Microeconomics and the Market for Computer Services

Abstract

Microeconomics has much to offer the computer services manager. This article reviews some of the traditional topics in microeconomics and shows bow they can be applied to the market for computer services The topics covered include supply, demand, costs, and pricing The most significant application of microeconomics is m setting prices—so much so that microeconomics is frequently called “price theory” Accordingly, the thrust of the article is towards providing a sound framework for the pricing of computer services. © 1975, ACM. All rights reserved.