SYLLABUS ECO 571-01: Managerial Economics

Spring, 2005

Dr. Donald G. Freeman Office: SHB 210-A

Phone: 936-294-1264 Hours: MW: 10:00 a.m. - noon,

Homepage: 3:00 - 4:00 p.m.

email: TTh: 1:00 -2:30 p.m.

Course Description:

Quantitative tools used in solving business problems. Topics include demand and cost estimation, modeling, and forecasting.

Course Objectives:

1. To apply the techniques of optimization theory to problems in business and economics.

2. To derive rules for decision making under conditions of risk and uncertainty.

3. To demonstrate the importance of completely and accurately quantifying the benefits and costs of any set of economic alternatives.

Text: Samuelson & Marks, Managerial Economics, Fourth Edition (Study Guide is on reserve in the library); supplemental readings

Grading: Mid-Term 25% Homework 25%

Project 25% Final 25%

Exams: Multiple choice and problems. The final will not be comprehensive.

Homework: Homework will consist of problems and/or outside readings prepared by you for presentation in class. Depending on final enrollment, we will probably work in teams. Everyone should work on the first assignment, however.

Project: The project will be a study incorporating the techniques we cover during the semester, especially those involving decision making under risk and uncertainty. I shall provide more details by the third week of the semester.

Student Absences on Religious Holy Days: Students who are absent from class for observance of a religious holy day will be allowed to take an examination or complete an assignment scheduled for that day within a reasonable amount of time. The student, no later than Friday, January 25, must notify the instructor of each scheduled class day that he/she will be absent for a religious holy day.

Americans with Disabilities Act: SHSU adheres to all applicable federal, state, and local laws, regulations, and guidelines with respect to providing reasonable accommodations for students with disabilities. If you have a disability that may affect adversely your work in this class, then I encourage you to register with the SHSU Counseling Center and to talk with me about how I can best help you. All disclosures of disabilities will be kept strictly confidential. NOTE: no accommodation can be made until you register with the Counseling Center.

SYLLABUS: Economics 571-01: Spring, 2005

Tentative Schedule: (test dates are firm)


Beginning _____________________Topic Chapter Assignment

01/09 Optimization theory 2 1

01/16 Optimization continued 8, pp 321-334 2

01/23 Optimization continued 9, pp 360-371 3

01/30 Demand Analysis 3 4

02/06 Demand Analysis 3 5

02/13 Oligopoly 10 6

02/20 Game Theory 11 7

02/27 Exam 1: Mar 2

Fri., Mar 04 Last day to drop with a "W"

03/06 Game Theory 11 8

03/13 Spring Break

03/20 Game Theory 11 9

03/27 Risk Analysis 13 10

04/03 Risk Analysis 13 11

04/10 Value of Information 14 12

04/17 Value of Information 14 13

04/24 Asymmetric Information 15 14

05/01 Project Due Bargaining and Negotiations 16

05/08 Final: May11