Managerial Economics – ESA, Beirut

This course provides an overview of core economic concepts and how they relate to senior executive management. Particular focus will be placed on the theory and practice of internal markets and how organisations have harnessed the knowledge and incentives provided by market mechanisms. Group work will focus on an analysis and assessment of the macro context for a relevant country, looking at monetary and fiscal policy as well as a broader set of social and environmental indicators.

Course textbook:

Course handouts: TBA

Assessment instructions: TBA

Pre class activities
All cases need to be read and prepared in advance.
Day 1: Micro
1. Incentives matter* (+)

2. Understanding cost* (+)

3. Auctions (+)

    • Hild, M., Dwidevy, A., and Raj, A., 2004, “The Biggest Auction Ever: 3G Licensing in Western Europe”, Darden Business Publishing (£)
    • Discussion question: What are the alternatives to auctions?
    • Textbook: Chapter 3.1, 3.2, 3.3

4. Group work

5. INternal markets (+)

Extra activity: The Dutch flower auction

Day 2: Macro: closed economy
6 & 7. Monetary policy* (+)

    • “The Euro in Crisis: Decision Time at the European Central Bank” Harvard Business School case no. 9-711-049 (£)
    • The ECB During the Crisis, July 2021
    • Textbook reference: Chapter 8

8 & 9. Fiscal policy* (+)

10. Macro Policy Workshop (+)

After class you should watch this video and pass this quiz.

Extra activity: NGDP Masterclass

Day 3: Macro: wider issues
11. Macro models (+)

12. International economics (+)

13 & 14. Group work

15. Group presentations


Cases marked with a pound sign (£) are available via the learning platform.