CHAPTERR 1-A TOUR OF THE WORLD

1-1 WHAT IS MACROECONOMICS?

PART ONE-INTRODUCTION

The Simplifications of Macroeconomics

1· Why Macroeconomists Sometimes Disagree

1-2 LOOKING AT THE WORLD

The United States

The European Union

Japan

GATHERJNG MACRO DATA

1-3 LOOKING AHEAD

CHAPTER 2-A TOUR OF THE BOOK

2-1 AGGREGATE OUTPUT

GDR,Value Added, and Income

Nominal and Real GDP

REAL GDR TECHNOLOGICAL PROGRESS, AND THE PRICE OF CONPUTERS

The Unemployment Rate

2-2 THE OTHER MAJOR MACROECONOMIC VARIABLES

DOES SPAIN REALLY HAVE A 23% UNEMPLOYMENT RATE

The Infiation Rate

Budget Deficits and Trade Deficits

2-3 A ROAD MAP

PART TWO-THE BASICS

CHAPTER3-THE GOODS MARKET

3-1 THE COMPOSlTlON OF GDP

3-2 THE DETERMINATION OF DEMAND

Consumption (C)

Investment (I)

Government Spending (G)

3-3 THE DETERMATION OFEQUILIBRIUM OUTPUT

The Algebra 47·A Graph 48·In Words

CONSUHER CONFIDENCE AND THE 1990-1991 RECESSION

3-4 INESTMENT EQUALS SAVING: AN ALTERNATIVE WAY OF THINKING ABOUT GOODS-MARKET EQUILIBRIUM

3-5 THE PARADOX OF SAVING

3-6 IS THE GOVERNMENT REALLY OMNIPOTENT? A WARNING

CHAPTER 4-THE GOODS MARKET DYNAMICS

4-1 PRODUCTION,SALES,AND IWENTORY INVESTMENT

Dividing Time

Production and Sales

Equilibrium in the Goods Market Revisited

The Dynamic Effects of an Increase in Government Spending

Using a Graph

4-2 GOING EMPIRICAL

Estimating the Marginal Propensity to Consume

Allowing for Lags

A GUIDE TO UNDERSTANDING ECONOMETRIC RESULTS

Correlation Versus Causality

4-3 SIMUWING THE ESTIMATEDMODEL

5-1 MONEY VERSUS BONDS

4-4 CONCLUSIONSCHAPTER 5-FINANCIAL MARKETS

SEHANT1C TRAPS:MONEY,INCOME,AND WEALTH

The Basic Choice

The Demand forMoney

The Demand for Bonds

. Money Demand and the Interest Rate： The Evidence

5-2 THE DETERMINATION OF THE INTEREST RATE:Ⅰ

Money Demand, Money Supply, and the Equilibrium Interest Rate

MonetaryPolicy and Open Market Operations

5-3 THE DETERMINATION OF THEINTEREST RATE:Ⅱ 090The Role of Banks

Monetary Policy and the Interest Rate

BANK RUNS

The Effects of an Open Market Operation