IMS Content 1.2 <langstring xml:lang="en-US">WinEcon - Sloman and Garratt, Essentials of Economics (5th Edition)</langstring> A fully-interactive abridged introduction to the principles of economics to support the textbook, Essentials of Economics (5th Edition) by John Sloman and Dean Garratt. Interactive Sloman essentials of economics course WinEcon - Sloman and Garratt, Essentials of Economics 5ed Economic Issues The economic problem Introduction Introduction to Economics Summary Dividing up the subject Introduction Modelling economic relationships Introduction The Five Assumptions for the PPF Production Possibilities The Production Possibility Frontier Production Not at the Frontier Changing the PPF The Circular Flow of Goods and Income Summary Economic systems Introduction Markets, Demand and Supply Demand Introduction Demand for Housing in St. Andrews - Sudden Increase Factors Affecting Demand The Demand Curve of an Individual Shifts in an Individual's Demand Curve The Product Demand Curve Shifts in the Product Demand Curve The Demand for Water Summary Supply Introduction Factors Affecting Supply The Supply Curve of a Firm Shifts in the Supply Curve of a Firm The Product Supply Curve Shifts in the Product Supply Curve Summary The determination of price Introduction Market Equilibrium Comparative Statics Summary The free-market economy Introduction Markets in Action Price elasticity of demand Introduction Market Demand for Water The Concept of Elasticity Elasticity and Smoking Price Elasticity of Demand Factors Affecting PED Elasticities in Estimating the Demand for Water Demand Curves with Constant Elasticity Summary Price elasticity of demand and consumer expenditure Introduction Price Elasticity and Total Revenue Summary Price elasticity of supply Introduction Ruby Earrings and PES Price Elasticity of Supply Price Elasticity and the Slope of the Supply Curve Factors Affecting PES Summary Other elasticities Introduction Income Elasticity of Demand Cross Elasticity of Demand Summary Markets and adjustment over time Introduction Spot and Forward Markets Futures Markets How does a Futures Market work? Summary Markets where prices are controlled Introduction Government Intervention Agricultural Support Minimum Wage Summary The Supply Decision Production and costs: short run Introduction Forms of Business Organisation Businesses and Legal Liability Legal Forms of Business Organisation Production and Factor Inputs The Short-Run Production Function Diminishing Returns in Production The Law of Variable Proportions Modern Production Methods Modern Production Methods: an example Short-Run Production Functions: a numerical example Short-Run Cost Definition Drawing Short-Run Cost Curves Positioning Short-Run Cost Curves Deriving Short-Run Total Cost Curves Deriving the Short-Run Average Fixed (AFC) and Average Variable Cost (AVC) Curves The Shape of the Average Total Cost (AC) Curve The Shape of the Marginal Cost (MC) Curve Deriving the Short-Run MC and AC Curves: a numerical example Mathematics of Marginal Cost IKEA - Better Products at Lower Cost Summary of Short-Run Costs Summary Production and costs: long run Introduction A Crude Oil Pipeline Crude Oil Pipeline - Economies of Scale Economies of Scale: definitions Long-Run Average Costs in Practice Summary Revenue Introduction Profit maximisation Introduction Profit Maximisation Marginal Cost and Revenue at Profit Maximisation Normal and Supernormal Profit Summary Market Structures The degree of competition Introduction Characteristics of Different Market Structures Summary Perfect Competition Introduction Four Key Assumptions in Perfect Competition Firm and Industry Demand in Perfect Competition Demand Curve of a Firm in Perfect Competition Profit Maximisation in Perfect Competition Profit Maximising Output for a Firm in Perfect Competition Fixed and Variable Costs Short Run Supply Profits and Losses in the Short-run The Comparative Static Effects of Demand Changes A Change in Demand with Diseconomies of Scale Comparative Static Effects of Changing Costs Summary Monopoly Introduction Two Key Assumptions in Monopoly Barriers to Entry A Monopolist's Revenue A Monopolist's Demand and Marginal Revenue Profit Maximisation by a Monopolist Profit Maximisation for a Monopolist using MC and MR Monopoly and Supply Demand, Elasticity and Monopoly Perfect Competition and Monopoly Compared Main Differences between Perfect Competition and Monopoly Price, Output & Profit in Competition & Monopoly Economies of Scale and Market Structure Summary Monopolistic Competition Introduction Key Assumptions in Monopolistic Competition Short Run Equilibrium of a Monopolistic Firm Adjustment to Long-run Equilibrium Quiz on Monopolistic Competition Summary Oligopoly Introduction The Key Assumptions of Oligopoly Interdependence in Oligopoly Rivalry in Oligopoly Competition or Collusion Collusive Oligopoly Cartels Cartel Disintegration A Cartel Example - OPEC Collusion in Practice Non Collusive Oligopoly Equilibrium in Non Collusive Oligopoly Models of Non-collusive Oligopoly Assumptions of Cournot's Oligopoly Model Cournot's Model of Duopoly The Kinked Demand Curve Other Explanations for Stable Prices Non - Price Competition Advertising The Economics of Advertising The Advertising Elasticity of Demand The Case for Imperfect Competition Differences Within Imperfect Competition Summary Game theory Introduction Game Theory Prisoners' Dilemma Game: an example A Duopoly Game Based on the Prisoners' Dilemma Nash Equilibria versus Co-operation Summary Price discrimination Introduction Price Discrimination Under Monopoly Summary Wages and the Distribution of Income Labour market trends Introduction Wage determination in a perfect market Introduction Factor Markets: an overview The Market Supply of Labour Short-Run Demand for Labour: competitive input & output markets Short-Run Demand for Labour Aggregate Demand for Labour Summary Wage determination in imperfect markets Introduction Factor Demand by a Firm: under different market structures The Firm's Demand for Factors: possible market combinations Derivation of the Marginal Factor Cost in Imperfect Input Markets Derivation of MRP and VMP in Imperfect Output Markets Imperfect Input Market and Competitive Output Market Imperfect Input and Output Markets Summary Causes of inequality Introduction The Distribution of Income Countries by Income Categories Revising the Minimum Wage Summary The redistribution of income Introduction Types of Tax in the U.K. Sources of Tax Revenue Progressive, Regressive & Proportional Taxes Requirements of a Good Tax System Benefit Payments Summary Market Failures and Government Policy Social efficiency Introduction Reasons for Market Failure Understanding Consumer Surplus Individual Consumer Surplus Market Consumer Surplus Consumer Surplus for Different Demand Curves Defining Producer Surplus Producer Surplus in Different Markets Social Surplus Summary Market failures: externalities and public goods Introduction Externalities & Allocative Inefficiency Production Externalities Consumption Externalities Finding Marginal Social Cost & Benefit What are Social Costs and Externalities? Public versus Private Goods Key Characteristics of a Public Good Public Goods and Free Riders How much of a public good to produce? Summary Market failures: monopoly power Introduction Monopoly Power & Allocative Inefficiency Efficiency in Competition & Monopoly Social Surplus in Competition Social Surplus in Monopoly Changes Resulting from Monopolisation Deadweight Loss of Monopoly - An Alternative Measure Summary Other market failures Introduction The Principal-Agent Relationship Dealing with Principal-Agent Problems Principals, Agents and Incentives - some examples Asymmetric Information - The Market for Lemons Key Characteristics of a Merit Good Summary Government intervention: taxes and subsidies Introduction Externality Policy in a First-Best World Monopoly Policy in a First-Best World The Second-Best World Advantages/Disadvantages of Taxes & Subsidies Summary Government intervention: laws and regulation Introduction Demand for Regulation Supply of Regulation Equilibrium Amount of Regulation Examples of Regulation UK regulation of Private Monopolies & Oligopolies Banking Services Monopoly UK Merger Policy Regulation due to Membership of the European Union Regulation of Privatised Utilities The Privatisation of Electricity Summary Other forms of government intervention Introduction More or less intervention? Introduction The environment: a case study in market failure Introduction Market Failures and the Environment Summary Aggregate Demand and the National Economy Introduction to macroeconomics Introduction Trended and Non-Trended Variables The Behaviour of Real and Nominal Variables Nominal and Real Interest Rates Positive and Negative Real Interest Rates Real Interest Rates in Various Countries Summary The circular flow of income Introduction Basic Concepts: Firms and Households Basic Concepts: Aggregate Markets The Simple Circular Flow of Income and Expenditure The Full Circular Flow of Income and Expenditure Accounting Identities in the Circular Flow Planned Versus Actual Flows Summary The composition of aggregate demand Introduction The equilibrium level of national income Introduction Goods Market Equilibrium Keynesian Cross Diagram The Formal Model: Equations & Solutions Solution Method 1: Aggregate Demand equals Aggregate Output/Income Introduction to Solution Method Two Solution Method 2: Planned Withdrawals equals Planned Injections Equilibrium Values for Other Variables Formal Model: Diagrams Summary The multiplier Introduction A Change in Injections A Change in Injections: a numerical example The Multiplier The Size of the Multiplier Equilibrium Values and Exogenous Changes The Multiplier: Withdrawals/Injections Summary Measuring national income and output Introduction Potential Pitfalls in Measuring Productive Activity Transfer Payments Double Counting - a Potential Error Double Counting - Avoiding the Problem Real and Nominal GDP The Output Approach GVA in Current Prices Output by Sector The Income Approach GDP by Income Type The Expenditure Approach Composition of Expenditure The Human Development Index The Human Development Index for Selected Countries Increasing the Value of the Human Development Index Countries Classified by the Human Development Indicator Basic Development Indicators Summary Aggregate Supply and Growth The AD-AS model Introduction Introducing economic growth Introduction Short-term economic growth and the business cycle Introduction Fitting Linear Trends Trends in Levels and Logarithms Deviations from Linear and Log-Linear Trends Linear Trends with Constant Growth Annual Real GDP Growth Rates Quarterly GDP Growth Rates Summary Explanations of the business cycle Introduction Measuring a Cycle Cycles Terminology An Actual Cycle Theories of Cycles: Overview Investment Demand and Aggregate Output/Income Keynesian Model: AD Shock Keynesian Model: AS Shock Classical Model: AD Shock Classical Model: AS Shock Stabilising Prices in the Classical Model Summary Long-term economic growth Introduction Explanations of long-term growth Introduction Banking, Money and Interest Rates The meaning and functions of money Introduction Money Supply and Demand: Introduction Functions of Money Summary The financial system Introduction Flows of Funds Accounts Assets and Liabilities Financial Accounts and the Flows of Funds The Banking System: The Role of the Central Bank The Banking System: The Other Banks Non-Bank Financial Institutions (NBFI's) The Banking System Banking Operations A Multi Bank System Loans and the Banking System The Minimum Reserve Ratio Summary The supply of money Introduction The Money Stock: Aggregate Measures Loan Expansion and the Bank Deposit Multiplier Summary The demand for money Introduction Keynesian Theory of Money Demand The Transactions Demand for Money The Speculative Demand for Money The Total Demand for Money Function Summary Equilibrium Introduction Reconciling Money Flows and Money Stocks The Money Market and Equilibrium Interest Rate Exogenous Changes and their Money Market Effects Summary Inflation and Unemployment Inflation Introduction Measuring the Price Level and Inflation Calculating the GDP Deflator Hyperinflations Summary Money supply, aggregate demand and inflation Introduction The Quantity Theory of Money The Quantity Theory and Aggregate Demand The Monetarist Transmission Mechanism Policy Implications Summary Unemployment Introduction Introducing Unemployment Summary Inflation and unemployment: the short run Introduction Unemployment and Macroeconomic Policy Equilibrium and Full Employment Policy Implications: A Few Cautions Summary Inflation and unemployment: introducing expectations Introduction Monetarist Aggregate Supply at a Glance Monetarist Theory of Labour Supply Monetarist Model: Employment Determination The Natural Rate Hypothesis Monetarist Aggregate Supply: A Summary Monetarist Model: AD Shock Monetarist Model: AD Shocks Monetarist Model: AS Shock Monetarist Model: AS Shocks Classical Aggregate Supply at a Glance Classical Labour Supply Theory Are You Prone to Money Illusion? Classical Model: Employment Determination The Classical Aggregate Supply Curve AS Curve Shifts: Technology Shocks AS Curve Shifts: Income Tax Changes Unemployment in the Classical Model Classical Aggregate Supply: A Summary Summary Inflation targeting and unemployment Introduction Keynesian Aggregate Supply at a Glance Keynesian Theory of Labour Supply Keynesian Model: Employment Determination Unemployment in the Keynesian Model Keynesian Aggregate Supply: A Summary Summary Macroeconomic Policy Fiscal policy Introduction Policy Timing and Magnitude The Timing of Policy Changes Timing and Magnitude The Political Angle Summary Monetary policy Introduction Control of the Money Supply Exogenous and Endogenous Money Bills and Bonds Open Market Operations: In Theory Open Market Operations: In UK Practice Open Market Sales and Banks' Responses Other Monetary Control Measures Interest Rate Control Methods Summary Demand-side policy Introduction Supply-side policy Introduction Globalisation and International Trade Global interdependence Introduction The advantages of trade Introduction The Principle of Comparative Advantage Sources of Comparative Advantage More Sources of Comparative Advantage Summary Arguments for restricting trade Introduction The Effect of a Tariff on Imports The world trading system and the WTO Introduction Trading blocs Introduction The European Union Introduction Trade and developing countries Introduction The Direction of International Trade Proportions of Trade Between Groups of Countries Recap: The Direction of International Trade Composition of International Trade Composition of Exports by Groups of Countries Composition of Exports for Various Regions Countries Grouped by Income and Composition of Trade Composition of Trade for Selected Countries The 1960s The Problems of Primary Producers Import Substitution Industrialisation Import Substitution Industrialisation - An Example The 1970s The Four Tigers of Asia The 1970s: The First Oil-shock, Borrowing and Debt Summary Balance of Payments and Exchange Rates The balance of payments account Introduction The Balance of Payments Devaluation and the Balance of Payments Summary Exchange rates Introduction International Trade: An Example Flexible Exchange Rates Doing Business Abroad: Reducing Exchange Rate Risk Summary Exchange rates and the balance of payments Introduction Fixed Exchange Rates Summary Fixed versus floating exchange rates Introduction The origins of the euro Introduction Economic and monetary union (EMU) in Europe Introduction Debt and developing countries Introduction The 1980s The Debt Crisis Borrowing and Indebtedness Summary Appendix: Basic Maths for Economics Introductory Mathematics for Economists Introduction About Introductory Mathematics for Economists The Basics Introduction Variables and Functions Fractions and Sharing Basic Rules of Algebra Coordinates and Graphs Powers and Indices Economic Problems - Basic Mathematics Summary of the Basics Equations Introduction Transposition Linear Equations Quadratic Equations Simultaneous Equations Exponential Functions Logarithmic Functions Economic Problems - Equations Summary of Equations Sequences and Series Introduction Sequences and Series Present Value & Cash Flow Economic Problems - Sequences Summary - Sequence & Series Summary for Introductory Mathematics for Economists Summary