economics–supply, demand, and equilibrium–before showing applications in the markets for labor and

finance.

• The Fundamentals of Microeconomic Theory, Chapters 5 through 10, begins the microeconomics

portion of the text, presenting the theories of consumer behavior, production and costs, and the different

models of market structure, including some simple game theory.

• Microeconomic Policy Issues, Chapters 11 through 18, covers the range of topics in applied micro,

framed around the concepts of public goods and positive and negative externalities. Students explore

competition and antitrust policies, environmental problems, poverty, income inequality, and other labor

market issues. The text also covers information, risk and financial markets, and public economy.

•

International Economics, Chapters 19 and 20, introduces the international dimensions of economics,

including international trade and protectionism.

Changes to the third edition
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