After studying this chapter, you should be able to understand:
- The economic problem of scarcity arises because the limited resources have to be utilized to satisfy the unlimited human wants.
- Managerial economics is a discipline, which requires the application of economics in the complex business decision-making process to formulate and achieve the rational managerial objectives.
- Microeconomics is a branch of economics, which analyses the market behaviour and the decision-making process of an individual consumer and a firm.
- Macroeconomic is the study of how the national economy as a whole grows and the changes which occur over time.
- Managerial economics can be thought of as ...