Includes glossary and index.

Contents: Part one: Introduction: The automobile and economics -- Thinking like an economist -- Exchange and production -- Demand, supply, and prices -- Using demand and supply -- Time and risk -- The public sector -- Part two: Perfect markets: The consumption decision -- The savings decision -- A student's guide to investing -- The labor supply decision -- Production decision -- Competitive equilibrium -- Part three: Imperfect markets: Monopolies and imperfect competition -- Oligopolies -- Government policies toward competition -- Technological change -- Imperfect information in the product market -- Imperfections in the labor market -- Financing and controlling the firm -- Managing the firm -- Externalities, merits goods, public decision making -- Taxation and redistribution -- Part four: Aggregate markets: Macroeconomic goals and measures --An overview of macroeconomics -- The aggregate labor market -- Aggregate demand -- Consumption and investment -- Government expenditures and trade -- Aggregate demand and supply -- Sticky prices -- Part five: Money's role: Money, banking, and credit -- Monetary theory and policy -- -- Monetary policy: the international side -- price stability -- Part six: Policies for growth and stability: Growth and productivity -- The problem of the twin deficits -- Differing approaches to macroeconomic policy -- Alternative economic systems -- Development.