Managerial Economics in Managerial Decision Making

Abstract

A change in hospital has been realized. The fact and the hospital history show that there has been a system change based on humanity to a business institution with a social mission. In this case, hospital manager, besides being able to understand economics, recommends to apply business principles. It is important to understand the managerial economics. Managerial economics is the microeconomics application in business and managerial economics applies economic theories and methods in decision-making in the business and management. More specifically, managerial economics uses the economic analysis tool and technique to analyze and solve the managerial problems.