Reading and Homework Assignments

Managerial Economics — Spring 2004

C. R. Thomas

 

TP = Technical Problems (at end of chapter in textbook)

SWHE = Student Workbook Homework Exercise

AP = Applied Problems (at end of chapter in textbook)

SWCP = Student Workbook Computer Problem

SWSP = Student Workbook Study Problems

SWCE = Student Workbook Computer Exercise

                                                                                                           

 

 

       Topic

 

Reading Assignment

 

Homework Problems

 

Review: Fundamental Mathematics

 

Student Workbook, pp. 1-18

 

Exercises 2, 5,7,10,14-16 in Student Workbook, pp. 1-18.

 

 

Managers, Firms, and Markets

Chapter 1 (and the Math Appendix in Chapter 1)

TP: 1,2,3

AP: 1

SWSP:  3,4,6

SWHE: 1

Math Appendix:  1,2 on p. 28

 

 

Demand, Supply, and Market Equilibrium

Chapter 2

TP: 2,6,7,11,13,14,15

AP: 14

SWSP:  1-10

SWHE: 1-12

 

 

Elasticity and Demand

Chapter 3

 

 

TP: 2,3,4,8,10-13

AP: 5

SWSP:  1-7,9-10

SWHE: 2

 

 

Theory of Optimization

Chapter 4

Learn only Sections 4.1 and 4.2 (pp. 118-131)

 

TP: 1-4,6,7,9

AP: 4

SWSP:  1,4

SWHE: 1

 

 

Basic Estimation Techniques

Chapter 5

Skip “Log-Linear Regression Models,” pp. 178-82

Skip t- and F-tests:  pp. 163-66 and 170.  Use p-values only to examine statistical significance.

 

TP: 1,9c,d,f

SWSP:  7c,e,f

SWCP:  1 (p. 106)

 

 

Empirical Demand Functions

Chapter 7

Skip “A Nonlinear Empirical Demand Specification,” p. 252 and Skip 7.4 “Estimating Industry Demand for Price-Taking Firms,” pp. 256-263.

 

TP: 2

SWCE (Liquid Ozarka):  2a-e (p. 161-2) Hint: Part a, R2 = 0.8585

 

 

Demand Forecasting

Chapter 8

Skip Section 8.4, pp. 295-304

 

TP: 2,3

AP: 3

SWCE (Gallaway, Inc.):  3 (p. 179-80) Hint: For part a, R2 = 0.0722 and for part b, R2 = 0.7591

 

 

Production and Cost in the Short Run

Chapter 9

TP: 2, 9

AP: 9,11

SWSP:  6

SWHE: 1,2

 

 

Production and Cost in the Long Run

Chapter 10

Skip section 10.8 “Relations between short-run and long-run costs”, pp. 385-87

TP: 1-12

AP: 5,12

SWSP:  3,5,7

SWHE: 1

 

 

Empirical Analysis of Production and Cost

Chapter 11

Skip section 11.1 “Specification of the Short-Run Production Function,” pp. 402-6

Skip section 11.2 “Estimation of the Short-Run Cubic Production Function,” pp. 406-9

 

TP: 5

AP: 3

SWCE (Palm Products Co.):  3 (p. 239) Hint: R2 = 0.7317

 

 

Managerial Decisions in Competitive Markets

Chapter 12

Skip subsection “Rent and Long-Run Competitive Equilibrium”, pp. 451-454

Skip section 12.6 “Profit-Maximizing Input Usage,@ pp. 454-57

 

TP: 3,8,11,12

SWSP:  2,7

Consulting Project on Website*: Harding Silicon Enterprises

Statistix dataset for Harding Silcon Ent.

Hint: For AVC, R2 = 0.9429

 

 

Managerial Decisions for Firms with Market Power

Chapter 13

Skip section 13.5 AProfit-Maximizing Input Usage,” pp. 499-502

TP: 1,3-8,11,16,17

AP: 9

Consulting Project on Website*: PoolVac, Inc. 

Statistix dataset for PoolVac.

Hint: For AVC, R2 = 0.9036 and for demand, R2 = 0.6429

 

Strategic Decision Making in Oligopoly Markets

 

Chapter 14

Skip subsection “Capacity Expansion as a Barrier to Entry,” pp. 564-67

TP: 1-14

AP: 1, 5

 

 

Multiple Plants, Markets, and Products

Chapter 16

To be announced

To be announced

 

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