Includes bibliographical references and index.

Contents: 1. Introduction: thinking like an economist: Economics and economic reasoning -- The Production possibility model, trade and globalization -- Economic institutions -- Supply and demand -- Using supply and demand -- 2. Microeconomics: the power of traditional economic models: Describing supply and demand: elasticities -- Taxation and government intervention -- Market failure versus government failure -- Politics and economics: the case of agricultural markets -- International economic policy issues: Comparative advantage, exchange rates and globalization -- International trade policy -- Production and cost analysis: Production and cost analysis I -- Production and cost analysis II -- Market structure: Perfect competition -- Monopoly and monopolistic competition -- Oligopoly and antitrust policy -- Real-world competition and technology -- Factor markets: Work and labor market -- Nonwage and asset income: rents, profits and interest -- Who gets what? the distribution of income -- Choice and decision making: The Logic of individual choice: the foundation of supply and demand -- Game theory, strategic decision making and behavioral economics -- Modern economic thinking: Thinking like a modern economist -- Behavioral economics and modern economic policy -- Microeconomic policy, economic reasoning and beyond -- 3. Macroeconomics: Microeconomics basics: Economic growth, business cycles and unemployment -- Measuring and describing the aggregate economy -- Policy models: The Keynesian short-run policy model: demand-side policies -- The Multiplier model -- The Classical long-run policy model: growth and supply-side policies -- Finance, money and the economy: The Financial sector and the economy -- Monetary policy -- Financial crises, panics and unconventional monetary policy -- Taxes, budgets and fiscal policy: Deficits and debt: the austerity debate -- The Fiscal policy dilemma -- Macroeconomic problems: Jobs and unemployment -- Inflation, deflation and macro policy -- International macroeconomic policy issues: International financial policy -- Macro policy in a global setting -- Structural stagnation and globalization -- Macro policy in developing countries --