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Macroeconomics

The Big, Often Blurry Picture
  • Evan Osborne
Chapter

Abstract

I suspect that when many people pick up a book about “economics,” they expect to be reading about such things as unemployment, inflation, and economic growth. And yet it is not until here, in the final chapters, that I address these questions. The reason for that is related to something I hinted at in the introduction: an economy is merely a description of the ways in which people with different interests in the presence of scarcity reconcile those differences. It does not make any sense to describe the functioning of an entire economy unless we understand this fact and use it to think about how the terms under which people relate to one another and about how much they can expect to gain at any moment from participating in “the economy.” So-called “macroeconomics”—the study of aggregate-level phenomena such as unemployment, inflation, and economic growth, usually at the level of the nation-state—depends critically on so-called “microeconomics”—the ways in which individuals respond to the incentives they face.

Keywords

Gross Domestic Product Inflation Rate Money Supply Gross Domestic Product Growth Gross National Product 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.

Copyright information

© Evan Osborne 2013

Authors and Affiliations

  • Evan Osborne
    • 1
  1. 1.OhUS

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