This is an applications-oriented text that demystifies the linkages between monetary and fiscal policies and key macroeconomic variables such as income, unemployment, inflation and interest rates. Specially written "newspaper" articles simulate current macroeconomic news on asset-price bubbles, exchange rates, hyperinflation and more. Exercises and diagrams, and a global perspective - incorporating both developed and emerging economies - make this a broadly useful, real-world oriented text on a complex and shifting subject.

Inhalt

Foreword by Dr. W. Michael Cox.- About the Author.- Acknowledgments.- Introduction and Overview of the Second Edition.- National Income Accounts.- Budget Deficits, Trade Deficits and Global Capital Flows.- Aggregate Demand.- Demand Side Stabilization.- Long Term Interest Rates, the Yield Curve, and Hyperinflation.- ISLM.- The Classical Model.- The Keynesian Model.- The Supply Side Model and the New Economy.- Central Banks and Monetary Policy.- References.- Index.