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Engineering Economy: Applying Theory to Practice, 2nd Edition By Ted G. Eschenbach, Oxford University Press, 2003
The subject of this review is the second edition textbook offered by Dr. Ted G. Eschenbach and Oxford University Press. One of the first challenges faced by an instructor will be presenting economic analysis theories, principles, and practices in such a way to be relevant and meaningful to students. There are only a finite number of basic topics in engineering economics that are appropriate for introductory level course work. Therefore, presentation of these topics could become the main selection criteria between texts. With the numerous engineering economic textbooks published it has become necessary for authors to make an effort to differentiate their product from the competition. Having used other texts I was pleased with the content and delivery method selected by the author. There were specific areas where my personal preferences differed but those were few and not a major stumbling block.
Chapters and topics are organized in a logical, straightforward manner. The author begins each chapter with a stated situation and solution, chapter objectives, and key words and concepts. Chapters 1, 2, and 3 introduce the student to economic concepts such as the time value of money, principles of economic decision-making, structure of problem-solving, and the concept of equivalence. Since engineering economics is a building block-type of course, the initial chapters must provide foundational components that address key issues and principles that will be carried forward throughout the text. I believe the author was successful in this undertaking.
The author devotes a detailed chapter 4 to the use of Microsoft(TM) Excel spreadsheets in economic analysis. The concepts introduced to this point are now incorporated into spreadsheet form. The students are guided through numerous detailed examples designed to demonstrate the practical use of what they have learned to this point. I believe these types of...