Unit One 1
Text:What Is Economics? 2
Additional Text:The Economic Problem 7
Unit Two 13
Text:Demand and Supply 14
Additional Text:Supply and Demand and Odd Yellow Fruit 24
Unit Three 28
Text:Price Elasticities of Demand and Supply 29
Additional Text:How Landlords Respond to Rent Control:The Case of New York City 38
Unit Four 42
Text:Cost of Production 43
Additional Text:Economies and Diseconomies of Scale 52
Unit Five 58
Text:Monopoly 59
Additional Text:Perfect Competition 69
Unit Six 75
Text:Oligopoly 76
Additional Text:Monopolistic Competition 84
Unit Seven 90
Text:Gross Domestic Product 91
Additional Text:Two Alternative Approaches of Measuring GDP 100
Unit Eight 108
Text:Economic Growth 109
Additional Text:Sources of Economic Development 119
Unit Nine 126
Text:Inflation 127
Additional Text:Unemployment 137
Unit Ten 141
Text:Money and Banking 142
Additional Text:Facing the Impact of Foreign Banks 149
Unit Eleven 153
Text:Foreign Exchange and Exchange Rate 154
Additional Text:Exchange Rates and Trade 162
Unit Twelve 166
Text:The Balance of Payments 167
Additional Text:International Monetary Systems 177
Unit Thirteen 187
Text:Fiscal and Monetary Policy 188
Additional Text:Lags in the Economy's Response to Monetary and Fiscal Policy 198
Unit Fourteen 204
Text:Role of Government in the Economy 205
Additional Text:Government's Policies Toward Externalities 213
Appendix Ⅰ Answers to Exercises 219
Appendix Ⅱ Chinese Translation of the Texts 242