– Rigorous explanation of economic theory and techniques, integrated with internationally sourced applied material
– Text has been rewritten line by line for maximum clarity, resulting in greater accessibility, and a substantially more succinct text
– Two new introductory chapters stressing the functions of market economies, and how economists study them
– Complete rewrite of chapter on economic policy stressing theoretical classes of market failure and sources of government failure
– Complete rewrite of explanation of national income and balance of payments accounts to conform to new international standard accounting framework
– Monetary policy analysis rewritten to reflect the modern reality that interest rates rather than the quantity of money are used as the central bank’s policy instrument
– Institutional arrangements for interest rate setting explained using both the Bank of England and the ECB as examples – so fully euro-friendly
– Large section on modern theories of wages
– Global examples and data charts, including international comparisons of inflation and unemployment, the Asia crisis, the UK minimum wage debate, and the EU Stability and Growth Pact
– In-text learning aids include chapter summaries, discussion questions, topics for review, and a thorough glossary of key terms