ESCP Europe

The number one product for the Intermediate Macro course, this text explains complex concepts with exceptional clarity. The new edition has updated coverage on income inequality, full coverage of the monetary system across two chapters, and an improved model of labor-force dynamics to explain the natural rate of unemployment. It is available in Achieve, which sets the standard for integrating activities, assessments, and analytics into your teaching. It brings together all of the features that instructors and students need ' an e-book, LearningCurve adaptive quizzing, and other instructional and application activities, assessments, and extensive instructor resources ' in a powerful platform.New in this edition: The classical model of national income is now developed over Chapters 3 and 4, rather than in a single chapter. This reorganisation allows the material on income inequality, previously in an appendix, to be moved into the body of the text. Material on the monetary system has been divided into two chapters. Chapter 5 presents a first look at the monetary system. The more detailed discussion of banking and the process of money creation is now presented in Chapter 20 as an advanced topic. This reorganisation streamlines the presentation for instructors who want to skip the details. Chapter 8 includes an improved model of labor-force dynamics to explain the natural rate of unemployment. The essence of the model is a matching function, which relates new hires to unemployment and job vacancies.

Part I. Introduction. The Science of macroeconomics ; The data of macroeconomics Part II. Classical Theory : The Economy in the Long Run. National income : How it is earned ; national Income: how it is spent ; A first look at the monetary system ; Inflation : Its causes, effects, and social costs ; The open economy ; The large open economy ; Unemployment and the labor market Part III. Growth Theory : The Economy in the Very Long Run. Capital accumulation as a source of growth ; Population growth and technological progress ; Growth empirics and policy Part IV. Business Cycle Theory : The Economy in the Short Run. Introduction to economic fluctuations ; Aggregate demand I : Building the IS-LM model ; Aggregate demand II : Applying the IS-LM model ; The open economy revisited : The Mundell-Fleming model and the exchange-rate regime ; A short-run model of the large open economy ; Aggregate supply and the short-run tradeoff between inflation and unemployment ; The mother of all models Part V. Topics in Macroeconomic Theory and Policy. A dynamic model of economic fluctuations ; Alternative perspectives on stabilization policy ; Time inconsistency and the tradoff between inflation and unemployment ; Government debt and budget deficits ; Banking and monetary policy ; The financial system : Opportunities and dangers ; The microfoundations of consumption and investment Epilogue. What we know, what we don't Glossary.