University of Canberra - Introduction to Economics (11175)

Studying economics will give you a good understanding of current economic challenges and equip you with the essential technical skills and framework to address them. This unit will introduce you to basic concepts in microeconomics and macroeconomics and their application to real world phenomena. In the microeconomics part, you will study the behaviour of individual economic units (such as households and firms) in the market and how government policies affect them. You will also learn about key macroeconomic indicators such as inflation and unemployment and how macroeconomic policies can be used to achieve national economic objectives. You will develop an insight into the economic way of thinking and learn how economics can be used to analyse every day economic problems and inform policy.

After successful completion of this unit, you will be able to:

• demonstrate how businesses can use economic models in their decision making;
• identify what determines the demand and supply for goods and services and explain how changes in these factors affect the market equilibrium price and quantity;
• analyse how government intervention in the market, for example through imposition of taxes or price ceilings, affect the behaviour of consumers and producers;
• analyse efficient production decisions under different types of market structures; and identify when and why markets fail to perform efficiently;
• describe macroeconomic aggregates such as GDP, unemployment, and inflation, and their limitations as a measure of the economic performance of a nation;
• and, review and communicate the outcome of economic research and analysis.

Business Decision Making