KRUGMAN SURE TO ENLIVEN THE AP* ECONOMICS CLASSROOM

The 2008 Nobel Prize winner, Paul Krugman, has become the person Americans most often turn to explain what economic policy means to their lives—and how events in their lives reflect important economic concepts. That ability extends to the AP* high school course, where Krugman and Wells’ Economics has proven to be an exceptionally effective textbook.

The unique voice that makes Krugman the most widely read economist in the U.S. (and perhaps the world) is evident on every page of Economics. The product of the partnership of coauthors Krugman and Robin Wells, will be available in a new edition for Fall 2009 classes. AP teachers can count on the authors’ ability to explain economics concepts, interpret current events, and develop students’ understanding with classroom-proven pedagogy.

INTRODUCTION The Ordinary Business of Life

Part 1 What is Economics?
Chapter 1 First Principles
Chapter 2  Economic Models: Trade-offs and Trade
Chapter 2 APPENDIX Graphs in Economics

Part 2 Supply and Demand
Chapter 3 Supply and Demand
Chapter 4 Consumer and Producer Surplus
Chapter 5 The Market Strikes Back
Chapter 6 Elasticity

Part 3 Individuals and Markets
Chapter 7 Taxes
Chapter 8 International Trade

Part 4 Economics and Decision Making
Chapter 9 Making Decisions

Part 5 The Consumer
Chapter 10 The Rational Consumer
Chapter 11 Consumer Preferences and Consumer Choice

Part 6 The Production Decision
Chapter 12 Behind the Supply Curve: Inputs and Costs
Chapter 13 Perfect Competition and the Supply Curve

Part 7 Market Structure: Beyond Perfect Competition
Chapter 14 Monopoly
Chapter 15 Oligopoly
Chapter 16 Monopolistic Competition and Product Differentiation

Part 8 Microeconomics and Public Policy
Chapter 17 Externalities
Chapter 18 Public Goods and Common Resources
Chapter 19 The Economics of the Welfare State

Part 9 Factor Markets and Risk
Chapter 20 Factor Markets and the Distribution of Income
Chapter 20 APPENDIX Indifference Curve
Chapter 21 Uncertainty, Risk, and Private Information

Part 10:  Introduction to Macroeconomics
Chapter 22 Macroeconomics: The Big Picture
Chapter 23 Tracking the Macroeconomy
Chapter 24 Unemployment and Inflation

Part 11:  Long-Run Economic Growth
Chapter 25 Long-Run Economic Growth
Chapter 26 Savings, Investment Spending, and the Financial System

Part 12:  Short-Run Economic Fluctuations
Chapter 27 Income and Expenditure
Chapter 27 Appendix: Deriving the Multiplier Algebraically
Chapter 28 Aggregate Demand and Aggregate Supply

Part 13:  Stabilization Policy
Chapter 29 Fiscal Policy
Chapter 29 Appendix: Taxes and the Multiplier
Chapter 30 Money, Banking, and the Federal Reserve System
Chapter 31 Monetary Policy
Chapter 31 Appendix:  Reconciling Two Models of the Interest Rate
Chapter 32 Inflation, Disinflation, and Deflation

Part 14   Events and Ideas
Chapter 33 Events and Ideas

Part 15  The Open Economy
Chapter 34 Open-Economy Macroeconomics