Economics Thirteenth Edition

Combining rigour with clarity, the Thirteenth Edition builds on the success of previous editions to offer a comprehensive introduction to micro and macroeconomics.

Major attention given to the decoupling of the price level and the inflation rate from variations in GDP and unemployment that occurred when the policy of inflation targeting was successfully adopted in the 1990s by many of the major developed countries, a decoupling that is rare in the macro theory and in macro textbooks.

Comprehensive coverage of the financial crisis and subsequent changes to the global economic landscape allows students to apply the economics they are learning to important contemporary issues.

The authors provide a consistent theoretical framework and relate it to a wide range of applied material making clear the relevance of the subject to the real world of business and policy.

New and updated global case studies give a broad, international perspective on economics and encourage readers to develop and contextualize their understanding of core themes.

Problem solving and numerical questions encourage readers to develop analytical skills.

New to this Edition

• Fully revised chapter on fiscal and monetary policy brings students up to date with key, real policy questions that have parallels in most major economies

• Greater coverage of quantitative easing and fiscal retrenchment enables students to understand current macro policy dilemmas

• A new chapter outlining the facts, and developing the theory needed to handle, the most profound change in economic policy and performance in the last 50 years: the successful adoption of a regime of inflation targeting

• An innovative macro section which teaches the theory as explaining three actual inflationary regimes: firstly the gold standard and Bretton Woods in which the inflation expectations were firmly anchored at, or close to, zero is covered by the basic macro that everyone must learn; secondly the period of ragged inflation which is covered by the standard extensions to cover inflation expectations; and thirdly the period of inflation targeting from 1992 to today which provides the context for the new chapter developing the variations of the basic model that are appropriate to a world in which inflation is successfully targeted at a low and fully expected rate