Contents Note: Each chapter begins with a Preview and includes a Summary, Key Terms, Exercises, and Internet Exercises/Resources. I. Introduction to the Price System 1. Economics: The World Around You The Definition of Economics The Economic Approach Economic Insight: "Free" Air? Economically Speaking: "Pumped Up Over Cheap Gas?" Appendix to Chapter 1: Working with Graphs Reading Graphs Constructing a Graph Slopes 2. Choice, Opportunity Costs, and Specialization Opportunity Costs Specialization and Trade Economically Speaking: "The Car Sector Braces for Stiffer Competition" 3. Markets, Demand and Supply, and the Price System Markets Demand Supply Equilibrium: Putting Demand and Supply Together Economic Insight: "The Foreign Exchange Market" Economically Speaking: "A Sleuth for Landlords with Eviction in Mind" 4. The Market System and the Private Sector The Market System Households Business Firms The International Sector Linking the Sectors Economic Insight: "Adam Smith" Economic Insight: "The Successful Entrepreneur (Sometimes It''s Better to Be Lucky Than Good)" Economically Speaking: "Zooming in on Wills" 5. The Public Sector The Circular Flow The Role of Government in the Market System Overview of the United States Government Government in Other Economies Economic Insight: "Government Creates a Market for Fishing Rights" Economically Speaking: "A Big ''Nein'' to Deutsche Telekom; Telecommunications: Germany Still Doesn''t Have a Completely Open Market" II. Macroeconomic Basics 6. National Income Accounting Measures of Output and Income Nominal and Real Measures Flows of Income and Expenditures Economic Insight: "The Value of Homemaker Services" Economic Insight: "The Consumer Price Index" Economically Speaking: "Consumer Price Index Carries Clout" 7. An Introduction to the Foreign Exchange Market and the Balance of Payments The Foreign Exchange Market The Balance of Payments Economic Insight: "Active Trading Around the World" Economic Insight: "Black Markets in Foreign Exchange" Economically Speaking: "High Gas Prices, Weak Euro Result in Room Availability, Less-Crowded Facilities at Popular U.S. National Parks" 8. Unemployment and Inflation Business Cycles Unemployment Inflation Economic Insight: "The Underground Economy" Economically Speaking: "Greenspan: Skills Wanted; Fed Chief Says Job Training Key to Prosperity in U.S" 9. Macroeconomic Equilibrium: Aggregate Demand and Supply Aggregate Demand, Aggregate Supply, and Business Cycles Factors That Influence Aggregate Demand The Aggregate Demand Curve Aggregate Supply Aggregate Demand and Supply Equilibrium Economic Insight: "How Lack of Information in the Short Run Affects Wages in the Long Run" Economic Insight: "OPEC and Aggregate Supply" Economically Speaking: "Opinions Differ in Consumer Confidence Polls" 10. Aggregate Expenditures Consumption and Saving Investment Government Spending Net Exports The Aggregate Expenditures Function Economic Insight: "Permanent Income, Life Cycles, and Consumption" Economically Speaking: "U.S. Trade Deficit with China Widens; Record Gap Shows up as Summit Nears" Appendix to Chapter 10: An Algebraic Model of Aggregate Expenditures 11. Incomes and Expenditures Equilibrium Equilibrium Income and Expenditures Changes in Equilibrium Income and Expenditures Aggregate Expenditures and Aggregate Demand Economic Insight: "John Maynard Keynes" Economic Insight: "The Paradox of Thrift" Economically Speaking:: "A Hard Landing in the U.S. "Will Hit Asia"" Appendix to Chapter 11: An Algebraic Model of Income and Expenditures Equilibrium III. Macroeconomic Policy 12. Fiscal Policy Fiscal Policy and Aggregate Demand Fiscal Policy in the United States Fiscal Policy in Different Countries Economic Insight: "Supply-Side Economics and the Laffer Curve" Economic Insight: "The Taxpayer''s Federal Government Credit Card Statement" Economically Speaking: "Overflowing Government Coffers Should Purchase Fresh Thinking" Appendix to Chapter 12: An Algebraic Examination of the Balanced-Budget Change in Fiscal Policy 13. Money and Banking What Is Money? Banking Banks and the Money Supply Economic Insight: "Islamic Banking" Economically Speaking: "They Love Our Money" 14. Monetary Policy The Federal Reserve System Implementing Monetary Policy Monetary Policy and Equilibrium Income Economically Speaking: "What''s on a 20 Dollar Bill?" Economically Speaking: "Fed Gives Interest Rates Another Nudge: Central Bank Concerned about Inflation, But Stocks Roar Higher" 15. Macroeconomic Policy: Tradeoffs, Expectations, Credibility, and Sources of Business Cycles The Phillips Curve The Role of Expectations Credibility and Time Inconsistency Sources of Business Cycles The Link Between Monetary and Fiscal Policies Economic Insight: "The Natural Rate of Unemployment" Economically Speaking: "Greenspan Grilled: Congress Questions Inflation, Rates, Dollar" 16. Macroeconomic Viewpoints: New Keynesian, Monetarist, and New Classical Keynesian Economics Monetarist Economics New Classical Economics Comparison and Influence Economic Insight: "Milton Friedman" Economically Speaking: "Sun Is Finally Setting on Economic Conservation" 17. Macroeconomic Links Between Countries Prices and Exchange Rates Interest Rates and Exchange Rates Policy Effects International Policy Coordination Economically Speaking: "Expats'' Currency Conundrum/American Investors Try to Predict Future of the Dollar" IV. Economic Growth and Development 18. Economic Growth Defining Economic Growth The Determinants of Growth Productivity Economic Insight: "Technological Advance: The Change in the Price of Light" Economically Speaking: "U.S. Updating Its Economic Measurements" 19. Development Economics The Developing World Obstacles to Growth Development Strategies Foreign Investment and Aid Economics in Transition from Socialism Economic Insight: "Development and Cultural Values in Sub-Saharan Africa" Economically Speaking: "We Need the Will to Feed the Hungry" V. Issues in International Trade and Finance 20. World Trade Equilibrium An Overview of World Trade An Example of International Trade Equilibrium Sources of Comparative Advantage Economic Insight: "The Dutch Disease" Economically Speaking: "China Trade Will Come Back to Haunt Us" 21. International Trade Restrictions Arguments for Protection Tools of Policy Preferential Trade Agreements Economic Insight: "Smoot-Hawley Tariff" Economically Speaking: "Imports and Competition in Domestic Markets" 22. Exchange-Rate Systems and Practices Past and Current Exchange-Rate Arrangements Fixed or Floating Exchange Rates The Choice of an Exchange-Rate System Economic Insight: "The IMF and the World Bank" Economically Speaking: "E.U. Extends Invitations to 6 Countries: Turkey on Hold"Boyes, William J. is the author of 'Macroeconomics??' with ISBN 9780618127948 and ISBN 0618127941.