Brief Principles of Macroeconomics by N. Gregory Mankiw

By N. Gregory Mankiw

With its transparent and fascinating writing type, short rules OF MACROECONOMICS, 5E, is still essentially the most well known books on economics to be had this present day. Mankiw emphasizes fabric that you're prone to locate attention-grabbing concerning the economic system (particularly if you're learning economics for the 1st time), together with real-life situations, priceless proof, and the numerous methods fiscal suggestions play a job within the judgements you're making each day.

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22 CHAPTER 2 THINKING LIKE AN ECONOMIST For consumers of oil and oil products, such an event depresses living standards. For economic policymakers, it poses a difficult choice about how best to respond. But for economic scientists, the event provides an opportunity to study the effects of a key natural resource on the world’s economies. Throughout this book, therefore, we consider many historical episodes. These episodes are valuable to study because they give us insight into the economy of the past and, more important, because they allow us to illustrate and evaluate economic theories of the present.

2. Summarize, don’t highlight. Running a yellow marker over the text is too passive an activity to keep your mind engaged. Instead, when you come to the end of a section, take a minute and summarize what you just learned in your own words, writing your summary in the wide margins we’ve provided. When you’ve finished the chapter, compare your summaries with the one at the end of the chapter. Did you pick up the main points? 3. Test yourself. Throughout the book, Quick Quizzes offer instant feedback to find out if you’ve learned what you are supposed to.

PRINCIPLE 6: M ARKETS A RE USUALLY TO ORGANIZE ECONOMIC ACTIVITY A GOOD WAY The collapse of communism in the Soviet Union and Eastern Europe in the 1980s may be the most important change in the world during the past half century. Copyright 2009 Cengage Learning, Inc. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. CARTOON: FROM THE WALL STREET JOURNAL— PERMISSION, CARTOON FEATURES SYNDICATE 8 CHAPTER 1 TEN PRINCIPLES OF ECONOMICS Incentive Pay How people are paid affects their incentives and the decisions they make.

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