Cover

		Contents

		Preface

		xi

		1 Introduction

		1

		1.1 Media Economics

		2

		1.2 Up-and-Down Economics

		3

		1.3 Policy Evaluation

		4

		1.4 A Picture Can Be Worth a Thousand Words

		4

		1.5 Really Important Macroeconomic Ideas

		5

		2 Measuring GDP and Inflation

		11

		2.1 What Is GDP?

		12

		Curiosity 2.1: What Is the Difference between GDP and GNP?

		13

		2.2 Estimating GDP

		14

		Curiosity 2.2: Where Can These Numbers Be Found?

		15

		2.3 GDP as Gross Deceptive Product

		16

		2.4 Real versus Nominal GDP

		17

		2.5 Measuring Inflation

		19

		Curiosity 2.3: How Do the GDP Deflator and the CPI Differ?

		21

		2.6 The Costs of Inflation

		22

		Curiosity 2.4: What Level of Inflation Should We Aim For?

		24

		Media Illustrations

		24

		Appendix 2.1: Measuring GDP by Adding Up Incomes

		32