A practice-oriented learning system that breaks the traditional textbook mold.
To help the student focus on the most important concepts–and effectively practice application of those concepts–Foundations of Macroeconomics is structured around a Checklist/Checkpoint system. The result is a patient, confidence-building textbook that prepares the student to use economics in their everyday life, regardless of what their future career will be.
For a complete multimedia book tour of Bade/Parkin, Foundations of Economics 6e, Click Here
Chapter 1. Getting Started
Chapter 2. The U.S. and Global Economies
Chapter 3. The Economic Problem
Chapter 4. Demand and Supply
Chapter 5. GDP: A Measure of Total Production and Income
Chapter 6. Jobs and Unemployment
Chapter 7. The CPI and the Cost of Living
Chapter 8. Potential GDP and the Natural Unemployment Rate
Chapter 9. Economic Growth
Chapter 10. Finance, Saving, and Investment
Chapter 11. The Monetary System
Chapter 12. Money, Interest, and Inflation
Chapter 13. Aggregate Supply ad Aggregate Demand
Chapter 14. Aggregate Expenditure Multiplier
Chapter 15. The Short-Run Policy Tradeoff
Chapter 16. Fiscal Policy
Chapter 17. Monetary Policy
Chapter 18. International Trade Policy
Chapter 19. International Finance
Offer the latest content: New Features.
- Simplified chapter openers grab student attention and provide instant focus for the chapter. Each chapter opens with a question about a central issue that the chapter addresses and is illustrated with a carefully selected photograph.
- An Eye On box addresses and discusses the chapter-opener and an end-of-chapter problem. This is also available in the MyEconLab Homework and Test Manager, making the issue available for assignment with automatic grading. This feature:
- Enables students to get the point of the chapter quickly.
- Ties the chapter together.
- Helps instructors focus on a core issue in class and for practice.
- The Chapter Checkpoints (the last three pages of each chapter) have been thoroughly revised.
- The first page contains problems and applications for students to work on, which are replicated in the MyEconLab Study Plan.
- The second page contains problems and applications for instructors to assign as a homework, quiz, or test. Many of these problems and applications are new to the sixth edition and include mini-case studies from recent news stories.
- The third page contains a short multiple-choice quiz. This quiz, also available in MyEconLab for student practice, hits the high points of the chapter and enables students to test themselves on the types of questions they are likely to encounter on tests and exams.
The Checkpoints at the end of each major section of a chapter have been reorganized to separate practice with basic analysis and “In the News” applications. Worked solutions are provided for both types of questions.
Major Content Changes in Introductory Chapters
Chapter 1 has been reworked in order to strengthen the explanation and illustration of the economic way of thinking by placing the student center stage and focusing on the decision to remain in school or get a full-time job. The goal is to engage students from the outset of the course, grabbing their attention and showing them the relevance of economics and its place in everyday life. The explanation of the scientific method in economics has also been revised and improved.
Chapter 3 has a more gradual and fully illustrated explanation of the mutual gains from trade arising from comparative advantage and a new Eye On box on the power of specialization and trade through the classic story of the production of the pencil.
Major Content Changes in Macro Chapters
These chapters cover the macroeconomic events and debates triggered by the 2007 global financial crisis, the 2008-2009 recession, the stubbornly slow recovery, and the headwinds of the European debt problems of 2011. Policy features appear at every possible opportunity throughout these chapters. The following are the motivating questions and features of Eye On boxes and end-of-chapter problems in the macro chapters:
How do we track our economy’s booms and busts?
How long does it take to find a job?
Which movie really was the biggest box office hit?
Why do Americans earn more and produce more than Europeans?
Why are some nations rich and others poor?
What created the global financial crisis?
How does the Fed create money and regulate its quantity?
What causes inflation?
Why did the U.S. economy go into recession in 2008?
How big is the government expenditure multiplier?
Can we have low unemployment and low inflation?
Can fiscal stimulus end recession?
Did the Fed save us from another Great Depression?
Why has our dollar been sinking?
Chapter 25: Economic Growth has been thoroughly revised in the section on labor productivity growth. It contains the explanation of the effects on labor productivity around the productivity curve–the relationship between real GDP per hour of labor and capital per hour of labor. This change makes the treatment of this topic more mainstream and less reliant on the preceding chapter and potential GDP. It also makes the contrast between the effects of capital accumulation and technological change more vivid.
Chapter 27: The Monetary System now includes a description of QE2 and “operation twist.”
Chapter 29: Aggregate Supply and Aggregate Demand has been revised and contains a more graphic application section that shows how the AS-AD model explains economic growth, inflation, and the business cycle. This chapter also has a new explanation of “demand-pull” and “cost-push” inflation cycles. These applications and exercises using the AS-AD model provide additional practice in working with the model and show its relevance to the U.S. economy today.
Chapter 31: The Short-Run Policy Tradeoff includes an explanation of the danger of trying to lower the unemployment rate by stimulating aggregate demand.
Chapter 32: Fiscal Policy offers a new section on the Social Security and Medicare time-bomb and the challenge of addressing it. The chapter also now has an explanation of the distinction between a structural deficit and a cyclical deficit.