The Economics

Perspective
Why Study
Economics
Economic
Methodology
Macroeconomics
and
Microeconomics
1 C HAPTE R

Pitfalls to Sound
Reasoning
Key Terms
The Nature and
Method of
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The Economics
Perspective
Why Study
Consider...
The Economics Perspective
Economics

• SCARCITY & CHOICE

Economic
Methodology
Macroeconomics

• RATIONAL BEHAVIOR
and
Microeconomics
Pitfalls to Sound
Reasoning
Key Terms • UTILITY
• MARGINAL ANALYSIS
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Marginal Benefits &
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Marginal Costs
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 WHY STUDY ECONOMICS
The Economics
Perspective •Adam Smith
•David Ricardo
Why Study
Economics
Economic

•John Stuart Mill

Methodology
Macroeconomics
and

•Karl Marx
Microeconomics
Pitfalls to Sound
Reasoning

•John Maynard Keynes

Key Terms

plus many modern contributors...

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Professional & Personal Applications
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 ECONOMIC METHODOLOGY
The Economics
Perspective Scientific Method
Why Study
Economics
Economic
Methodology
Hypothesis Testing
Macroeconomics

Theory
and
Microeconomics
Pitfalls to Sound
Reasoning
Key Terms
Law
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Principles
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Models
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 ECONOMIC METHODOLOGY
The Economics
Perspective Policy Economics
Why Study
Economics
Economic
Methodology
Macroeconomics
and
Microeconomics
Pitfalls to Sound
Theoretical Economics
Reasoning
Key Terms Theories

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End
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Facts
1-5
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 ECONOMIC METHODOLOGY
The Economics
Perspective
Why Study
Analytical Economics
Economics
Economic
Methodology
Terminology
Macroeconomics
and
Microeconomics
Generalizations
Pitfalls to Sound
Reasoning
Key Terms

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End
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 ECONOMIC METHODOLOGY
The Economics
Perspective
Why Study
Analytical Economics
Economics
Economic
Methodology
Terminology
Macroeconomics
and
Microeconomics
Generalizations
Pitfalls to Sound
Reasoning
Key Terms
Other-Things-Equal
ceteris paribus
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End
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 ECONOMIC METHODOLOGY
The Economics
Perspective
Why Study
Analytical Economics
Economics
Economic
Methodology
Terminology
Macroeconomics
and
Microeconomics
Generalizations
Pitfalls to Sound
Reasoning
Key Terms
Other-Things-Equal
ceteris paribus
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Abstractions
End
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 ECONOMIC METHODOLOGY
The Economics
Perspective
Why Study
Analytical Economics
Economics
Economic
Methodology
Terminology
Macroeconomics
and
Microeconomics
Generalizations
Pitfalls to Sound
Reasoning
Key Terms
Other-Things-Equal
ceteris paribus
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Next
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Abstractions
End
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Graphical Expression
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The Economics
ECONOMIC POLICY
Perspective
Why Study
Economics
Economic
STATE THE GOAL
Methodology
Macroeconomics
and
Microeconomics
Pitfalls to Sound
Reasoning
Key Terms POLICY OPTIONS

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IMPLEMENT &
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EVALUATE
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 ECONOMIC GOALS
The Economics
Perspective
Why Study
Economics
Economic
Methodology
Macroeconomics
and
What are our
Microeconomics
Pitfalls to Sound
Reasoning
goals and
Key Terms
objectives?
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 ECONOMIC GOALS
The Economics
Perspective •Economic Growth
•Full Employment
Why Study
Economics
Economic T
•Economic Efficiency R
Methodology
Macroeconomics
and
A
•Price-Level Stability D
Microeconomics
Pitfalls to Sound
Reasoning
Key Terms
•Economic Freedom E
O
•Equitable Distribution F
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S
•Balance of Trade
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The Economics
MACROECONOMICS...
Perspective
Why Study
Economics
Economic
Methodology
Macroeconomics
and
Microeconomics
Pitfalls to Sound
Reasoning
Key Terms

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End
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The Economics
MACROECONOMICS...
Perspective
Why Study
Economics
Economic
Methodology
MICROECONOMICS...
Macroeconomics
and
Microeconomics
Pitfalls to Sound
Reasoning
Key Terms

Previous Next
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End
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The Economics
MACROECONOMICS...
Perspective
Why Study
Economics
Economic
Methodology
MICROECONOMICS...
Macroeconomics
and
Microeconomics
Pitfalls to Sound
Reasoning
Positive Economics
Key Terms
Absolute Facts
Normative Economics
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End
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What Ought to be
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 PITFALLS TO
The Economics
Perspective
Why Study
SOUND REASONING
Economics
Economic
Biases
Methodology
Macroeconomics
and
Loaded Terminology
Microeconomics
Pitfalls to Sound
Reasoning
Definitions
Key Terms
Fallacy of Composition
Causation Fallacies
Previous Next Post Hoc Fallacy
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Correlation vs. Causation
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economics policy economics
economic perspective tradeoffs
utility macroeconomics
marginal analysis aggregate
scientific method microeconomics
theoretical economics positive economics
normative economics
principles
fallacy of composition
generalizations
“after this, therefore
other-things-equal because of this” fallacy
assumption
Copyright McGraw-Hill/Irwin, Inc. 2005 BACK END
 CHAPTER 2
The Economics
Perspective
Why Study
Economics
Economic
Methodology
THE
Macroeconomics
and
Microeconomics
ECONOMIZING
PROBLEM
Pitfalls to Sound
Reasoning
Key Terms

COMING SOON
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