Economics: Principles & Tools
By emphasizing the five key principles, this book teaches readers how to "think" like economists by showing them how to "use" economic concepts in ... Show synopsis By emphasizing the five key principles, this book teaches readers how to "think" like economists by showing them how to "use" economic concepts in their everyday lives and careers. The authors make the material both accessible and motivating by using key concepts repeatedly, illustrating them with compelling real-world examples, and giving readers lots of practice at " Active Learning; " doing their "own" economic analysis. The focus on the five key principles of economics throughout the book includes: 1) Opportunity Cost, 2) The Marginal Principle (comparing marginal benefits and marginal costs), 3) Diminishing Returns, 4) The Spillover Principle (for externalities in production and consumption), and 5) The Reality Principle (distinguishing real from nominal magnitudes). Returning to these principles repeatedly explains the "logic" of economic reasoning and demystifies the "tools" of economics. For anyone who wants to see the relevance of economics in their life, career, and future.