Economic Foundations for Engineering Decisions

Define scarcity, opportunity cost, and trade-offs in the context of engineering projects.

Distinguish between accounting costs and economic costs in project evaluation.

Apply the concept of marginal analysis to engineering decision-making.

Identify sunk costs and explain why they should be ignored in forward-looking decisions.

Define the law of supply and the law of demand, and illustrate them using curves.

Identify the key determinants that cause shifts in supply and demand curves for technology products.

Determine equilibrium price and quantity where supply and demand curves intersect.

Analyze the impact of shifts in supply or demand on equilibrium in technology markets.