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Baye’s Managerial Economics and Business Strategy remains the best-selling managerial economics textbook. It was the first textbook to provide students with the tools from intermediate microeconomics, game theory, and industrial organization to make sound managerial decisions. Baye is known for his real-world examples, frontier research, inclusion of modern topics not found in other managerial books, as well as balanced coverage of traditional and modern microeconomic tools. The Sixth Edition retains all of these signature features, and it includes a number of new class-tested features. These include enhanced pedagogical features such as learning objectives, new and updated business applications, additional end-of-chapter problems, better prose, and updated data. Additionally, the Time Warner Case, introduced last edition, is strengthened in the Sixth Edition with detailed teaching notes and nine additional end-of-case problems.
From the Publisher
Content: Coverage of game theory, oligopoly, and information are unsurpassed in the managerial economics text marketplace.
Flexibility: Chapters 1-5 are basic tools that you'll find in all ME books; 6-13 are the innovative chapters. Instructors can EASILY skip any of 6-13 or change the order of presentation to design the right ME course for their and their students' needs.
Headlines are managerial problems in the form of vignettes that start each chapter. Headlines address real-world issues (many are based on actual popular press articles). They ask the student to analyze the problem based on the tools of the chapter. Answering the Headlines can be found at the end of each chapter.
Calculus and Non-Calculus Alternatives: The book has been designed for use by profs who want to integrate calculus AS WELL AS by those who do not require their students to use calculus. This is optional and very easy to skip.
Demonstration Problems are sprinkled throughout the narrative and answers to them also appear in the main text.
Discussion of readily-available, standard spreadsheet programs (like Excel or Quattro Pro) within the text so students can learn how to perform and interpret regressions.
End-of-Chapter Problems: Baye has added more than 200 eoc problems to this edition. Answers to select problems are presented in an appendix at the end of the book and the rest of the solutions can be found in the Instructor's Manual.
Content: Added a discussion of transfer pricing and gives a more detailed treatment of moral hazard, adverse selection, and price discrimination.
How to differentiate IRWIN's Managerial Economics books Maurice & Thomas, Baye, and Brickley et. al. While Maurice & Thomas is traditional in its presentation (emphasis on analytical tools such as optimization), Baye and Brickley et. al. minimize coverage of this information. Baye appeals to professors who want applied theory, game theory, and oligopoly and tends to approach the subject from a marketing and industrial organization viewpoint. Brickley et al.
present a strong organizational design framework, organizing the coverage around three fundamental concepts: incentives, performance evaluation and reward
structure. --This text refers to an alternate Hardcover edition.
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