ECO 550 Discussion 121721(3)

Wow! You made it to the end. But it is not over. There is one more task.

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 investments and shutdown decisions.

· Set optimal prices and price discrimination.

· 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.