Economics : principles and issues

An author is torn between the urge to "cry his own wares" by extolling what he conceives to be the special merits of his own presentation, and the desire to maintain a decent modicum of modesty. But even at the risk of appearing to be insufferably conceited, anyone with the temerity to in troduce still another text in the principles of economics is under the obli gation to justify this use of society's scarce resources. The introductory course, in my opinion, is the most important in the economics curriculum. Its function is twofold:

a) As a terminal course, to acquaint the student with the essential char acter of economic problems and the major tools of economic analysis, to the end that he will at least avoid the loose and easy generalizations and misinformed clichés of the "unwashed" and uninitiated, and on occasion even become a positive contributor to intelligent policy making; b) As the foundation for further and more advanced work in eco nomics.

A book that overemphasizes either of these functions to the neglect of the other is seriously deficient. Correspondingly, two kinds of mistakes should be avoided. The prin ciples course should not be excessively technical, misleading the best stu dents to feel they have become professionally competent economists, and inducing in average students a sense of frustration and disgust either with their own abysmal ignorance or (more probably) with their egg-head instructor. On the other hand, a course not dealing with the development of fundamental principles, but consisting merely of a recitation of histori cal and descriptive material, gives the student a false confidence in his knowledge of economics.

It is hoped that both extremes have been avoided in this text. My con stant concern has been to explain basic theory within the context of sig nificant contemporary economic problems and issues. An attempt has been made to let theoretical principles emerge as living and socially rele vant explanations of economic reality rather than as merely the product of sterile, even though brilliant, armchair logic.