After reading and discussing a story about a family during the Great Depression, students differentiate between goods, services, barter, and money. Students are led through several rounds of a barter activity that incorporates math skills. Through this activity, students learn about the difficulties of using barter to satisfy wants.

Principles of Macroeconomics 2e covers the scope and sequence of most introductory economics courses. The text includes many current examples, which are handled in a politically equitable way. The outcome is a balanced approach to the theory and application of economics concepts. The second edition has been thoroughly revised to increase clarity, update data and current event impacts, and incorporate the feedback from many reviewers and adopters.Changes made in Principles of Macroeconomics 2e are described in the preface and the transition guide to help instructors transition to the second edition.

By the end of this section you will be able to:

Explain how exchange rate shifting influences aggregate demand and supply
Explain how shifting exchange rates also can influence loans and banks

By the end of this section, you will be able to:

Asses the complexity of international trade
Discuss why a market-oriented economy is so affected by international trade
Explain disruptive market change

By the end of this section, you will be able to:

Identify at least two advantages of intra-industry trading
Explain the relationship between economies of scale and intra-industry trade

14.01 Principles of Microeconomics is an introductory undergraduate course that teaches the fundamentals of microeconomics. This course introduces microeconomic concepts and analysis, supply and demand analysis, theories of the firm and individual behavior, competition and monopoly, and welfare economics. Students will also be introduced to the use of microeconomic applications to address problems in current economic policy throughout the semester.
This course is a core subject in MIT’s undergraduate Energy Studies Minor. This Institute-wide program complements the deep expertise obtained in any major with a broad understanding of the interlinked realms of science, technology, and social sciences as they relate to energy and associated environmental challenges.
Course Format
This course has been designed for independent study. It includes all of the materials you will need to understand the concepts covered in this subject. The materials in this course include:

A complete set of Lecture Videos by Prof. Jon Gruber.
Reading Assignments in your choice of two textbooks – one of which is a free online edition - as preparation for the lectures.
Multiple-choice Quizzes to assess your understanding of the key concepts in each session.
Problem Sets with solution keys to test your ability to apply to concepts covered in lecture, and Problem Solving Videos to provide step-by-step instruction through several problem set solutions.
A collection of links For Further Study to provide supplemental online content.
A full set of Exams, including review material and practice exams to help you prepare.

Ricardian Explorer, implemented on the internet, simulates a Ricardian trade model with linear production technology and a CES utility function. The typical simulation has two countries and two goods. While Ricardian explorer was developed to supplement a course in international trade, it can also be used in intermediate microeconomics and microeconomic principles courses. The authors of the simulation are Alberto Isgut and Tanya Rosenblat of Wesleyan University.

In this video, walk through the solution to a question on the effect of tariffs from the 2012 AP(R) Microeconomics exam.

Students listen to a story and answer questions about a family in Central or South America that barters to get the ingredients for chicken sancocho, a kind of stew. The students complete sentences that record the various trades carried out by the family to obtain all of the ingredients for the sancocho. They also participate in trading activities that illustrate money's advantages over barter.

Students listen to a story about sheep that go shopping for a gift. Unfortunately, they don't have quite enough money and must barter wool to obtain the gift they want. The students discuss what barter is and suggest other solutions to the sheep's problems. Students earn cotton balls and pennies for work that they do. They use the cotton balls to decorate a sheep and use extra cotton balls and pennies to buy additional decorations for their sheep.

This case is the transcript of the 1962 Congressional Testimony of BC Deuschle, President of the Scissors, Shears and Manicure Implement Manufacturers' Association, with regard to the Trade Expansion Act of 1962. Deuschle opposes the act, fearing that reduced protection will destroy his industry. The case includes all of the classic economic and political motives for protection.

When governments impose restrictions on international trade, this affects the domestic price of the good and reduces total surplus. One such imposition is a tariff (a tax on imported or exported goods and services). See how a tariff impacts price, consumer surplus, producer surplus, tax revenue, and deadweight loss in this video.

Over 200 years ago, Adam Smith attempted to explain why some nations are wealthier than others. Today, the gap between rich and poor countries is even larger. The September 2017 issue of Page One Economics describes how total factor productivity contributes to economic growth and how growth leads to a rising standard of living.

A ¥en to Trade is a set of lessons for students in the middle grades—grades 6-8. These lessons are written to help students understand the basic rationale for making trades, the gains that are possible from trade, and how trading is done between people of different countries. Each lesson teaches fundamental economic concepts such as scarcity, economic wants, resources, goods and services, opportunity cost, and money, as well as international trade concepts such as exports, imports, tariffs, quotas, exchange rates, and trade routes. Most lessons employ simulations and other active-learning strategies to engage students in the learning process and to provide experiences to help them discover why things happen as they do.