Introduction to Economics

This "Introduction to Economics" manual is tailored to the content usually studied in the early years of various university degrees. For those studying economics, it is often the subject that builds the foundation for tackling more advanced topics. In other degrees, it might be the only economics course taken, highlighting the importance of its content. This manual aims to support students in self-directed learning. Alongside comprehensive theoretical explanations, each chapter includes solved exercises and relevant news articles to keep students engaged.

The manual is structured into eight chapters. It starts with an introductory chapter that sets the stage for the rest of the material. Next are three chapters focused on microeconomics, exploring market forces, the factors affecting them, and the elasticity of supply and demand. There's also a straightforward model of consumer behaviour. The final four chapters shift to macroeconomics. Chapter five covers macroeconomic objectives and major economic indicators. Chapter six, based on the basic Keynesian model, explains how the economy works and how fiscal policy can improve outcomes. Chapter seven delves into the financial system and money creation, along with the role of monetary policy. The last chapter looks at international economic relations, including trade between countries, the foreign exchange market, currency exchange rates, and the balance of payments.