1. MANAGERIAL ECONOMICS
is a social science that helps to explain how resources such as labor, capital, land and money can be allocated efficiently.

2. ECONOMICS a rational choice to optimize resource allocation

3. human behavior in the context of emotions and cognitions.
PSYCHOLOGY
human behavior in the context of emotions and cognitions.

4. human behavior in the context of shared values of a relevant group.
CULTURE
human behavior in the context of shared values of a relevant group.

5. Demand Theory Production Theory Cost Theory Pricing Theory
MANAGERIAL ECONOMICS
Demand Theory Production Theory Cost Theory Pricing Theory

6. How is Managerial Economics useful?
Economic theory and methodology lay down rules for improving business and public policy decisions.

7. Evaluating Choice Alternatives
Managerial economics helps managers recognize how economic forces affect organizations and describes the economic consequences of managerial behavior. It also links economic concepts and quantitative methods to develop vital tools for managerial decision making.

8. Managerial Economics is a tool for improving management decision making.

9. Making the Best Decision
To establish appropriate decision rules, managers must understand the economic environment in which they operate.