Managerial economics / Luke M. Froeb [and three others].

Includes bibliographical references and index.

Preface: teaching students to solve problems -- Problem solving and decision making -- Introduction: what this book is about -- The one lesson of business -- Benefits, costs, and decisions -- Extent (how much) decisions -- Investment decisions: look ahead and reason back -- Pricing, costs, and profits -- Simple pricing -- Economics of scale and scope -- Understanding markets and industry changes -- Market structure and long-run equilibrium -- Strategy: the quest to keep profit from encoding -- Foreign exchange, trade, and bubbles -- Pricing for greater profit -- More realistic and complex pricing -- Direct price discrimination -- Indirect price discrimination -- Strategies decision making -- Strategic games -- Bargaining -- Uncertainty -- Making decisions with uncertainty -- Actions -- The problem of adverse selection -- The problem of moral hazard -- Organizational design -- Getting employees to work in the firm’s best interest -- Getting divisions to work in the firm’s best interests -- Managing vertical relationships -- Wrapping up -- Test yourself -- Epilogue: Can those who teach, do?

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