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دانلود کتاب Foundations of Economics, 8th Edition

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Foundations of Economics, 8th Edition

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Foundations of Economics, 8th Edition

ویرایش: 8 
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ISBN (شابک) : 2016043511, 9780134492001 
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تعداد صفحات: 996 
زبان: English 
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Front Cover
Title Page
Copyright Page
About the Authors
Brief Contents
Contents
Part 1 Introduction
	Chapter 1 Getting Started
		Chapter Checklist
		1.1 Definition and Questions
			Scarcity
			Economics Defined
			What, How, and For Whom?
			Can the Pursuit of Self-Interest Be in the Social Interest?
			Checkpoint 1.1
		1.2 The Economic Way of Thinking
			A Choice Is a Tradeoff
			Cost: What You Must Give Up
			Benefit: What You Gain
			Rational Choice
			How Much? Choosing at the Margin
			Choices Respond to Incentives
			Checkpoint 1.2
		1.3 Economics as a Life Skill
			Economics as a Decision Tool
			Economics as a Social Science
			Economics as an Aid to Critical Thinking
			Checkpoint 1.3
		Chapter Summary
		Chapter Checkpoint
		Appendix: Making and Using Graphs
			Basic Idea
			Interpreting Data Graphs
			Interpreting Graphs Used in Economic Models
			The Slope of a Relationship
			Relationships Among More Than Two Variables
			Appendix Checkpoint
			Eye on the Benefit and Cost of School Did You Make the Right Decision?
			Eye on Your Life Your Time Allocation
			Eye on the Past Adam Smith and the Birth of Economics as a Social Science
	Chapter 2 The U.S. and Global Economies
		Chapter Checklist
		2.1 What, How, and for Whom?
			What Do We Produce?
			How Do We Produce?
			For Whom Do We Produce?
			Checkpoint 2.1
		2.2 The Global Economy
			The People
			The Economies
			What in the Global Economy
			How in the Global Economy
			For Whom in the Global Economy
			Checkpoint 2.2
		2.3 The Circular Flows
			Households and Firms
			Markets
			Real Flows and Money Flows
			Governments
			Governments in the Circular Flow
			Circular Flows in the Global Economy
			Checkpoint 2.3
		Chapter Summary
		Chapter Checkpoint
			Eye on the U.S. Economy What We Produce
			Eye on the Past Changes in What We Produce
			Eye on the U.S. Economy Changes in How We Produce in the Information Economy
			Eye on the Dreamliner Who Makes the Dreamliner?
			Eye on the Global Economy Differences in How We Produce
			Eye on Your Life the U.S. and Global Economies in Your Life
			Eye on the Past Growing Government
			Eye on the Global Economy The Ups and Downs in International Trade
	Chapter 3 The Economic Problem
		Chapter Checklist
		3.1 Production Possibilities
			Production Possibilities Frontier
			How the PPF Illustrates Scarcity and Its Consequences
			Checkpoint 3.1
		3.2 Opportunity Cost
			The Opportunity Cost of a Smartphone
			Opportunity Cost and the Slope of the PPF
			Opportunity Cost Is a Ratio
			Increasing Opportunity Costs Are Everywhere
			Your Increasing Opportunity Cost
			Checkpoint 3.2
		3.3 Economic Growth
			Checkpoint 3.3
		3.4 Specialization and Trade
			Absolute Advantage and Comparative Advantage
			Comparative Advantage: A Model
			Achieving Gains from Trade
			The Economy’s Production Possibilities Frontier
			Checkpoint 3.4
		Chapter Summary
		Chapter Checkpoint
			Eye on Your Life Your Production Possibilities Frontier
			Eye on the Environment Is Wind Power Free?
			Eye on the U.S. Economy Expanding Our Production Possibilities
			Eye on the Global Economy Hong Kong’s Rapid Economic Growth
			Eye on the U.S. Economy No One Knows How to Make a Pencil
			Eye on Your Life Your Comparative Advantage
	Chapter 4 Demand and Supply
		Chapter Checklist
		Competitive Markets
		4.1 Demand
			The Law of Demand
			Demand Schedule and Demand Curve
			Individual Demand and Market Demand
			Changes in Demand
			Change in Quantity Demanded Versus Change in Demand
			Checkpoint 4.1
		4.2 Supply
			The Law of Supply
			Supply Schedule and Supply Curve
			Individual Supply and Market Supply
			Changes in Supply
			Change in Quantity Supplied Versus Change in Supply
			Checkpoint 4.2
		4.3 Market Equilibrium
			Price: A Market’s Automatic Regulator
			Predicting Price Changes: Three Questions
			Effects of Changes in Demand
			Effects of Changes in Supply
			Effects of Changes in Both Demand and Supply
			Checkpoint 4.3
		Chapter Summary
		Chapter Checkpoint
			Eye on Your Life Understanding and Using Demand and Supply
			Eye on the Global Economy The Markets for Cocoa and Chocolate
			Eye on the Price of Coffee Why Did the Price of Coffee Rise in 2014?
Part 2 A Closer Look at Markets
	Chapter 5 Elasticities of Demand and Supply
		Chapter Checklist
		5.1 The Price Elasticity of Demand
			Percentage Change in Price
			Percentage Change in Quantity Demanded
			Comparing the Percentage Changes in Price and Quantity
			Elastic and Inelastic Demand
			Influences on the Price Elasticity of Demand
			Computing the Price Elasticity of Demand
			Interpreting the Price Elasticity of Demand Number
			Elasticity Along a Linear Demand Curve
			Total Revenue and the Price Elasticity of Demand
			Checkpoint 5.1
		5.2 The Price Elasticity of Supply
			Elastic and Inelastic Supply
			Influences on the Price Elasticity of Supply
			Computing the Price Elasticity of Supply
			Checkpoint 5.2
		5.3 Cross Elasticity and Income Elasticity
			Cross Elasticity of Demand
			Income Elasticity of Demand
			Checkpoint 5.3
		Chapter Summary
		Chapter Checkpoint
			Eye on the Global Economy Price Elasticities of Demand
			Eye on Elasticity at the Coffee Shop What Do You Do When Starbucks Raises the Price of a Latte?
			Eye on the U.S. Economy Two Applications of the Price Elasticity of Demand
			Eye on Your Life Your Price Elasticities of Demand
	Chapter 6 Efficiency and Fairness of Markets
		Chapter Checklist
		6.1 Allocation Methods and Efficiency
			Resource Allocation Methods
			Using Resources Efficiently
			Checkpoint 6.1
		6.2 Value, Price, and Consumer Surplus
			Demand and Marginal Benefit
			Consumer Surplus
			Checkpoint 6.2
		6.3 Cost, Price, and Producer Surplus
			Supply and Marginal Cost
			Producer Surplus
			Checkpoint 6.3
		6.4 Are Markets Efficient?
			Marginal Benefit Equals Marginal Cost
			Total Surplus Is Maximized
			The Invisible Hand
			Market Failure
			Sources of Market Failure
			Alternatives to the Market
			Checkpoint 6.4
		6.5 Are Markets Fair?
			It’s Not Fair If the Rules Aren’t Fair
			It’s Not Fair If the Result Isn’t Fair
			Compromise
			Checkpoint 6.5
		Chapter Summary
		Chapter Checkpoint
			Eye on the U.S. Economy the Invisible Hand and e-Commerce
			Eye on Price Gouging Should Price Gouging Be Illegal?
			Eye on Your Life Allocation Methods, Efficiency, and Fairness
Part 3 How Governments Influence the Economy
	Chapter 7 Government Actions in Markets
		Chapter Checklist
		7.1 Price Ceilings
			A Rent Ceiling
			Are Rent Ceilings Efficient?
			Are Rent Ceilings Fair?
			If Rent Ceilings Are So Bad, Why Do We Have Them?
			Checkpoint 7.1
		7.2 Price Floors
			The Minimum Wage
			Is the Minimum Wage Efficient?
			Is the Minimum Wage Fair?
			If the Minimum Wage Is So Bad, Why Do We Have It?
			Checkpoint 7.2
		7.3 Production Quotas
			Production Quota: An Example
			Checkpoint 7.3
		Chapter Summary
		Chapter Checkpoint
			Eye on the U.S. Economy Minimum Wages and Employment
			Eye on Price Regulation Can Congress Repeal the Law of Market Forces?
			Eye on the Global Economy Production Quotas
			Eye on Your Life Price Ceilings and Price Floors You Encounter
	Chapter 8 Taxes
		Chapter Checklist
		8.1 Taxes on Buyers and Sellers
			Tax Incidence
			Taxes and Efficiency
			Tax Burden
			Incidence, Inefficiency, and Elasticity
			Incidence, Inefficiency, and the Elasticity of Demand
			Incidence, Inefficiency, and the Elasticity of Supply
			Checkpoint 8.1
		8.2 Income Taxes and Social Security Taxes
			The Effects of the Income Tax
			The Social Security Tax
			Checkpoint 8.2
		8.3 Fairness and the Big Tradeoff
			The Benefits Principle
			The Ability-to-Pay Principle
			Ability to Pay and Tax Progressivity
			The Big Tradeoff and Alternative Tax Proposals
			Checkpoint 8.3
		Chapter Summary
		Chapter Checkpoint
			Eye on the U.S. Economy Taxes in the United States Today
			Eye on Congress Does Congress Decide Who Pays the Taxes?
			Eye on the Past The Origins and History of the U.S. Income Tax
			Eye on Your Life Tax Freedom Day
			Eye on the U.S. Economy The Progressive Income Tax
	Chapter 9 Global Markets in Action
		Chapter Checklist
		9.1 How Global Markets Work
			International Trade Today
			What Drives International Trade?
			Why the United States Imports T-shirts
			Why the United States Exports Airplanes
			Checkpoint 9.1
		9.2 Winners, Losers, and Net Gains from Trade
			Gains and Losses from Imports
			Gains and Losses from Exports
			Checkpoint 9.2
		9.3 International Trade Restrictions
			Tariffs
			Import Quotas
			Other Import Barriers
			Export Subsidies
			Checkpoint 9.3
		9.4 The Case Against Protection
			Three Traditional Arguments for Protection
			Four Newer Arguments for Protection
			Why Is International Trade Restricted?
			Checkpoint 9.4
		Chapter Summary
		Chapter Checkpoint
			Eye on the U.S. Economy U.S. Exports and Imports
			Eye on Globalization Who Wins and Who Loses from Globalization?
			Eye on the Past The History of U.S. Tariffs
			Eye on Your Life International Trade
Part 4 Market Failure and Public Policy
	Chapter 10 Externalities
		Chapter Checklist
		Externalities in Our Daily Lives
			Negative Production Externalities
			Positive Production Externalities
			Negative Consumption Externalities
			Positive Consumption Externalities
		10.1 Negative Externalities: Pollution
			Private Costs and Social Costs
			Production and Pollution: How Much?
			Establish Property Rights
			Mandate Clean Technology
			Tax or Cap and Price Pollution
			Checkpoint 10.1
		10.2 Positive Externalities: Education
			Private Benefits and Social Benefits
			Government Actions in the Face of External Benefits
			Checkpoint 10.2
		Chapter Summary
		Chapter Checkpoint
			Eye on Your Life Externalities in Your Life
			Eye on the U.S. Economy U.S. Air Pollution Trends
			Eye on Climate Change How Can We Limit Carbon Emissions?
	Chapter 11 Public Goods and Common Resources
		Chapter Checklist
		11.1 Classifying Goods and Resources
			Excludable
			Rival
			A Fourfold Classification
			Checkpoint 11.1
		11.2 Public Goods and The Free-Rider Problem
			The Free-Rider Problem
			The Marginal Benefit from a Public Good
			The Marginal Cost of a Public Good
			The Efficient Quantity of a Public Good
			Private Provision: Underproduction
			Public Provision: Efficient Production
			Obstacles to Efficient Public Provision
			Checkpoint 11.2
		11.3 The Tragedy of the Commons
			Unsustainable Use of a Common Resource
			Inefficient Use of a Common Resource
			Using the Commons Efficiently
			Checkpoint 11.3
		Chapter Summary
		Chapter Checkpoint
			Eye on the Past Is a Lighthouse a Public Good?
			Eye on Your Life A Student’s Free-Rider Problem and a Market Solution
			Eye on the U.S. Infrastructure Should America Spend More on Transportation Infrastructure?
			Eye on the Past The Commons of England’s Middle Ages
			Eye on the Global Economy The North Atlantic Cod Tragedy of the Commons
			Eye on the Global Economy ITQs Work
	Chapter 12 Private Information and Healthcare Markets
		Chapter Checklist
		12.1 The Lemons Problem and Its Solution
			A Market for Used Cars with a Lemons Problem
			A Used-Car Market with Dealers’ Warranties
			Checkpoint 12.1
		12.2 Information Problems in Insurance Markets
			Insurance Markets
			Asymmetric Information in Insurance
			Screening in Insurance Markets
			Separating Equilibrium with Screening
			Checkpoint 12.2
		12.3 The Economics of Healthcare
			Healthcare Market Failure
			Alternative Public Choice Solutions
			A Reform Idea?
			Checkpoint 12.3
		Chapter Summary
		Chapter Checkpoint
			Eye on the Market for Used Cars How Do You Avoid Buying a Lemon?
			Eye on the U.S. Economy Insurance in the United States
			Eye on the U.S. Economy Healthcare in the United States: A Snapshot
			Eye on the Global Economy Healthcare Expenditures and Health Outcomes
			Eye on Your Life Signaling Your Ability
Part 5 A Closer Look at Decision Makers
	Chapter 13 Consumer Choice and Demand
		Chapter Checklist
		13.1 Consumption Possibilities
			The Budget Line
			A Change in the Budget
			Changes in Prices
			Prices and the Slope of the Budget Line
			Checkpoint 13.1
		13.2 Marginal Utility Theory
			Total Utility
			Marginal Utility
			Graphing Tina’s Utility Schedules
			Maximizing Total Utility
			Finding an Individual Demand Curve
			Checkpoint 13.2
		13.3 Efficiency, Price, and Value
			Consumer Efficiency
			The Paradox of Value
			Checkpoint 13.3
		Chapter Summary
		Chapter Checkpoint
		Appendix: Indifference Curves
			An Indifference Curve
			Marginal Rate of Substitution
			Consumer Equilibrium
			Deriving the Demand Curve
		Appendix Checkpoint
			Eye on the U.S. Economy Relative Prices on the Move
			Eye on the Past Jeremy Bentham, William Stanley Jevons, and the Birth of Utility
			Eye on Song Downloads and Streaming How Much Would You Pay for a Song?
			Eye on Your Life Do You Maximize Your Utility?
	Chapter 14 Production and Cost
		Chapter Checklist
		14.1 Economic Cost and Profit
			The Firm’s Goal
			Accounting Cost and Profit
			Opportunity Cost
			Economic Profit
			Checkpoint 14.1
			Short Run and Long Run
		14.2 Short-Run Production
			Total Product
			Marginal Product
			Average Product
			Checkpoint 14.2
		14.3 Short-Run Cost
			Total Cost
			Marginal Cost
			Average Cost
			Why the Average Total Cost Curve Is U-Shaped
			Cost Curves and Product Curves
			Shifts in the Cost Curves
			Checkpoint 14.3
		14.4 Long-Run Cost
			Plant Size and Cost
			The Long-Run Average Cost Curve
			Checkpoint 14.4
		Chapter Summary
		Chapter Checkpoint
			Eye on Your Life Your Average and Marginal Grades
			Eye on Retailers’ Costs Which Store Has the Lower Costs: Walmart or 7-Eleven?
Part 6 Prices, Profits, and Industry Performance
	Chapter 15 Perfect Competition
		Chapter Checklist
		Market Types
			Perfect Competition
			Other Market Types
		15.1 A Firm’s Profit-Maximizing Choices
			Price Taker
			Revenue Concepts
			Profit-Maximizing Output
			Marginal Analysis and the Supply Decision
			Temporary Shutdown Decision
			The Firm’s Short-Run Supply Curve
			Checkpoint 15.1
		15.2 Output, Price, and Profit In The Short Run
			Market Supply in the Short Run
			Short-Run Equilibrium in Normal Times
			Short-Run Equilibrium in Good Times
			Short-Run Equilibrium in Bad Times
			Checkpoint 15.2
		15.3 Output, Price, and Profit In The Long Run
			Entry and Exit
			The Effects of Exit
			Change in Demand
			Technological Change
			Is Perfect Competition Efficient?
			Is Perfect Competition Fair?
			Checkpoint 15.3
		Chapter Summary
		Chapter Checkpoint
			Eye on Record Stores Where Have All the Record Stores Gone?
			Eye on Your Life the Perfect Competition That You Encounter
	Chapter 16 Monopoly
		Chapter Checklist
		16.1 Monopoly and How it Arises
			No Close Substitute
			Barrier to Entry
			Monopoly Price-Setting Strategies
			Checkpoint 16.1
		16.2 Single-Price Monopoly
			Price and Marginal Revenue
			Marginal Revenue and Elasticity
			Output and Price Decision
			Checkpoint 16.2
		16.3 Monopoly and Competition Compared
			Output and Price
			Is Monopoly Efficient?
			Is Monopoly Fair?
			Rent Seeking
			Checkpoint 16.3
		16.4 Price Discrimination
			Price Discrimination and Consumer Surplus
			Profiting by Price Discriminating
			Perfect Price Discrimination
			Price Discrimination and Efficiency
			Checkpoint 16.4
		16.5 Monopoly Regulation
			Efficient Regulation of a Natural Monopoly
			Second-Best Regulation of a Natural Monopoly
			Checkpoint 16.5
		Chapter Summary
		Chapter Checkpoint
			Eye on the U.S. Economy Information-Age Monopolies
			Eye on the U.S. Economy Airline Price Discrimination
			Eye on Microsoft Are Microsoft’s Prices Too High?
			Eye on Your Life Monopoly in Your Everyday Life
	Chapter 17 Monopolistic Competition
		Chapter Checklist
		17.1 What is Monopolistic Competition?
			Describing Monopolistic Competition
			Identifying Monopolistic Competition
			Checkpoint 17.1
		17.2 Output and Price Decisions
			The Firm’s Profit-Maximizing Decision
			Profit Maximizing Might Be Loss Minimizing
			Long Run: Zero Economic Profit
			Monopolistic Competition and Perfect Competition
			Is Monopolistic Competition Efficient?
			Checkpoint 17.2
		17.3 Innovation and Advertising
			Design and Quality Decision
			Advertising
			The Demand for Advertising
			The Supply of Advertising
			Equilibrium and Efficiency in the Advertising Market
			Checkpoint 17.3
		Chapter Summary
		Chapter Checkpoint
			Eye on the U.S. Economy Examples of Monopolistic Competition
			Eye on Smartphones Which Smartphone?
			Eye on Your Life Some Selling Costs You Pay
	Chapter 18 Oligopoly
		Chapter Checklist
		18.1 What Is Oligopoly?
			Small Number of Firms
			Barriers to Entry
			Identifying Oligopoly
			Checkpoint 18.1
		18.2 The Oligopolists’ Dilemma
			Monopoly Outcome
			Perfect Competition Outcome
			Other Possible Cartel Breakdowns
			The Oligopoly Cartel Dilemma
			Checkpoint 18.2
		18.3 Game Theory
			What Is a Game?
			The Prisoners’ Dilemma
			The Duopolists’ Dilemma
			The Payoff Matrix
			Advertising and Research Games in Oligopoly
			Repeated Games
			Is Oligopoly Efficient?
			Checkpoint 18.3
		18.4 Antitrust Law
			The Antitrust Laws
			Three Antitrust Policy Debates
			Recent Antitrust Showcase: The United States Versus Microsoft
			Merger Rules
			Checkpoint 18.4
		Chapter Summary
		Chapter Checkpoint
			Eye on the U.S. Economy Examples of Oligopoly
			Eye on the Global Economy The OPEC Global Oil Cartel
			Eye on Your Life A Game You Might Play
			Eye on the Wireless Oligopoly Is Four Too Few?
			Eye on the U.S. Economy No Wireless Service Merger
Part 7 Incomes and Inequality
	Chapter 19 Markets for Factors of Production
		Chapter Checklist
		The Anatomy of Factor Markets
		19.1 The Demand for A Factor of Production
			Value of Marginal Product
			A Firm’s Demand for Labor
			A Firm’s Demand for Labor Curve
			Changes in the Demand for Labor
			Checkpoint 19.1
		19.2 Labor Markets
			The Supply of Labor
			Influences on the Supply of Labor
			Competitive Labor Market Equilibrium
			Labor Unions
			Checkpoint 19.2
		19.3 Capital and Natural Resource Markets
			Capital Markets
			Land Markets
			Nonrenewable Natural Resource Markets
			Checkpoint 19.3
		Chapter Summary
		Chapter Checkpoint
			Eye on the Coach Why Is a Coach Worth $7 Million?
			Eye on Your Life Job Choice and Income Prospects
			Eye on the Global Economy Oil and Metal Prices
	Chapter 20 Economic Inequality
		Chapter Checklist
		20.1 Measuring Economic Inequality
			Lorenz Curves
			Inequality over Time
			Poverty
			Economic Mobility
			Checkpoint 20.1
		20.2 How Economic Inequality Arises
			Human Capital
			Discrimination
			Financial and Physical Capital
			Entrepreneurial Ability
			Personal and Family Characteristics
			Checkpoint 20.2
		20.3 Income Redistribution
			How Governments Redistribute Income
			The Scale of Income Redistribution
			Why We Redistribute Income
			The Major Welfare Challenge
			Checkpoint 20.3
		Chapter Summary
		Chapter Checkpoint
			Eye on the Global Economy Global Inequality
			Eye on Inequality Who Are the Rich and the Poor?
			Eye on the U.S. Economy Does Education Pay?
			Eye on the U.S. Economy Sex and Race Earnings Differences
			Eye on Your Life What You Pay and Gain Through Redistribution
Part 8 Monitoring the Macroeconomy
	Chapter 21 GDP: A Measure of Total Production and Income
		Chapter Checklist
		21.1 GDP, Income, and Expenditure
			GDP Defined
			Circular Flows in the U.S. Economy
			Expenditure Equals Income
			Checkpoint 21.1
		21.2 Measuring U.S. GDP
			The Expenditure Approach
			The Income Approach
			GDP and Related Measures of Production and Income
			Real GDP and Nominal GDP
			Calculating Real GDP
			Using the Real GDP Numbers
			Checkpoint 21.2
		21.3 The Uses and Limitations of Real GDP
			The Standard of Living over Time
			Tracking the Course of the Business Cycle
			The Standard of Living Among Countries
			Goods and Services Omitted from GDP
			Other Influences on the Standard of Living
			Checkpoint 21.3
		Chapter Summary
		Chapter Checkpoint
		Appendix: Measuring Real GDP
			The Problem With Base Year Prices
			Value Production in the Prices of Adjacent Years
			Appendix Checkpoint
				Eye on the U.S. Economy Is a Computer Program an Intermediate Good or a Final Good?
				Eye on Booms and Busts How Do We Track Economic Booms and Busts?
				Eye on Your Life Making GDP Personal
				Eye on the Global Economy Which Country Has the Highest Standard of Living?
	Chapter 22 Jobs and Unemployment
		Chapter Checklist
		22.1 Labor Market Indicators
			Current Population Survey
			Population Survey Criteria
			Three Labor Market Indicators
			Alternative Measures of Unemployment
			Checkpoint 22.1
		22.2 Labor Market Trends and Fluctuations
			Unemployment Rate
			The Participation Rate
			Alternative Measures of Unemployment
			Checkpoint 22.2
		22.3 Unemployment and Full Employment
			Frictional Unemployment
			Structural Unemployment
			Cyclical Unemployment
			“Natural” Unemployment
			Unemployment and Real GDP
			Checkpoint 22.3
		Chapter Summary
		Chapter Checkpoint
			Eye on the U.S. Economy The Current Population Survey
			Eye on the Global Economy Unemployment and Labor Force Participation
			Eye on the U.S. Economy How Long Does it Take to Find a Job?
			Eye on Full Employment Are We Back at Full Employment?
			Eye on Your Life Your Labor Market Status and Activity
	Chapter 23 The CPI and the Cost of Living
		Chapter Checklist
		23.1 The Consumer Price Index
			Reading the CPI Numbers
			Constructing the CPI
			The CPI Market Basket
			The Monthly Price Survey
			Calculating the CPI
			Measuring Inflation and Deflation
			The Price Level, Inflation, and Deflation in the United States
			Checkpoint 23.1
		23.2 The CPI and Other Price Level Measures
			Sources of Bias in the CPI
			The Magnitude of the Bias
			Two Consequences of the CPI Bias
			Alternative Consumer Price Indexes
			Checkpoint 23.2
		23.3 Nominal and Real Values
			Dollars and Cents at Different Dates
			Nominal and Real Values in Macroeconomics
			Nominal GDP and Real GDP
			Nominal Wage Rate and Real Wage Rate
			Nominal Interest Rate and Real Interest Rate
			Checkpoint 23.3
		Chapter Summary
		Chapter Checkpoint
			Eye on the Past 700 Years of Inflation and Deflation
			Eye on the U.S. Economy Measuring and Forecasting Inflation: The Sticky-Price CPI
			Eye on the U.S. Economy Deflating the GDP Balloon
			Eye on the Past The Nominal and Real Wage Rates of Presidents of the United States
			Eye on Box Office Hits Which Movie Really Was the Biggest Box Office Hit?
			Eye on Your Life A Student’s CPI
Part 9 The Real Economy
	Chapter 24 Potential GDP and the Natural Unemployment Rate
		Chapter Checklist
		Macroeconomic Approaches and Pathways
			The Three Main Schools of Thought
			Today’s Consensus
			The Road Ahead
		24.1 Potential GDP
			The Production Function
			The Labor Market
			Checkpoint 24.1
		24.2 The Natural Unemployment Rate
			Job Search
			Job Rationing
			Checkpoint 24.2
		Chapter Summary
		Chapter Checkpoint
			Eye on the U.S. Economy The Lucas Wedge and the Okun Gap
			Eye on the Global Economy Potential GDP in the United States and the European Union
			Eye on Potential GDP Why Do Americans Earn More and Produce More Than Europeans?
			Eye on the Past The Natural Unemployment Rate over Seven Decades
			Eye on the Global Economy Unemployment Benefits and the Natural Unemployment Rate
			Eye on the U.S. Economy The Federal Minimum Wage
			Eye on Your Life Natural Unemployment
	Chapter 25 Economic Growth
		Chapter Checklist
		25.1 The Basics of Economic Growth
			Calculating Growth Rates
			The Magic of Sustained Growth
			Checkpoint 25.1
		25.2 Labor Productivity Growth
			Labor Productivity
			Saving and Investment in Physical Capital
			Expansion of Human Capital and Discovery of New Technologies
			Combined Influences Bring Labor Productivity Growth
			Checkpoint 25.2
		25.3 Causes and Effects of Economic Growth
			Old Growth Theory
			New Growth Theory
			Economic Growth and the Distribution of Income
			Checkpoint 25.3
		25.4 Achieving Faster Growth
			Preconditions for Economic Growth
			Policies to Achieve Faster Growth
			How Much Difference Can Policy Make?
			Checkpoint 25.4
		Chapter Summary
		Chapter Checkpoint
			Eye on the Past How Fast Has Real GDP per Person Grown?
			Eye on the U.s. Economy U.S. Growth Is Slowing
			Eye on the U.s. Economy U.S. Labor Productivity Growth Since 1960
			Eye on the U.S. Economy The Changing Shares in the Gains from Economic Growth
			Eye on Your Life How You Influence and Are Influenced by Economic Growth
			Eye on Rich and Poor Nations Why Are Some Nations Rich and Others Poor?
	Chapter 26 Finance, Saving, and Investment
		Chapter Checklist
		26.1 Financial Institutions and Financial Markets
			Some Finance Definitions
			Markets for Financial Capital
			Financial Institutions
			Insolvency and Illiquidity
			Interest Rates and Asset Prices
			Checkpoint 26.1
		26.2 The Loanable Funds Market
			Flows in the Loanable Funds Market
			The Demand for Loanable Funds
			The Supply of Loanable Funds
			Equilibrium in the Loanable Funds Market
			Changes in Demand and Supply
			Checkpoint 26.2
		26.3 Government in Loanable Funds Market
			A Government Budget Surplus
			A Government Budget Deficit
			Checkpoint 26.3
		Chapter Summary
		Chapter Checkpoint
			Eye on the U.S. Economy Interest Rate Patterns
			Eye on the U.S. Economy The Loanable Funds Market in a Financial Crisis
			Eye on Your Life Your Participation in the Loanable Funds Market
			Eye on Financial Markets Why Have Interest Rates Been So Low?
Part 10 The Money Economy
	Chapter 27 The Monetary System
		Chapter Checklist
		27.1 What is Money?
			Definition of Money
			The Functions of Money
			Money Today
			Official Measures of Money: M1 and M2
			Checks, Credit Cards, Debit Cards, and Mobile Wallets
			An Embryonic New Money: E-Cash
			Checkpoint 27.1
		27.2 The Banking System
			Commercial Banks
			Thrift Institutions
			Money Market Funds
			Checkpoint 27.2
		27.3 The Federal Reserve System
			The Structure of the Federal Reserve
			The Fed’s Policy Tools
			How the Fed’s Policy Tools Work
			Checkpoint 27.3
		27.4 Regulating the Quantity of Money
			Creating Deposits by Making Loans
			How Open Market Operations Change the Monetary Base
			The Multiplier Effect of an Open Market Operation
			The Money Multiplier
			Checkpoint 27.4
		Chapter Summary
		Chapter Checkpoint
			Eye on the Past The “Invention” of Banking
			Eye on the U.S. Economy Commercial Banks Under Stress in the Financial Crisis
			Eye on Your Life Money and Your Role in Its Creation
			Eye on Creating Money How Does the Fed Create Money and Regulate Its Quantity?
	Chapter 28 Money, Interest, and Inflation
		Chapter Checklist
		Where We Are and Where We’re Heading
			The Real Economy
			The Money Economy
			Real and Money Interactions and Policy
		28.1 Money and the Interest Rate
			The Demand for Money
			Changes in the Demand for Money
			The Supply of Money
			The Nominal Interest Rate
			Changing the Interest Rate
			Checkpoint 28.1
		28.2 Money, the Price Level, and Inflation
			The Money Market in the Long Run
			A Change in the Quantity of Money
			The Price Level in a Baby-Sitting Club
			The Quantity Theory of Money
			Inflation and the Quantity Theory of Money
			Hyperinflation
			Checkpoint 28.2
		28.3 The Cost of Inflation
			Tax Costs
			Shoe-Leather Costs
			Confusion Costs
			Uncertainty Costs
			How Big Is the Cost of Inflation?
			Checkpoint 28.3
		Chapter Summary
		Chapter Checkpoint
			Eye on the U.S. Economy Credit Cards and Money
			Eye on Your Life Money Holding and Fed Watching
			Eye on Inflation What Causes Inflation?
			Eye on the Past Hyperinflation in Germany in the 1920s
Part 11 Economic Fluctuations
	Chapter 29 Aggregate Supply and Aggregate Demand
		Chapter Checklist
		29.1 Aggregate Supply
			Aggregate Supply Basics
			Changes in Aggregate Supply
			Checkpoint 29.1
		29.2 Aggregate Demand
			Aggregate Demand Basics
			Changes in Aggregate Demand
			The Aggregate Demand Multiplier
			Checkpoint 29.2
		29.3 Explaining Economic Trends and Fluctuations
			Macroeconomic Equilibrium
			Three Types of Macroeconomic Equilibrium
			Economic Growth and Inflation Trends
			The Business Cycle
			Inflation Cycles
			Deflation and the Great Depression
			Checkpoint 29.3
		Chapter Summary
		Chapter Checkpoint
			Eye on the U.S. Economy U.S. Economic Growth, Inflation, and the Business Cycle
			Eye on Your Life Using the AS-AD Model
			Eye on the Business Cycle Why Did the U.S. Economy Go into Recession in 2008?
	Chapter 30 Aggregate Expenditure Multiplier
		Chapter Checklist
		30.1 Expenditure Plans and Real GDP
			The Consumption Function
			Imports and Real GDP
			Checkpoint 30.1
		30.2 Equilibrium Expenditure
			Induced Expenditure and Autonomous Expenditure
			Aggregate Planned Expenditure and Real GDP
			Equilibrium Expenditure
			Convergence to Equilibrium
			Checkpoint 30.2
		30.3 Expenditure Multipliers
			The Basic Idea of the Multiplier
			The Size of the Multiplier
			The Multiplier and the MPC
			The Multiplier, Imports, and Income Taxes
			Business-Cycle Turning Points
			Checkpoint 30.3
		30.4 The AD Curve and Equilibrium Expenditure
			Deriving the AD Curve from Equilibrium Expenditure
			Checkpoint 30.4
		Chapter Summary
		Chapter Checkpoint
			Eye on the U.S. Economy The U.S. Consumption Function
			Eye on the Past Say’s Law and Keynes’ Principle of Effective Demand
			Eye on Your Life Looking for Multipliers
			Eye on the Multiplier How Big Is the Government Expenditure Multiplier?
	Chapter 31 The Short-Run Policy Tradeoff
		Chapter Checklist
		31.1 The Short-Run Phillips Curve
			Aggregate Supply and the Short-Run Phillips Curve
			Aggregate Demand Fluctuations
			Why Bother with the Phillips Curve?
			Checkpoint 31.1
		31.2 Short-Run and Long-Run Phillips Curves
			The Long-Run Phillips Curve
			Expected Inflation
			The Natural Rate Hypothesis
			Changes in the Natural Unemployment Rate
			Have Changes in the Natural Unemployment Rate Changed the Tradeoff?
			Checkpoint 31.2
		31.3 Influencing Inflation and Unemployment
			Influencing the Expected Inflation Rate
			Targeting the Unemployment Rate
			Checkpoint 31.3
		Chapter Summary
		Chapter Checkpoint
			Eye on the Global Economy Inflation and Unemployment
			Eye on the Past The U.S. Phillips Curve
			Eye on the Past A Live Test of the Natural Rate Hypothesis
			Eye on the Tradeoff Can We Have Low Unemployment and Low Inflation?
			Eye on Your Life The Short-Run Tradeoff in Your Life
Part 12 Macroeconomic Policy
	Chapter 32 Fiscal Policy
		Chapter Checklist
		32.1 The Federal Budget
			The Institutions and Laws
			Budget Balance and Debt
			The Federal Budget in Fiscal 2017
			A Fiscal Policy Challenge
			Generational Accounting
			Checkpoint 32.1
		32.2 Fiscal Stimulus
			Fiscal Policy and Aggregate Demand
			Automatic Fiscal Policy
			Cyclical and Structural Budget Balances
			Discretionary Fiscal Policy
			A Successful Fiscal Stimulus
			Limitations of Discretionary Fiscal Policy
			Checkpoint 32.2
		32.3 The Supply Side: Potential GDP and Growth
			Full Employment and Potential GDP
			Fiscal Policy, Employment, and Potential GDP
			Fiscal Policy and Potential GDP: A Graphical Analysis
			Taxes, Deficits, and Economic Growth
			The Supply-Side Debate
			Long-Run Fiscal Policy Effects
			Checkpoint 32.3
		Chapter Summary
		Chapter Checkpoint
			Eye on the Global Economy The U.S. Budget in Global Perspective
			Eye on the Past Federal Tax Revenues, Outlays, Deficits, and Debt
			Eye on the U.S. Economy Fiscal and Generational Imbalances
			Eye on the U.S. Economy The U.S. Structural and Cyclical Budget Balances
			Eye on Fiscal Stimulus Can Fiscal Stimulus End a Recession?
			Eye on the Global Economy Some Real-World Tax Wedges
			Eye on Your Life Your Views on Fiscal Policy and How Fiscal Policy Affects You
	Chapter 33 Monetary Policy
		Chapter Checklist
		33.1 How The Fed Conducts Monetary Policy
			Monetary Policy Objectives
			Operational “Maximum Employment” Goal
			Operational “Stable Prices” Goal
			Responsibility for Monetary Policy
			Policy Instrument
			Hitting the Federal Funds Rate Target
			Restoring Financial Stability in a Financial Crisis
			Checkpoint 33.1
		33.2 Monetary Policy Transmission
			Quick Overview
			Interest Rate Changes
			Exchange Rate Changes
			Money and Bank Loans
			The Long-Term Real Interest Rate
			Expenditure Plans
			The Fed Fights Recession
			The Fed Fights Inflation
			Loose Links and Long and Variable Lags
			A Final Reality Check
			Checkpoint 33.2
		33.3 Alternative Monetary Policy Strategies
			An Interest Rate Rule
			A Monetary Base Rule
			Inflation Targeting
			Money Targeting Rule
			Checkpoint 33.3
		Chapter Summary
		Chapter Checkpoint
			Eye on the Fed in a Crisis Did the Fed Save Us From Another Great Depression?
			Eye on the U.S. Economy The Fed’s Decisions Versus Two Rules
			Eye on the Global Economy Inflation Targeting Around the World
			Eye on Your Life Your Views on Monetary Policy and How Monetary Policy Affects You
	Chapter 34 International Finance
		Chapter Checklist
		34.1 Financing International Trade
			Balance of Payments Accounts
			Borrowers and Lenders, Debtors and Creditors
			Current Account Balance
			Checkpoint 34.1
		34.2 The Exchange Rate
			Demand in the Foreign Exchange Market
			The Law of Demand for Foreign Exchange
			Changes in the Demand for Dollars
			Supply in the Foreign Exchange Market
			The Law of Supply of Foreign Exchange
			Changes in the Supply of Dollars
			Market Equilibrium
			Exchange Rate Expectations
			Purchasing Power Parity
			Monetary Policy and the Exchange Rate
			Pegging the Exchange Rate
			The People’s Bank of China in the Foreign Exchange Market
			Checkpoint 34.2
		Chapter Summary
		Chapter Checkpoint
			Eye on the U.S. Economy The U.S. Balance of Payments
			Eye on the Global Economy Current Account Balances Around the World
			Eye on the Dollar Why Does Our Dollar Fluctuate?
			Eye on the Global Economy Purchasing Power Parity
			Eye on the Global Economy the Managed Yuan
			Eye on Your Life Your Foreign Exchange Transactions
Glossary
Index
Photo Credits




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