Excel as a Teaching Platform for Managerial Economics

Abstract

Managerial economics is one of the most applied areas of economics. Managerial economics teaches students how to use the tools of economics to make decisions. As a result, this class is most effective if it simulates what students face when working in a business setting. Students should therefore be taught using the same toolkit on which business managers rely. Today, that means using Excel as the platform on which to teach the course. Excel is integrated into the course content not only during computer labs and in homework but also during class. Such integration requires more than a set of spreadsheet exercises to accompany a text; it requires Excel programs that faculty can use to interactively introduce concepts during lectures. This article describes a series of exercises and programs that teach students how to use Excel, and how to use Excel to analyze data needed to make reasoned decisions.