The nature and method of economics; the economizing problem; pure capitalism and the circular flow; understanding individual markets - supply and demand; the private sectors and the market system; the public sector; measuring national output, national income and the price level; macroeconomic instability - unemployment and inflation; aggregate demand and aggregate supply; classical and Keynesian theories of unemployment; equilibrium domestic output in the Keynesian model; fiscal policy; money and banking; how banks create money; the Federal Reserve Banks and monetary policy; alternative views - monetarism and rational expectations; the inflation-unemployment relationship; budget deficits and the public debt; economic growth; demand, supply and elasticity; consumer behaviour and utility maximization; the costs of production; price and output determination - pure competition, pure monopoly, monopolistic competition; oligopoly; production and the demand for economic resources; the pricing and employment of resources - wage determinaiton, rent, interest and profits; general equilibrium - the market system and its operation; government and current economic problems; international economics and the world economy.