• Chapter 11: Classical and Keynesian EconomicsChapter 11: Classical and Keynesian Economics

    Chapter Objectives Say’s law Classical equilibrium Real balance, interest rate, and foreign exchange effects Aggregate demand Aggregate supply in the long run and short run

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  • Chapter 10: Economic Fluctuations, Unemployment, and InflationChapter 10: Economic Fluctuations, Unemployment, and Inflation

    Chapter Objectives Examine the business cycle Consider various business cycle theories Show how economic forecasting is done Measure the GDP gap Learn how the unemployment rate is computed Look at the types of unemployment Construct a consumer price index Consider the theories of inflation

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  • Chapter 9: Gross Domestic ProductChapter 9: Gross Domestic Product

    Chapter Objectives What is GDP? How is GDP measured? What are the national income accounts? What is the difference between GDP and real GDP? How does our GDP compare to those of other nations? How is per capita GDP calculated? What are the shortcomings of GDP as a measure of national economic well-being?

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  • Chapter 8: The Export-Import SectorChapter 8: The Export-Import Sector

    Chapter Objectives The basis for international trade U. S. imports and exports A summing up: C + I + G + Xn The world’s leading trading nations World trade agreements and free-trade zones

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  • Chapter 7: The Government SectorChapter 7: The Government Sector

    Chapter Objectives Government spending The graphing of the C + I + G line Types of taxes The average and marginal tax rates Sources of government revenue Principles of taxation The economic role of government

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  • Chapter 6: The Business-Investment SectorChapter 6: The Business-Investment Sector

    Chapter Objectives The three types of business firms How investment is carried out The difference between gross investment and net investment How capital is accumulated The determinants of the level of investment The graphing of the C + I line

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  • Chapter 5: The Consumption SectorChapter 5: The Consumption Sector

    Chapter Objectives The average propensity to consume The average propensity to save The marginal propensity to consume The marginal propensity to save The consumption function The saving function The determinants of consumption The permanent income hypothesis

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  • Chapter 4: The Mixed EconomyChapter 4: The Mixed Economy

    Chapter Objectives The three questions of economics Profit motive, price mechanism, and capital The circular flow model Market failure and externalities The economic role of capital The importance of specialization The major “isms” capitalism, fascism, communism, and socialism The decline and fall of the communist system

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  • Chapter 3: Supply and DemandChapter 3: Supply and Demand

    Chapter Objectives Define and explain demand in a product or service market Define and explain supply Determine the equilibrium point in the market for a specific good, given data on supply and demand at different price levels

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  • Chapter 2: Resource UtilizationChapter 2: Resource Utilization

    Chapter Objectives Definition of economics Central fact of economics The four economic resources Opportunity cost Full employment Full production Productive and allocative efficiency Enabling the economy to grow The law of increasing cost

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