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52609_00_fm_pi- ii 2/1/10 11:37:43 PM
THE REAL ECONOMY IN THE LONG RUN
12 Production and Growth
13 Saving, Investment, and the Financial System These chapters describe the forces that in the long run determine
key real variables, including growth in GDP, saving, investment,
14 The Basic Tools of Finance real interest rates, and unemployment.
15 Unemployment
MONEY AND PRICES IN THE LONG RUN
16 The ary System The ary system is crucial in determining the long-run
behavior of the price level, the inflation rate, and other
17 Money Growth and Inflation nominal variables.
THE MACROECONOMICS OF OPEN ECONOMIES
18 Open-Economy Macroeconomics: A nation’s economic interactions with other nations are described
Basic Concepts by its trade balance, net foreign investment, and exchange rate.
19 A Macroeconomic Theory of the A long-run model of the open economy explains the determinants
Open Economy of the trade balance, the real exchange rate, and other real
variables.
SHORT-RUN ECONOMIC FLUCTUATIONS
20 Aggregate Demand and Aggregate Supply
The model of aggregate demand and aggregate supply explains
21
The Influence of ary and Fiscal Policy short-run economic fluctuations, the short-run effects of ary
on Aggregate Demand and fiscal policy, and the short-run linkage between real and
22 The Short-Run Trade-off nominal variabl