Managerial economics, meaning the application of economic methods in the managerial decision-making process, is a fundamental part of any business or management course. This textbook covers all the main aspects of managerial economics: the theory of the firm; demand theory and estimation; production and cost theory and estimation; market structure and pricing; game theory; investment analysis and government policy. It includes numerous and extensive case studies, as well as review questions and problem-solving sections at the end of each chapter. Nick Wilkinson adopts a user-friendly problem-solving approach which takes the reader in gradual steps from simple problems through increasingly difficult material to complex case studies, providing an understanding of how the relevant principles can be applied to real-life situations involving managerial decision-making. This book will be invaluable to business and economics students at both undergraduate and graduate levels who have a basic training in calculus and quantitative methods.

• Problem-solving sections and plentiful and extensive case studies involving current issues, with questions
• Extensive treatment of game theory compared with other texts
• International applications

Part I. Introduction:

1. Nature, scope and methods of managerial economics
2. Theory of the firm

Part II. Demand Analysis:

3. Demand theory
4. Demand estimation

Part III. Production and Cost Analysis:

5. Production theory
6. Cost theory
7. Cost estimation

Part IV. Strategy Analysis:

8. Market structure and pricing
9. Game theory
10. Pricing strategy
11. Investment analysis
12. Government and managerial policy.