General Information
Economics for Managers provides an introduction to both microeconomics and macroeconomics for global business managers. The economic tools presented aid the analysis, decision-making and strategic planning that is required of managers. The inclusion of relevant theory is supplemented with an emphasis on practical applications of that theory to real-world business problems. Microeconomics is the study of individual decision-making units (consumers and firms) and their interaction in a market economy. An understanding of this assists managers when faced with choices and issues such as how much to produce, what price to charge, whether to shut down production in the short run and the impact of new, cheaper substitute products. Macroeconomics is focused on aggregate economic behaviour. Macroeconomic principles assist managers in their need to analyse, predict and respond to changes in an uncertain economic environment. Topics covered include inflation, unemployment and the influence of monetary and fiscal policy. Issues in the international economy affect individual businesses. Consequently, the basics of international economics are discussed, including the effects of international trade policies and the exchange rate.
-
Details
Academic unit: Bond Business School Subject code: GMBA71-203 Subject title: Economics for Managers Subject level: Postgraduate Semester/Year: September 2019 Credit points: 10.000 -
Delivery & attendance
Timetable: https://bond.edu.au/timetable Delivery mode: Online Workload items: - Seminar: x6 (Total hours: 12) - Webinar 1
- Seminar: x6 (Total hours: 12) - Webinar 2
- Personal Study Hours: x12 (Total hours: 72) - Study time and reviewing materials
Attendance and learning activities: Participation in all scheduled sessions is expected. Students are expected to notify the instructor of any absences with as much advance notice as possible. -
Resources
Prescribed resources: Books
- Joshua Gans,Robin Stonecash,Martin Byford,Gregory Mankiw,Stephen King, Ph.D.,Jan Libich (2017). Principles of Economics with Student Resource Access 12 Months. 7th, Cengage AU
iLearn@Bond & Email: iLearn@Bond is the online learning environment at Bond University and is used to provide access to subject materials, lecture recordings and detailed subject information regarding the subject curriculum, assessment and timing. Both iLearn and the Student Email facility are used to provide important subject notifications. Additionally, official correspondence from the University will be forwarded to students’ Bond email account and must be monitored by the student. To access these services, log on to the Student Portal from the Bond University website as www.bond.edu.au
| Academic unit: | Bond Business School |
|---|---|
| Subject code: | GMBA71-203 |
| Subject title: | Economics for Managers |
| Subject level: | Postgraduate |
| Semester/Year: | September 2019 |
| Credit points: | 10.000 |
| Timetable: | https://bond.edu.au/timetable |
|---|---|
| Delivery mode: | Online |
| Workload items: |
|
| Attendance and learning activities: | Participation in all scheduled sessions is expected. Students are expected to notify the instructor of any absences with as much advance notice as possible. |
| Prescribed resources: | Books
|
|---|---|
| iLearn@Bond & Email: | iLearn@Bond is the online learning environment at Bond University and is used to provide access to subject materials, lecture recordings and detailed subject information regarding the subject curriculum, assessment and timing. Both iLearn and the Student Email facility are used to provide important subject notifications. Additionally, official correspondence from the University will be forwarded to students’ Bond email account and must be monitored by the student. To access these services, log on to the Student Portal from the Bond University website as www.bond.edu.au |
Enrolment requirements
| Requisites: |
Nil |
|---|---|
| Assumed knowledge: |
Assumed knowledge is the minimum level of knowledge of a subject area that students are assumed to have acquired through previous study. It is the responsibility of students to ensure they meet the assumed knowledge expectations of the subject. Students who do not possess this prior knowledge are strongly recommended against enrolling and do so at their own risk. No concessions will be made for students’ lack of prior knowledge.
|
| Restrictions: |
Nil |
Assurance of learning
Assurance of Learning means that universities take responsibility for creating, monitoring and updating curriculum, teaching and assessment so that students graduate with the knowledge, skills and attributes they need for employability and/or further study.
At Bond University, we carefully develop subject and program outcomes to ensure that student learning in each subject contributes to the whole student experience. Students are encouraged to carefully read and consider subject and program outcomes as combined elements.
Program Learning Outcomes (PLOs)
Program Learning Outcomes provide a broad and measurable set of standards that incorporate a range of knowledge and skills that will be achieved on completion of the program. If you are undertaking this subject as part of a degree program, you should refer to the relevant degree program outcomes and graduate attributes as they relate to this subject.
Subject Learning Outcomes (SLOs)
On successful completion of this subject the learner will be able to:
- Define and describe basic microeconomic theory
- Analyse and make recommendations regarding the behaviour of firms and consumers through the application of basic microeconomic theory
- Identify potential options for policy makers and critically analyse given policies through the application of microeconomic theory.
- Describe basic macroeconomic theory and calculate, interpret and critique basic macroeconomic data.
- Analyse various real-world issues that affect national economies, including economic growth, unemployment, inflation and monetary and fiscal policies, through the application of basic macroeconomic theory
- Describe and critically apply basic international economic theory of open economies, trade and trade policy.
Generative Artificial Intelligence in Assessment
The University acknowledges that Generative Artificial Intelligence (Gen-AI) tools are an important facet of contemporary life. Their use in assessment is considered in line with students’ development of the skills and knowledge which demonstrate learning outcomes and underpin study and career success. Instructions on the use of Gen-AI are given for each assessment task; it is your responsibility to adhere to these instructions.
-
Assessment details
Type Task % Timing* Outcomes assessed Computer-Aided Examination (Closed) Final Examination 40% Final Examination Period 1,2,3,4,5,6 Computer-Aided Examination (Closed) Midterm exam 40% Week 6 (Mid-Semester Examination Period) 1,2,3 *Online Quiz Aplia based 5 quizzes 20% Ongoing 1,2,3,4,5,6 - * Assessment timing is indicative of the week that the assessment is due or begins (where conducted over multiple weeks), and is based on the standard University academic calendar
- C = Students must reach a level of competency to successfully complete this assessment.
-
Assessment criteria
Assessment criteria
High Distinction 85-100 Outstanding or exemplary performance in the following areas: interpretative ability; intellectual initiative in response to questions; mastery of the skills required by the subject, general levels of knowledge and analytic ability or clear thinking. Distinction 75-84 Usually awarded to students whose performance goes well beyond the minimum requirements set for tasks required in assessment, and who perform well in most of the above areas. Credit 65-74 Usually awarded to students whose performance is considered to go beyond the minimum requirements for work set for assessment. Assessable work is typically characterised by a strong performance in some of the capacities listed above. Pass 50-64 Usually awarded to students whose performance meets the requirements set for work provided for assessment. Fail 0-49 Usually awarded to students whose performance is not considered to meet the minimum requirements set for particular tasks. The fail grade may be a result of insufficient preparation, of inattention to assignment guidelines or lack of academic ability. A frequent cause of failure is lack of attention to subject or assignment guidelines. Quality assurance
For the purposes of quality assurance, Bond University conducts an evaluation process to measure and document student assessment as evidence of the extent to which program and subject learning outcomes are achieved. Some examples of student work will be retained for potential research and quality auditing purposes only. Any student work used will be treated confidentially and no student grades will be affected.
| Type | Task | % | Timing* | Outcomes assessed |
|---|---|---|---|---|
| Computer-Aided Examination (Closed) | Final Examination | 40% | Final Examination Period | 1,2,3,4,5,6 |
| Computer-Aided Examination (Closed) | Midterm exam | 40% | Week 6 (Mid-Semester Examination Period) | 1,2,3 |
| *Online Quiz | Aplia based 5 quizzes | 20% | Ongoing | 1,2,3,4,5,6 |
- * Assessment timing is indicative of the week that the assessment is due or begins (where conducted over multiple weeks), and is based on the standard University academic calendar
- C = Students must reach a level of competency to successfully complete this assessment.
Assessment criteria
| High Distinction | 85-100 | Outstanding or exemplary performance in the following areas: interpretative ability; intellectual initiative in response to questions; mastery of the skills required by the subject, general levels of knowledge and analytic ability or clear thinking. |
|---|---|---|
| Distinction | 75-84 | Usually awarded to students whose performance goes well beyond the minimum requirements set for tasks required in assessment, and who perform well in most of the above areas. |
| Credit | 65-74 | Usually awarded to students whose performance is considered to go beyond the minimum requirements for work set for assessment. Assessable work is typically characterised by a strong performance in some of the capacities listed above. |
| Pass | 50-64 | Usually awarded to students whose performance meets the requirements set for work provided for assessment. |
| Fail | 0-49 | Usually awarded to students whose performance is not considered to meet the minimum requirements set for particular tasks. The fail grade may be a result of insufficient preparation, of inattention to assignment guidelines or lack of academic ability. A frequent cause of failure is lack of attention to subject or assignment guidelines. |
Quality assurance
For the purposes of quality assurance, Bond University conducts an evaluation process to measure and document student assessment as evidence of the extent to which program and subject learning outcomes are achieved. Some examples of student work will be retained for potential research and quality auditing purposes only. Any student work used will be treated confidentially and no student grades will be affected.
Study Information
Submission procedures
Students must check the iLearn@Bond subject site for detailed assessment information and submission procedures.
Policy on late submission and extensions
A late penalty will be applied to all overdue assessment tasks unless an extension is granted by the subject coordinator. The standard penalty will be 10% of marks awarded to that assessment per day late with no assessment to be accepted seven days after the due date. Where a student is granted an extension, the penalty of 10% per day late starts from the new due date.
Academic Integrity
University’s Academic Integrity Policy defines plagiarism as the act of misrepresenting as one’s own original work: another’s ideas, interpretations, words, or creative works; and/or one’s own previous ideas, interpretations, words, or creative work without acknowledging that it was used previously (i.e., self-plagiarism). The University considers the act of plagiarising to be a breach of the Student Conduct Code and, therefore, subject to the Discipline Regulations which provide for a range of penalties including the reduction of marks or grades, fines and suspension from the University.
Bond University utilises Originality Reporting software to inform academic integrity.Feedback on assessment
Feedback on assessment will be provided to students within two weeks of the assessment submission due date, as per the Assessment Policy.
Accessibility and Inclusion Support
If you have a disability, illness, injury or health condition that impacts your capacity to complete studies, exams or assessment tasks, it is important you let us know your special requirements, early in the semester. Students will need to make an application for support and submit it with recent, comprehensive documentation at an appointment with a Disability Officer. Students with a disability are encouraged to contact the Disability Office at the earliest possible time, to meet staff and learn about the services available to meet your specific needs. Please note that late notification or failure to disclose your disability can be to your disadvantage as the University cannot guarantee support under such circumstances.
Additional subject information
As part of the requirements for Business School quality accreditation, the Bond Business School employs an evaluation process to measure and document student assessment as evidence of the extent to which program and subject learning outcomes are achieved. Some examples of student work will be retained for potential research and quality auditing purposes only. Any student work used will be treated confidentially and no student grades will be affected.
Subject curriculum
-
1. Introduction to economics
In this lecture students will: a) see how economists apply the methods of science b) consider how assumptions and models can shed light on the world c) learn two simple models – the circular-flow diagram and the production possibilities frontier d) distinguish between microeconomics and macroeconomics e) learn the difference between positive and normative statements (CH 1: only lessons 1-4,6,7 CH 2: Not including “Our first model” and “Our second model” on pages 25-29)
-
2. How the market operates: Determining Price and Quantity
In this lecture students will: a) learn what a competitive market is b) examine what determines the demand for a good in a competitive market c) examine what determines the supply of a good in a competitive market d) see how supply and demand together set the price of a good and the quantity sold e) consider the key role of prices in allocating scarce resources in market economies. (Ch. 4)
-
3. The responsiveness of demand and supply
In this lecture, students will: a) learn the meaning of the elasticity of demand b) examine what determines the elasticity of demand c) learn the meaning of the elasticity of supply d) examine what determines the elasticity of supply e) apply the concept of elasticity in three very different markets. (Ch. 5)
-
4. Government intervention and market failure
In this lecture, students will: a) examine the effects of government policies that place a ceiling on prices b) examine the effects of government policies that put a floor under prices c) consider how a tax on a good affects the price of the good and the quantity sold d) learn that taxes levied on buyers and taxes levied on sellers are equivalent e) see how the burden of a tax is split between buyers and sellers f) consider how a subsidy on a good affects the price of the good (Ch. 6&10)
-
5. Costs of Production
In this lecture, students will: a) examine what items are included in a firm’s costs of production b) analyse the link between a firm’s production process and its total costs c) learn the meaning of average total cost and marginal cost and how they are related d) consider the shape of a typical firm’s cost curves e) examine the relationship between short-run and long-run costs. (Ch. 13)
-
6. Firm behavior in Perfectly competitive markets
In this lecture, students will: a) learn what characteristics make a market competitive b) examine how competitive firms decide how much output to produce c) examine how competitive firms decide when to shut down production temporarily d) examine how competitive firms decide whether to exit or enter a market e) see how firm behaviour determines a market’s short-run and long-run supply curves. (Ch. 14)
-
7.Monopoly markets
In this lecture, students will: a) learn why some markets have only one seller b) analyse how a monopoly determines the quantity to produce and the price to charge c) see how the monopoly’s decisions affect economic wellbeing d) see why monopolies try to charge different prices to different customers. (Ch. 15)
-
8. Imperfectly competitive markets
In this lecture, students will: a) examine what outcomes are possible when a market is an oligopoly b) learn about the prisoners’ dilemma and how it applies to oligopoly and other issues. (Ch. 17: 17: only until “Game theory” on page 391 & 16: only until “Advertising” on page 376)
-
Midterm Exam
No class.
-
9. GDP and Economic Growth
In this lecture, students will: a) consider why an economy’s total income equals its total expenditure b) learn how gross domestic product (GDP) is defined and calculated c) see the breakdown of GDP into its four major components d) learn the distinction between real GDP and nominal GDP e) consider whether GDP is a good measure of economic wellbeing. (Ch24: not including “GDP deflator” & Ch26: not including “Free Trade”)
-
10. Unemployment
In this lecture, you will: a) find out what unemployment means, what the natural rate of unemployment is, and discuss its various types and causes b) learn about the data used to measure the amount of unemployment c) consider how ‘classical’ unemployment can result from the real wage being too high due to minimum-wage laws, union wage bargaining, or efficiency wages d) get to know how ‘frictional’ unemployment is driven by the process of job search (Ch. 28)
-
11. Inflation
In this lecture, students will: a) learn how the consumer price index (CPI) is constructed b) consider why the CPI is an imperfect measure of the cost of living c) compare the CPI and the GDP deflator as measures of the overall price level d) see how to use a price index to compare dollar figures from different times e) learn the distinction between real and nominal interest rates. (Ch25 & 30: page 720 “The costs of inflation” onwards & Ch24: only “GDP deflator”)
-
12. Aggregate Economy
In this lecture, students will: a) learn three key facts about short-run economic fluctuations b) consider how the economy in the short run differs from the economy in the long run c) develop a short-run theory called the model of aggregate demand and aggregate supply d) see how shifts in either aggregate demand or aggregate supply can cause recessions. (Ch. 33)
-
13. Monetary and Fiscal Policy
In this lecture, students will: a) consider what money is and what functions money has in the economy b) learn about the Reserve Bank of Australia c) examine how the banking system influences the amount of money in the economy d) see what tools the Reserve Bank of Australia uses to influence liquidity conditions in the economy. (Ch29: page 691 onwards but not including “Monetary policy in Australia today” & 34)
-
14. Macroeconomics in Open Economies
In this lecture, students will: a) learn how net exports measure the international flow of goods and services b) learn how net foreign investment measures the international flow of capital c) consider why net exports must always equal net foreign investment d) see how saving, domestic investment and net foreign investment are related e) learn the meaning of the nominal exchange rate and the real exchange rate (Ch31 & 32: not including “Trade Policy”)
-
15. International Trade and Trade Policy
In this lecture, students will: a) build a model to explain an open economy’s trade balance and exchange rate b) use the model to analyse the effects of government budget deficits c) use the model to analyse the macroeconomic effects of trade policies d) use the model to analyse political instability and capital flight. (Ch3 & 9 & 32: only “Trade Policy”)