Table Of ContentMacroeconomics in Context
Macroeconomics in Context: A European Perspective lays out the principles of
macroeconomics in a manner that is thorough, up to date, and relevant to
students. With a clear presentation of economic theory throughout, this latest
addition to the bestselling “In Context” set of textbooks is written with a specific
focus on European data, institutions, and historical events, offering engaging
treatment of high-interest topics, including sustainability, Brexit, the euro crisis,
and rising inequality. Policy issues are presented in context (historical,
institutional, social, political, and ethical), and always with reference to human
well-being.
This book is divided into four parts, covering the following key issues:
■ The context of economic analysis, including basic macroeconomic statistics
and tools;
■ The basics of macroeconomic measurements, including GDP, inflation, and
unemployment, as well as alternative measures of well-being, and the
particular structures of the European economies;
■ Methods for analyzing monetary and fiscal policy, including an in-depth
coverage of the instruments and approaches of the European central bank
and some coverage of an open economy;
■ The application of the tools learnt to selected macroeconomic issues, such as
the euro crisis, the global financial crisis, public debt, global development,
and environmental sustainability.
Far more than any other existing macroeconomic textbook, this book combines
real-world relevance of the topics covered with a strong focus on European
institutions and structures within an approach that explains multiple economic
paradigms. This combination helps to raise students’ interest in macroeconomics
as well as enhance their understanding of the power and limitation of
macroeconomic analysis.
Visit www.gdae.org/europeanmacro/ for online resources for both lecturers
and students.
Sebastian Dullien is Professor for International Economics at HTW Berlin,
University of Applied Sciences, and Senior Policy Fellow at the European Council
on Foreign Relations. Prior to his appointment to the university in 2007, he
worked in several positions, including economics editor for the Financial Times
Deutschland, the German-language edition of the Financial Times. He has
advised a number of ministries, members of the German and European
Parliament, and several organizations of the United Nations.
Neva Goodwin is Co-Director of the Global Development and Environment
Institute (GDAE) at Tufts University, where she is the director of the electronic
Social Science Library: Frontier Thinking in Sustainable Development and
Human Well-Being. Goodwin works toward a contextual economics theory that
will have more relevance to contemporary real-world social and ecological
concerns than the dominant economic paradigm does.
Jonathan M. Harris is Director of the Theory and Education Program at the
Tufts University Global Development and Environment Institute, USA. His
current research focuses on the implications of large-scale environmental
problems, especially global climate change, for macroeconomic theory and policy.
Julie A. Nelson is Professor of Economics at the University of Massachusetts
Boston and Senior Research Fellow at the Global Development and Environment
Institute at Tufts University, USA. Many of her books and articles critique
economic methodology from a feminist perspective. She has published in journals
ranging from Econometrica and the Journal of Political Economy to Hypatia:
Journal of Feminist Philosophy and Ecological Economics.
Brian Roach is Senior Research Associate at the Tufts University Global
Development and Environment Institute and a lecturer at Tufts and Brandeis
University, USA. He has published numerous articles on nonmarket valuation of
natural resources, including drinking water quality, water-based recreation, and
wildlife.
Mariano Torras teaches economics at Adelphi University in Garden City, New
York, USA. A heterodox economist who specializes in ecological and
development economics, Torras’s recent research has been in the areas of
institutional economics and economic methodology; particular attention has been
on approaches to addressing climate change.
“Macroeconomics in Context excels at presenting macroeconomic theory in a way that
students can understand. As a bonus, it exposes students to issues—such as the
environmental costs of production and the wider determinants of well-being—that soon will
be at the center of economic policy-making.”
— Eric Nilsson, California State University, San Bernardino, USA
“Macroeconomics in Context is the best text I’ve seen for undergraduate teaching. By paying
attention to the challenges we face today, such as environmental degradation and social
issues, it lets students readily see why [the subject of] economics is important to learn. This
text gives students the basics while raising questions about how we can do better.”
— Valerie A. Luzadis, SUNY College of Environmental Science and Forestry, Syracuse, USA
“After reviewing fourteen macroeconomics textbooks, looking for an alternative to obsolete
ideas of infinite GDP growth with little consideration of environmental or social costs, I
selected Macroeconomics in Context. … This was the only book I found that covers
mainstream theory while putting it into a social and environmental context—a much needed
updated approach to macroeconomics.”
— Gary Flomenhoft, University of Vermont, USA
“I like this text very much. I like that environmental concerns are part of the discussion. I
also like the no-frills presentation and the low price.”
— Tom White, Assumption College, USA (on the previous edition)
“This book is a truly Europeanised version of the well-established introductory textbook by
Goodwin et al. which enriches the common narrative of economics by adding further
perspectives and analytical approaches without being confusing or too complex. The
European version contains a wealth of new content on debt and deficits, economic policies,
institutions and actors in the European Union. The book will surely support students in
gaining a profound, practical and multi-angled knowledge of economic issues which they
can apply to understand and analyse real-world phenomena, like the emergence and
evolution of the recent financial and euro crises which have so dramatically influenced
European economies.”
— Prof. Dr. Torsten Niechoj, Rhine-Waal University of Applied Sciences, Kamp-Lintfort,
Germany
Macroeconomics in Context
A European Perspective
Sebastian Dullien, Neva Goodwin, Jonathan M. Harris, Julie A. Nelson,
Brian Roach, and Mariano Torras
First published 2018
by Routledge
711 Third Avenue, New York, NY 10017
and by Routledge
2 Park Square, Milton Park, Abingdon, Oxon, OX14 4RN
Routledge is an imprint of the Taylor & Francis Group, an informa business
© 2018 Taylor & Francis
The right of Sebastian Dullien, Neva Goodwin, Jonathan M. Harris, Julie A. Nelson, Brian Roach
and Mariano Torras to be identified as authors of this work has been asserted by them in
accordance with sections 77 and 78 of the Copyright, Designs and Patents Act 1988.
All rights reserved. No part of this book may be reprinted or reproduced or utilised in any form
or by any electronic, mechanical, or other means, now known or hereafter invented, including
photocopying and recording, or in any information storage or retrieval system, without
permission in writing from the publishers.
Trademark notice: Product or corporate names may be trademarks or registered trademarks,
and are used only for identification and explanation without intent to infringe.
Library of Congress Cataloging-in-Publication Data
Names: Dullien, Sebastian, author.
Title: Macroeconomics in context : a European perspective / Sebastian
Dullien, [and five others].
Description: New York, NY : Routledge, 2017. | Includes index.
Identifiers: LCCN 2017009836 | ISBN 9781138185173 (hardback) |
ISBN 9781138185180 (pbk.) | ISBN 9781315644653 (ebook)
Subjects: LCSH: Macroeconomics. | Europe—Economic conditions.
Classification: LCC HB172.5 .D85 2017 | DDC 339—dc23
LC record available at https://lccn.loc.gov/2017009836
ISBN: 978-1-138-18517-3 (hbk)
ISBN: 978-1-138-18518-0 (pbk)
ISBN: 978-1-315-64465-3 (ebk)
Typeset in Bembo
by Apex CoVantage, LLC
Brief Contents
List of Figures
List of Tables
INTRODUCTION
SAMPLE COURSE OUTLINES
PART I
THE CONTEXT FOR ECONOMIC ANALYSIS
0 MACROECONOMICS AND WELL-BEING
1 ECONOMIC ACTIVITY IN CONTEXT
2 USEFUL TOOLS AND CONCEPTS
3 WHAT ECONOMIES DO
4 SUPPLY AND DEMAND
PART II
MACROECONOMIC BASICS
5 MACROECONOMIC MEASUREMENT: THE CURRENT APPROACH
6 MACROECONOMIC MEASUREMENT: ENVIRONMENTAL AND SOCIAL
DIMENSIONS
7 THE STRUCTURE OF THE EUROPEAN ECONOMY 8 EMPLOYMENT,
UNEMPLOYMENT, AND WAGES
PART III
MACROECONOMIC THEORY AND POLICY
9 AGGREGATE DEMAND AND ECONOMIC FLUCTUATIONS
10 FISCAL POLICY
11 MONEY, BANKING, AND FINANCE
12 THE EUROPEAN CENTRAL BANK AND MONETARY POLICY
13 AGGREGATE SUPPLY, AGGREGATE DEMAND, AND INFLATION:
PUTTING IT ALL TOGETHER
14 INTERNATIONAL LINKAGES AND ECONOMIC POLICY
PART IV
MACROECONOMIC ISSUES AND APPLICATIONS
15 THE FINANCIAL CRISIS AND THE GREAT RECESSION
16 DEFICITS AND DEBT 17 THE EURO CRISIS
18 HOW ECONOMIES GROW AND DEVELOP
19 GROWTH AND SUSTAINABILITY IN THE TWENTY-FIRST CENTURY
Glossary
Index
