Economics for Managers
This module is an introduction to theories in concepts in economics that underpin much of the world of modern business. It will help you to understand how businesses and economies work, and why. Economics concepts and thinking lie at the heart of how markets work, how and why businesses function and how and why people behave.Understanding economics is essential to more fully understanding businesses and the people running them.
Internationalisation: the module will draw on recent scholarship in the areas of innovation and market studies broadly defined published by researchers internationally (the UK, Europe, the United States) and case studies based on a variety of national contexts.
Sustainability: you will be encouraged to consider sustainability in relation to both macro and micro economics.
External Engagement: an external speaker will be invited, subject to availability.
Employability: the module will offer an opportunity to acquire knowledge and develop analytical skills for explaining the relevance of economics to future employers.
Ethics and Corporate Responsibility: the module will look at ethics and corporate responsibility as part of several topics.
Research in Teaching: the module will draw research articles in the first instance; use the module leader’s research expertise in the areas of discussion; and engage you in independent research to produce a case study.
Full module specification
|Module title:||Economics for Managers|
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Duration (weeks) - term 1: |
The aims of this module are to allow you to develop an understanding of the relevance of economics to managers in business, and to introduce key issues in the economics of a sustainable world: for example, the economics of climate change, biodiversity, and extending notions of national income to include natural resources. The first part of the module will focus on microeconomics content and will concentrate on understanding people and markets: the way that they work, and the ways in which they fail. The second part of the module will explore macroeconomics: what growth, inflation and imports/exports mean; why countries trade; and the effects of globalisation. We will also look at more recent developments to extend measures of national income; and look at the differences between physical and economic scarcity of natural resources, and constraints on growth.
ILO: Module-specific skills
- 1. explain the role of economics in managerial decision-making.
- 2. explain and evaluate how markets work.
- 3. comprehend the nature of market failure and the implications for business and government.
- 4. evaluate the factors affecting the macroeconomic environment, and their interactions and interdependencies.
- 5. appreciate the value of using economics in assessing the external environment for business decision-making.
- 6. evaluate emerging economic themes that are having an impact on companies.
ILO: Discipline-specific skills
- 7. think analytically.
- 8. interpret economic data.
- 9. critically reflect on common assumptions held within the business community.
ILO: Personal and key skills
- 10. demonstrate the capacity for analytical and reasoned discussion.
- 11. demonstrate effective independent study skills.
- 12. demonstrate effective written communication skills.
Issues in economics for a sustainable world: the big picture: valuing and allocating resources; emerging issues; relevance to business leaders; understanding, thinking and communicating economically.
Microeconomics – demand and supply; perfectly competitive markets. Market failure – market power, externalities, public goods, information failures, and discrimination. Predictable irrationality. The economics of climate change. Valuing biodiversity.
Macroeconomics - the external economic environment. Growth, inflation and unemployment. Trade and comparative advantage. Beyond GDP: green national accounting. Constraints on growth.
Conclusion: the role of economics in Business.
Indicative learning resources - Basic reading
There is no required textbook that covers all the material in the module. Two excellent sources for how economics applies in the real world, from business to public policy, are (the first one is available for free online):
The CORE Team (2018). Core Econ: Economy, Society, and Public Policy. Online Edition: https://www.core-econ.org/espp/
Froeb, L.M. and B. T. McCann (2010), Managerial Economics: A Problem-Solving Approach, 2nd Ed., South-Western Cengage Learning.
Last revision date