectives.that is why knowledge of economics makes it possible for the managers to use limited resources effeciently.

Answer 4

Accounting plays a major role in managerial economics. Management needs accurate data in order to make correct decisions for a company, so accounting work must be do correctly and quickly in order to be analyzed and acted upon.

Answer 5

role of management and economics