Principles of Economics

Key differences between 7th and 6th editions

• Time lapse between current and previous editions: 3 years (2014 vs 2011).
• The Mankiw's Principles of Economics text was first published in 1997.
• The Seventh edition contains extensively updated coverage of areas impacted by the financial crisis.
• Many new problems and applications.
• Chapter 2 presents new topic "Why Economists' Advice Is Not Always Followed".
• Chapter 3 presents new topics "The Price of the Trade" and "Should Tom Brady Mow His Own Lawn?".
• Chapter 29 presents new topic "Bank Capital, Leverage, and the Financial Crisis of 2008--2009".
• Chapter 30 presents new topic "Inflation Is Bad, But Deflation May Be Worse".
• Chapter 35 presents new topic "A Financial Crisis Takes Us for a Ride along the Phillips Curve".
• Former chapter 36 " Five Debates Over Macroeconomic Policy" is now chapter 36 "Six Debates over Macroeconomic Policy".
• New section 36-2 "Should the Government Fight Recessions with Spending Hikes Rather Than Tax Cuts?"
• New FYI boxes:
• A Few Elasticities from the Real World (Ch. 5)
• Financial Crises (Ch. 26)
• The Jobs Number (Ch. 28)
• Why Credit Cards Aren't Money (Ch. 29)
• Hyperinflation in Zimbabwe (Ch. 30)
• Inflation Targeting (Ch. 36)
• New In the News boxes:
• Actual Economists and Virtual Realities (Ch. 2)
• Economics within a Marriage (Ch. 3)
• Price Increases after Disasters (Ch. 4)
• Venezuela versus the Market (Ch. 6)
• The Invisible Hand Can Park Your Car (Ch. 7)
• The Tax Debate (Ch. 8)
• Threats to Free Trade; Should the Winners from Free Trade Compensate the Losers?; Second Thoughts about Free Trade (Ch. 9)
• Externalities of Country Living; What Should We Do about Climate Change? (Ch. 10)
• The Case for Toll Roads (Ch. 11)
• Tax Expenditures (Ch. 12)
• Price Discrimination in Higher Education (Ch. 15)
• Insufficient Variety as a Market Failure (Ch. 16)
• Public Price Fixing; Should the N.C.A.A. Be Taken to Court? (Ch. 17)
• The Economics of Immigration (Ch. 18)
• Higher Education as an Investment; Gender Differences (Ch. 19)
• International Differences in Income Redistribution (Ch. 20)
• Can Brain Science Improve Economics? (Ch. 22)
• The BEA Changes the Definitions of Investment and GDP; Measuring Macroeconomic Well-Being (Ch. 23)
• Monitoring Inflation in the Internet Age (Ch. 24)
• Does Food Aid Help or Hurt?; One Economist's Answer (Ch. 25)
• Should Students Sell Equity in Themselves? (Ch. 26)
• Is the Efficient Markets Hypothesis Kaput? (Ch. 27)
• Why Has Employment Declined? (Ch. 28)
• Bernanke on the Fed's Toolbox (Ch. 29)
• The Changing Nature of U.S. Exports (Ch. 31)
• Is a Strong Currency Always in a Nation's Interest? (Ch. 32)
• The Social Influences of Economic Downturns; What Have We Learned? (Ch. 33)
• How Large Is the Fiscal Policy Multiplier? (Ch. 34)
• How Long Will the Fed Keep Interest Rates at Zero?; What Is the Optimal Inflation Rate?; What Would an American Fiscal Crisis Look Like? (Ch. 36)
• New Case Studies:
• Alternative Measures of Inequality (Ch. 20)
• The Search for Giffen Goods (Ch. 21)
• Left-Digit Bias (Ch. 22)
• Capital Flows from China (Ch. 32)