Predict industry-level changes using demand and supply analysis.
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We have covered a lot of subjects. We would love to hear what your takeaway is for the following:
What things do you think you will use the most?
What did you find most interesting?
What did you never know before?
Looking back, here is a list of some of the concepts and skills we covered:
Use the rational-actor paradigm, identify problems, and then fix them.
Use benefit-cost analysis to evaluate decisions.
Use marginal analysis to make extent (how much) decisions.
Make profitable investment and shutdown decisions.
Set optimal prices and price discriminate.
Predict industry-level changes using demand and supply analysis.
Understand the long-run forces that erode profitability.
Develop long-run strategies to increase firm value.
Predict how your own actions will influence other people’s actions.
Bargain effectively.
Make decisions in uncertain environments.
Solve the problems caused by moral hazard and adverse selection.
Motivate employees to work in the firm’s best interests.
Motivate divisions to work in the best interests of the parent company.
Manage vertical relationships with upstream suppliers or downstream customers.
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