EC404 Managerial Economics

for FA 2007

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EC 404 Managerial Economics


FA 2007 HOZ


Soule, Peter E.


Professor of Economics and Chair of Economics Department


Ph.D. Economics

Office Location

27A Mackay

Office Hours

Monday and Wednesday: 10:00-12:00 am & 4:30-5:30 pm

Daytime Phone


Other Phone

Cell: 913-486-5640


Class Days


Class Time



EC315 and CS140

Credit Hours



A. Ragsdale, Spreadsheet Modeling and Decision Analysis, 5th ed. Southwestern 2007.  ISBN 0-324-31256-3

B. Soule, Peter, Guide to Quantitative Research Methods Using SPSS Version 14.0 and Microsoft Excel   ISBN 978-007-339687-3 McGraw-Hill 7th ed. 2008.  This is referred to below as "GUIDE."  

C. Hacker, Diana. Rules for Writers or other APA style manual.

D. MS PowerPoint (PPT) The text comes with a CD-ROM that has PPT summaries of the chapters along with Excel work sheets for the problems. 

Textbooks can be purchased through the MBS bookstore

Textbooks can be purchased through the Parkville Bookstore

Additional Resources:

McAfee Memorial Library - Online information, links, electronic databases and the Online catalog. Contact the library for further assistance via email or at 800-270-4347.
Career Counseling - The Career Development Center (CDC) provides services for all stages of career development.  The mission of the CDC is to provide the career planning tools to ensure a lifetime of career success.
Park Helpdesk - If you have forgotten your OPEN ID or Password, or need assistance with your PirateMail account, please email or call 800-927-3024
Resources for Current Students - A great place to look for all kinds of information

Course Description:
This course uses linear reqression and linear programming computer packages to analyze various economic and business management problems. Prerequisites: EC141, EC142, and EC315. A second statistics course and CS140 may be substituted for EC315. 3:0:3

Educational Philosophy:

The purpose of this course is to educate, which requires two things to happen. The teacher must teach or facilitate learning and the student must learn the required materials. This requires feed back to the instructor on how the student is learning. This feedback occurs in written work and classroom discussion.

It is preferred that students ask questions during class as they arise. Often, a student will approach the instructor after class with a question that brings up a very important point that should have been addressed during class but the class is out the door. This is especially true with perceived calculation errors on the part of the instructor, which were placed on the black (or white) board and are therefore in everyone’s notes. If there was an error, it will be corrected. If not, there was confusion not only on the part of the student asking the question, but also others in the class, who saw the same apparent error but didn’t ask about it. Obviously, this calls for additional clarification on the part of the instructor.  No question is dumb and no student will be belittled for asking a question or making a comment.

The homework is intended to assess what students know and what they don’t. Perfection is not expected and the grading is somewhat inflated. Homework is graded based on effort while tests and papers are graded on achievement. If the student indicates a near total lack of understanding of assigned homework, the grading will become more realistic so that the student is not lulled into a false sense of mastery just before the test boom gets lowered. A second area where grading is benign is the Initial Topic Paper of the Term Project. It is expected that some student groups will have more difficulty absorbing the concepts of the Initial Topic Paper. However, it is still true that perfect or near-perfect homework and Initial Topic Papers will earn higher scores than less perfect ones. 

Learning Outcomes:
  Core Learning Outcomes

  1. Integrate economic and statistical theory to solve practical business-oriented problems.
  2. Conduct Regression Analysis using SPSS or Excel, and analyze the regression coefficients.
  3. Solve Linear Programming problems using Excel.
  4. Write a proposal for a research project for a statistical model selected by the student.

Core Assessment:

Class Assessment:

Tests are fixed per the schedule below. Class material will be presented in the order shown below but will deviate from the schedule as necessary.

(Wk) Date            Topic(s)                                                                                         Text Chapter

 (1) Aug 22       Intro to Regression                                       GUIDE, pp 1-5, 7-9, 101-110, 119-129, Chapter 13

 (2) Aug 29       Excel Regression                                                        GUIDE Chapter 10                                

 (3)   Sep 5        Conducting Regression Analysis                                             GUIDE Chapter 11

 (4) Sep 12       Statistical Significance and Excel                                           GUIDE Chapter 12

                           (Project Topic and Feasibility Paper Due)                        GUIDE Chapter 13

 (5) Sep 19       LinearProgramming                                                         Ragsdale 2, 3.0-3.7, 4.0-4.5.9

 (6) Sep 26       TEST 1

                           LP Applications                                                                                Ragsdale 3


 (7)   Oct 3         LP Applications continued                                                              Ragsdale 3

 (8) Oct 10        Network Modeling                                                                            Ragsdale 5


 (9) Oct 24        Network Modeling continued                                                          Ragsdale 5

(10) Oct 31        Integer Linear Programming                                                           Ragsdale 6

                           (Term Project Proposal Due)                                                Guide Chapter 14


(11) Nov 7         TEST 2  

                           Time Series Forecasting                                                               Ragsdale 11

(12) Nov 14       Goal Programming and Multiple Objective Optimization            Ragsdale 7                         

                           (Term Project Report Due)                                                    Guide Chapter 15

(13) Nov 21       Goal Programming and Multiple Objective Optimization            Ragsdale 7                         


(14) Nov 28       Nonlinear Programming                                                                  Ragsdale 8


(15)  Dec 5       Term Project Oral Presentations                                              Guide Chapter 16

(16) Dec 12     FINAL TEST                                                                         All Previous References


Grading Plan: A: 90% and up. B: 80-89%. C: 70-79%. D: 60-69%. F: below 60%.                      

                                   Evaluation Item                       Points

                      Homework and Case Studies            120                                     

                 Project Topic and Feasibility Paper          50                                      

                                          Test 1                                130                                     

                      Term Project Written Proposal            100                                     

                                          Test 2                                130                                                  

                        Term Project Written Report              100                                                   

                         Term Project Presentation                  70                                     

                                      Final Exam                            300                                     

                                                            TOTAL            1000 

The course grade for students will be based on the overall average of homework and tests taken during the course in accordance with the weighting of the various requirements as stated in the syllabus.

All final exams in all School of Business and Management courses will be comprehensive and will be closed book and closed notes. They will constitute 30% of the total course grade and will not be a take-home exam. They will be completed during the test week in the period designated by the registrar or by the Proctor in the case online courses. If calculators are allowed, they will not be multifunctional electronic devices that include features such as: phones, cameras, instant messaging, pagers, and so forth. Electronic Computers will not be allowed on final exams unless an exception is made by the Dean of the School of Business and Management.

Late Submission of Course Materials:

HOMEWORK: Completed homework is collected at the beginning of the class on the day it is due. After that time, up to the point at which the solution is distributed, the maximum homework grade will be 50%. Typically, the homework solution is distributed when homework is returned. After this point LATE HOMEWORK CAN EARN NOT MORE THAN 20% CREDIT.

   A student, who misses an exam, is allowed to make it up if their absence was excused before the test or is a genuine emergency. The makeup test will have a different problem section and will include subjects covered since the exam that was missed.

Classroom Rules of Conduct:

E-MAIL TO INSTRUCTOR: Always use the following subject line: EC604, First-Name, Last-Name, and (short) subject.  If you leave a message by voice mail or any other means be sure to include this information.

CELL PHONES and PAGERS. Turn off cell phones and pagers before class. Any one, who has a vital need for such devices during class, must discuss this with instructor before class. In this situation, if device has a vibrate mode, it must be used. The student must leave the room to take any message. Cell phones cannot be used during tests.


GRADING OF GROUP PROJECTS. The individual student’s grade will generally be the group grade unless there is evidence that a student is not sharing in the group effort, the student is absent, or is not paying attention to other presentations.

Academic Honesty:
Academic integrity is the foundation of the academic community. Because each student has the primary responsibility for being academically honest, students are advised to read and understand all sections of this policy relating to standards of conduct and academic life.   Park University 2007-2008 Undergraduate Catalog Page 85-86

Plagiarism involves the use of quotations without quotation marks, the use of quotations without indication of the source, the use of another's idea without acknowledging the source, the submission of a paper, laboratory report, project, or class assignment (any portion of such) prepared by another person, or incorrect paraphrasing. Park University 2007-2008 Undergraduate Catalog Page 85

Attendance Policy:
Instructors are required to maintain attendance records and to report absences via the online attendance reporting system.

  1. The instructor may excuse absences for valid reasons, but missed work must be made up within the semester/term of enrollment.
  2. Work missed through unexcused absences must also be made up within the semester/term of enrollment.
  3. Work missed through unexcused absences must also be made up within the semester/term of enrollment, but unexcused absences may carry further penalties.
  4. In the event of two consecutive weeks of unexcused absences in a semester/term of enrollment, the student will be administratively withdrawn, resulting in a grade of "F".
  5. A "Contract for Incomplete" will not be issued to a student who has unexcused or excessive absences recorded for a course.
  6. Students receiving Military Tuition Assistance or Veterans Administration educational benefits must not exceed three unexcused absences in the semester/term of enrollment. Excessive absences will be reported to the appropriate agency and may result in a monetary penalty to the student.
  7. Report of a "F" grade (attendance or academic) resulting from excessive absence for those students who are receiving financial assistance from agencies not mentioned in item 5 above will be reported to the appropriate agency.

Park University 2007-2008 Undergraduate Catalog Page 87-88

Disability Guidelines:
Park University is committed to meeting the needs of all students that meet the criteria for special assistance. These guidelines are designed to supply directions to students concerning the information necessary to accomplish this goal. It is Park University's policy to comply fully with federal and state law, including Section 504 of the Rehabilitation Act of 1973 and the Americans with Disabilities Act of 1990, regarding students with disabilities. In the case of any inconsistency between these guidelines and federal and/or state law, the provisions of the law will apply. Additional information concerning Park University's policies and procedures related to disability can be found on the Park University web page: .


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Last Updated:8/13/2007 12:46:13 AM