Introductory economics

Part I presents an introduction to these basic eco nomic problems, the different techniques by which they were solved in the historical economic systems, and the methods of organizing and carrying out production in our society. It is hoped that Chapter 2 will not only point up cultural variations in economic systems but also will provide the student with some background information on our economic values and thinking and serve as a transition to a discussion of the func tion of prices in our economy.

Part II is devoted to the problem of production and the price system. Included in this section are chapters on price determination under condi tions of competition and imperfect competition, the equilibrium of the firm, the various forms of business organization, and the determinants of production in an industrial society. Part III deals with the problems of the exchange of goods and services.
It includes discussions of money and its creation, the Federal Reserve System, monetary policy, and price changes. Part IV is concerned with the measurement of production. Included are chapters on national income accounting, the determinants of con sumption, savings, and investment, variations in production (the business cycle), national income theary, the attempt to stabilize production via fiscal policy, inflation, and the probleme of economic growth.

Part V deals with the problem of income distribution. Here I have dealt with the factors that influence income distribution, the shares going to different groups, the problem of business monopoly, the control of monopoly, the problem of the farmer, the problems of labor, and taxes. To be sure, the motivations for monopoly are not always monetary, hence: some question may arise as to the appropriateness of including this prob lem this part of the book. To some extent, admittedly, this decision has in been arbitrary on my part.

Part VI deals with the all-important problem of international trade. Although only limited space could be devoted to this problem, the student will receive at least some introduction to a problem of vital importance in the current world political and economic scene. Also in this part is included a short chapter on the British and Soviet economies.