Principles of Macroeconomics
Multiple Authors, OpenStax College
Pub Date: 2014
ISBN 13: 978-1-9381682-5-3
Conditions of Use
The text is thorough and covers areas expected from a Principles of Macroeconomics textbook. read more
The text is thorough and covers areas expected from a Principles of Macroeconomics textbook.
The content is free from errors or bias and presents the material in an accurate manner.
The book includes data and examples that are current and relevant.
Compared to other principles textbooks, this text is not as accessible to students. The text might be intimidating for a principles student in terms of its delivery of the content.
The chapters are presented in a consistent manner, with subsections and key terms at the end of each chapter.
The chapters contain several subsections and the material is divided among chapters in an appropriate manner.
The organization and flow of the text, as presented, is unusual. Although economics is defined in Chapter 1, the term opportunity cost is not introduced until Chapter 2. Chapter 2 also contains budget constraints and marginal utility analysis, which is unusual for a macro book. Chapters 4 & 5 also seem out of place for a principles of macro text. Chapter 10 is titled "The International Trade and Capital Flows", and Chapter 20 is titled "International Trade" - there is some redundancy there. Chapters 10 and 16 seem out of place in their current position and would fit better in the section on international economics (Chapters 19-21).
There are no interface issues that I experienced while reviewing the text.
The book is free from grammatical errors.
The book meets a satisfactory level of cultural relevance.
I find this book to be very thorough in the subject matter. Compared to a few textbooks that I am familiar with (e.g., the ones by Mankiw, by read more
I find this book to be very thorough in the subject matter. Compared to a few textbooks that I am familiar with (e.g., the ones by Mankiw, by Krugman/Wells, and by Frank/Bernanke), it includes substantial coverage on international economics as well as all the basic macro components. I very much appreciate the fact that the book provides a nice global perspective. If there is one small section that could be added, I would consider an introduction to finance, given the increasing importance of the financial system in the macro economy.
In a few chapters that I have read carefully from beginning to end, I find the contents to be largely accurate. I did discover a few typos here and there, especially with graphs. For instance, Figure 12.11 on page 310 one of the arrows is in the wrong direction. Figure 13.2 on page 318 does not really match up with the in-text description. On page 454 “...Recall from Unemployment...” should be replaced by “...Recall from Economic Growth...” instead. Given the amount of work and the number of authors involved in developing the book, it is understandable to have a few errors. I would like to remind any potential user of the textbook to watch out for possible typos.
This book will be able to stay relevant for a while. Updating textbook examples and data is relatively easy given the wide availability of macro data.
I find that for the most part the book is written in a clear manner and uses some very interesting analogies and examples to aid in explanations. One thing I did notice in the few chapters that I have gone through thoroughly is that at times the text is presented in a colloquial way. It reminds you more of an instructor talking in class than reading a textbook. This book also introduces some pretty novel terminologies, such as Macroeconomic Externality, Keynes's Law, etc.
I don’t see any problems with the internal consistency of the book’s terminology and framework in a big-picture sense. A minor confusion arises when the opening chapter (Chapter 6) states three macroeconomic goals but in Chapter 11 you find that it mentions four goals. This should be readily fixed, though.
This book has done an excellent job breaking up a chapter into manageable sections. I especially like the way that learning objectives are clearly spelled out at the beginning of each section.
I would say that organization of various macro topics in this textbook is very different from the textbooks that I am familiar with (e.g., the ones by Mankiw, by Krugman/Wells, and by Frank/Bernanke). If I were to switch to this textbook, I foresee that I need to spend some time getting used to the new structure. It is not really a matter of good or bad, but if you have a strong preference for routine, you may want to think about re-arranging some chapters.
I find this book to be very easy to use with bookmarks and hyperlinks. It has exceeded my expectations about a free digital book in terms of its interface. I also like the feature of using QR codes for some real-world applications. It should be very appealing to students.
Overall the book is very well-written. From those chapters that I have sampled, there are very few grammatical errors. There are no major mistakes to have an impact on reader comprehension.
I find the book to be culturally appropriate. It takes noticeable efforts to cover macroeconomic issues faced by developing as well as developed nations.
Table of Contents
Chapter 1: Welcome to Economics!
Chapter 2: Choice in a World of Scarcity
Chapter 3: Demand and Supply
Chapter 4: Labor and Financial Markets
Chapter 5: Elasticity
Chapter 6: The Macroeconomic Perspective
Chapter 7: Economic Growth
Chapter 8: Unemployment
Chapter 9: Inflation
Chapter 10: The International Trade and Capital Flows
Chapter 11: The Aggregate Demand/Aggregate Supply Model
Chapter 12: The Keynesian Perspective
Chapter 13: The Neoclassical Perspective
Chapter 14: Money and Banking
Chapter 15: Monetary Policy and Bank Regulation
Chapter 16: Exchange Rates and International Capital Flows
Chapter 17: Government Budgets and Fiscal Policy
Chapter 18: The Macroeconomic Impacts of Government Borrowing
Chapter 19: Macroeconomic Policy Around the World
Chapter 20: International Trade
Chapter 21: Globalization and Protectionism
About the Book
Principles of Macroeconomics covers the scope and sequence for a one-semester economics course. The text also includes many current examples, including: the housing bubble and housing crisis, Zimbabwe’s hyperinflation, global unemployment, and the appointment of the United States’ first female Federal Reserve chair, Janet Yellen.
The pedagogical choices, chapter arrangements, and learning objective fulfillment were developed and vetted with feedback from educators dedicated to the project. The outcome is a balanced approach to economics, to both Keynesian and classical views, and to the theory and application of economics concepts. Current events are treated in a politically-balanced way, as well.
Note: Principles of Macroeconomics PDF and web view versions have been updated to include current FRED (Federal Reserve Economic) data.
OpenStax College has compiled many resources for faculty and students, from faculty-only content to interactive homework and study guides.
About the Contributors
Senior Contributing Author
Timothy Taylor, Macalester College
Senior Content Expert
Steven A. Greenlaw, University of Mary Washington
Eric Dodge, Hanover College
Cynthia Gamez, University of Texas at El Paso
Andres Jauregui, Columbus State University
Diane Keenan, Cerritos College
Dan MacDonald, California State University San Bernardino
Amyaz Moledina, The College of Wooster
Craig Richardson, Winston-Salem State University
David Shapiro, Pennsylvania State University
Ralph Sonenshine, American University