Principles of Economics
Version 10.0
By John B. Taylor and Akila Weerapana
Included Supplements
Key Features
- Over 140 hyperlinks to brief streaming video lectures scripted and recorded by John Taylor. These videos align with the narrative to introduce, explain, and illustrate key economic concepts. They enrich online courses, engage students, and reinforce or augment many of the presented topics
- Stimulating vignettes begin each chapter and resonate with readers
- Crisp, clean, and conversational writing style holds students' interest
- Quickly establishes clear understandings of fundamental topics such as competitive markets, equilibrium and market efficiency, and the policy implications of business cycles
- Clear and well-crafted graphs, tables, and summaries make it easy to read and understand key data
- Many graphs are hyperlinked to the underlying Federal Reserve Economic Data (FRED) source. Students can become familiar with manipulating data and easily link to the most updated data for each graph
- Chapter-end reading assignments based on real-life cases are contemporary and compelling
- Carefully selected, revised, and tested problems at the end of every chapter are grounded in real-world situations
- Key Term definitions appear in the margins and are hyperlinked online
- Customizable
Students
- Online Access Price
- $49.95
- Color Printed Textbook with Online Access Price
- $86.95
Principles of Economics is suitable for introductory economics courses usually called principles of economics, economics principles, introductory economics, or similar titles, taught primarily at the undergraduate level at two- and four-year colleges and universities. The course may also be taught at the MBA level. This full-length volume encompasses both microeconomics and macroeconomics and is typically used in a full-year sequence. Separate volumes of this book titled Principles of Microeconomics and Principles of Macroeconomics are available for semester- or quarter-long courses.
Principles of Economics is co-written by two master teachers, one of whom is a globally recognized policy expert and eminent scholar. This highly regarded textbook features a remarkably accessible presentation grounded in the central idea of economics: that people make purposeful choices with scarce resources and interact with others when they make these choices. The text provides engagingly simple and precise descriptions of why markets are efficient when the incentives are right and inefficient when the incentives are wrong. In addition to their impeccable credentials, both authors possess recent and extensive classroom-based experiences. Their many interactions with today’s learners give rise to authentic, real-world examples that enliven the book’s narrative and readily connect with students.
New in This Version
- All macroeconomic data and charts have been updated to at least the end of 2022, and in some cases to the first quarter of 2023
- Captures the ongoing resolution of uncertainty generated by the peak of the COVID-19 global pandemic. Places the pandemic into proper context of several other key macroeconomic disruptions to the U.S. and global economies over the past fifty years
- New section with a double-auction simulation enables students to better understand how the interactions of firms and individuals can allocate goods and determine equilibrium prices (Chapter 7)
- New section on monopsony markets reflects recent scholarship on the real-world impact of minimum wage hikes. Presents an alternative view of the impact of minimum wages when the firms who demand labor have market power. Complements discussions of monopoly power in which the sellers of goods and services have market power. In both cases, a regulated price, such as a minimum wage, can have very different welfare effects than in a competitive market (Chapter 13)
- The previous version’s Chapter 28 on global economic growth is now Chapter 22 to more logically follow Chapter 21 on productivity and economic growth
- Fully revamped discussion of how the Federal Reserve conducts monetary policy. Instead of focusing on bank-by-bank deposit expansion, the chapter now discusses how the Fed uses the interest rate on reserve balances to move the federal funds rate to its desired target rate (Chapter 23)
- Presents an analysis of the return of high inflation to the U.S. economy in 2021 and 2022 using the economic fluctuations model. Illustrates how policy responses to the pandemic, and the pandemic itself, could have contributed to the subsequent rise in inflation (Chapter 26)
- Updated discussion of the different fiscal interventions that recent presidential administrations put in place to help the economy recover from the pandemic-related shutdowns and disruptions (Chapter 27)
- De-emphasizes the discussion of money demand. Focuses instead on how the Fed used QE during the pandemic. Describes the challenges the Fed faced post-pandemic unwinding those interventions, reducing the size of its balance sheet, and raising the federal funds rate well above zero to address inflation (Chapter 28)
- About the Authors
- Acknowledgments
- Preface
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Chapter 1: The Central Idea
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Chapter 2: Observing and Explaining the Economy
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Chapter 3: The Supply and Demand Model
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Chapter 4: Subtleties of the Supply and Demand Model
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Chapter 5: The Demand Curve and the Behavior of Consumers
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Chapter 6: The Supply Curve and the Behavior of Firms
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Chapter 7: The Efficiency of Markets
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Chapter 8: Costs and the Changes at Firms Over Time
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Chapter 9: The Rise and Fall of Industries
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Chapter 10: Monopoly
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Chapter 11: Product Differentiation, Monopolistic Competition, and Oligopoly
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Chapter 12: Antitrust Policy and Regulation
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Chapter 13: Labor Markets
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Chapter 14: Taxes, Transfers, and Income Distribution
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Chapter 15: Public Goods, Externalities, and Government Behavior
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Chapter 16: Capital and Financial Markets
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Chapter 17: Macroeconomics: The Big Picture
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Chapter 18: Measuring the Production, Income, and Spending of Nations
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Chapter 19: The Spending Allocation Model
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Chapter 20: Unemployment and Employment
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Chapter 21: Productivity and Economic Growth
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Chapter 22: Economic Growth around the World
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Chapter 23: Money and Inflation
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Chapter 24: The Nature and Causes of Economic Fluctuations
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Chapter 25: The Economic Fluctuations Model
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Chapter 26: Using the Economic Fluctuations Model
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Chapter 27: Fiscal Policy
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Chapter 28: Monetary Policy
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Chapter 29: International Trade
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Chapter 30: International Finance
FlatWorld Homework
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Instructor’s Manual
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PowerPoint Lecture Notes
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