Includes index.

Previous ed.: 2000.

Part 1: Introduction -- Economics and the economy -- Tools of economic analysis -- Demand, supply, and the market -- Part 2: Positive microeconomics -- Elasticities of demand and supply -- Consumer choice and demand decisions -- Introducing supply decisions -- Costs and supply -- Perfect competition and pure monopoly -- Market structure and imperfect competition -- The labour market -- Different types of labour -- Factor markets and income distribution -- Risk and information -- The information economy -- Part 3: Welfare economics -- Welfare economics -- Government spending and revenue -- Industrial policy and competition policy -- Natural monopoly: public or private? -- Part 4: Macroeconomics -- Introduction to macroeconomics -- Output and aggregate demand -- Fiscal policy and foreign trade -- Money and banking -- Interest rates and monetary transmission -- Monetary and fiscal policy -- Aggregate supply, prices, and adjustment to shocks -- Inflation, expectations, and credibility -- Unemployment -- Exchange rates and the balance of payments -- Open economy macroeconomics -- Economic growth -- Business cycles -- Macroeconomics: taking stock -- Part 5: The world economy -- International trade -- Exchange rate regimes -- European integration -- Less developed countries.

This is a text for all students of introductory economics at undergraduate or postexperience level. It may be used for a one year course and includes a recommended contents outline for a shortened or modular course.