Macroeconomic turbulence and volatility in financial markets can fatally affect firm's performance. Very few firms make serious attempts to inform market participants and other outsider stakeholders about the impact of macroeconomic fluctuations--manifested as changes in exchange rates, interest rates, inflation rates and stock market returns-- on performance. These stakeholders, as well as financial analysts, must make their own assessments but they generally lack both the required tools and the information to do so. Worse, top management in most firms do not themselves possess the tools to identify whether a change in performance represents a change in the firm's intrinsic competitiveness or a reflection of macroeconomic conditions outside their influence.
Corporate Decision-Making with Macroeconomic Uncertainty: Performance and Risk Management develops and presents in an easily comprehensible way the essential elements of a corporate strategy for managing uncertainty in the macroeconomic environment. This Macroeconomic Uncertainty Strategy, or MUST, enhances firm value by allowing management and external stakeholders to become better informed about the development of corporate competitiveness in a turbulent macroeconomic environment. The MUST also provides guidelines for how to develop a successful risk management program.
This research based book includes methods to identify the impact of macroeconomic fluctuations on cash flows and value, to develop strategies for macroeconomic risk management, to provide informative reports to external stakeholders, to evaluate the relative performance of subsidiaries and business units in multinational companies, and to evaluateperformance for purposes of setting executive compensation and of fulfilling the due diligence requirements in an M & A context. The authors' use of value-based management, various performance measurements, the concept of real options, and risk management from the perspective of shareholder wealth maximization, makes the book rich and compelling. They address researchers and students in the field of international business, finance and corporate governance. On the business side, executives with strategic responsibilities, chief financial officers, and bankers who analyze corporate performance and give advice on risk management will benefit from reading this book.

In the years since 2007 the U.S. economy has endured a severe financial crisis, a Great Recession, and continuing heavy unemployment. These events have led to increasing discontent among many people contributing to a substantial vote for Bernie Sanders and the election of Donald Trump. Meanwhile, Europe has witnessed the rise of nationalist parties and Brexit. In the face of these problems and events, economics must change. Principles of Macroeconomics: Activist vs. Austerity Policies provides an antidote to the standard macro texts offering multiple points of view instead of one standard line, a fact-based focus on the causes and cures of instability in economics, and an examination of inequality in the United States. Readers are introduced to both the Classical view, which takes the conservative approach and argues for an austerity program to reduce the size of the government; and the Progressive view, which argues for government intervention to create a strong recovery. These ideas are applied to all the key macroeconomic topics including economic growth, business cycles, and monetary policy. Using the methodology of Wesley Mitchell and drawing on the work of Keynes, the authors also explore topics such as unemployment, the human cost of economic crashes, increasing inequality of income, and the history of capitalism. This second edition includes new material on the Obama recovery, the crisis in the Eurozone, the rise of populism, and the current state of healthcare, education, and environmental issues in America to bring the text fully up to date. It will be of great interest to undergraduate students and particularly those studying the economics of the United States.

'Business Economics: Theory and Application' is an undaunting and accessible text that focuses on the real world of business and how this relates to economics. The links to business are far more intrinsic that in other business economics textbooks where a business "flavour" is simply added to traditional economics theory. It provides an in-depth jargon-free analysis, particularly relevant for one semester courses. A variety of case studies and questions are used throughout the text both to illustrate key points and for seminar and assignment work. Diagrams are included to aid the explanation of complex issues, and review and discussion questions are incorporated to consolidate and expand on the learning. A lecturer's supplement accompanies the text.

Any economics that does not deal forthrightly with economic inequality is no longer suitable for the twenty-first century. Similarly, any economics which does not provide a coherent way to integrate environmental sustainability into economic analysis will fail to command allegiance in the century ahead. This book demonstrates how the Sraffian framework provides important advantages in both areas. Divided into three chapters, Income Distribution and Environmental Sustainability provides a rigorous exposition of Sraffian theory emphasizing what it means for the economy to be productive, extends Sraffian theory to address environmental sustainability, and adds a normative theory of income distribution to Sraffa's positive theory. In Chapter 1, a rigorous version of the basic Sraffa model is presented which focuses on what it means for the economy to be capable of producing a physical surplus, explains the origin of profits, and shows how to measure changes in overall labor productivity resulting from any technical change. In Chapter 2, the basic model is extended to incorporate primary inputs from the natural environment, rigorously measure changes in environmental throughput efficiency, and establish sufficient conditions for environmental sustainability. In Chapter 3, an explicit "normative" theory of economic justice is elaborated which is a natural extension of Sraffa's "positive" theory of income determination and consistent with modern egalitarian literature on distributive justice. This book is of interest to academics and students who study political economy, economic theory, and philosophy, as well as those interested in the work of Piero Sraffa.

This book discusses the theory, methods, and applications of flow of funds analysis. The book integrates the basic principles of economic statistics, financial accounts, international finance, econometric models, and financial network analysis, providing a systematic and comprehensive introduction to the interconnection between these research fields. It thus provides the reader with the intellectual groundwork indispensable for understanding the workings and interactions of today's globalized financial markets. The main focus of the book is how to observe the flow of funds in macroeconomics, how to measure the global flow of funds (GFF), and how to use GFF data to carry out an analysis. Based on the statistical framework for measuring GFF under the System of National Accounts, the book identifies the systematic relationship of financial linkages among economic sectors and with the rest of the world while integrating data sources that include stock data, geographically broken down by country-region, and selected financial instruments. It sets out the GFF concept and constructs a GFF matrix (metadata) on a from-whom-to-whom basis within a country-by-country pattern. Lastly, an established GFF matrix table is used to conduct an empirical study including an econometric model and financial network analysis.

Originally published in 1984 Theories of Welfare looks at theories of social administration developed in different social science disciplines. The book ranges widely and gives concise coverage to the historical and intellectual background in which the theory emerged, the implicit or explicit value assumptions, and account of the most important theoretical concepts and the major criticisms of them, an indication of the relevance to social administration and a guide to further reading.

In recent years nonlinearities have gained increasing importance in economic and econometric research, particularly after the financial crisis and the economic downturn after 2007. This book contains theoretical, computational and empirical papers that incorporate nonlinearities in econometric models and apply them to real economic problems. It intends to serve as an inspiration for researchers to take potential nonlinearities in account. Researchers should be aware of applying linear model-types spuriously to problems which include non-linear features. It is indispensable to use the correct model type in order to avoid biased recommendations for economic policy.

What does the movie Lion tell us about why some societies grow rich and others remain poor? What can the global box office juggernaut, Jurassic World tell us about entrepreneurs and the ethics of business? Can the movie Passengers give us insight into human motivation and decision making? This book surveys more than 40 movies to answer these questions and much more. Movies do more than entertain. They project important insights, often unintentional, into the way the world works and the values society cares about. Indeed, their stories are often grounded in the real-world experiences of everyday people. As part of this, movies also provide a window into understanding and evaluating economic behavior. Economics is, after all, the study of how scarce resources like labor, capital, and technology are used to improve (or reduce) our welfare. It also helps us to more fully understand the consequences in our lives that result from those choices and decisions. Through exploring a wide range of films from Passengers to Victoria and Abdul, this book delves into economic concepts such as opportunity costs, profit maximization, greed, business ethics, monopoly, economic growth, and entrepreneurship. Contemporary Film and Economics is a must read for anyone interested in how movies project and interpret economic ideas, craft popular narratives for how economies operate, and explore motivations for economic behavior. Economists will find it useful in starting discussions on key concepts, while filmmakers will find the discussions of economic concepts a provocative way of thinking about how to craft engaging stories that are grounded in practical experience.

Understanding the Ground Rules for the Global Economy
In this revised and updated edition of "A Concise Guide to Macroeconomics," David A. Moss draws on his years of teaching at Harvard Business School to explain important macro concepts using clear and engaging language.
This guidebook covers the essentials of macroeconomics and examines, in a simple and intuitive way, the core ideas of output, money, and expectations. Early chapters leave you with an understanding of everything from fiscal policy and central banking to business cycles and international trade. Later chapters provide a brief monetary history of the United States as well as the basics of macroeconomic accounting. You'll learn why countries trade, why exchange rates move, and what makes an economy grow.
Moss's detailed examples will arm you with a clear picture of how the economy works and how key variables impact business and will equip you to anticipate and respond to major macroeconomic events, such as a sudden depreciation of the real exchange rate or a steep hike in the federal funds rate.
Read this book from start to finish for a complete overview of macroeconomics, or use it as a reference when you're confronted with specific challenges, like the need to make sense of monetary policy or to read a balance of payments statement. Either way, you'll come away with a broad understanding of the subject and its key pieces, and you'll be empowered to make smarter business decisions.

Economics has often been described as "the dismal science," with TV and movies reinforcing this description. However, economics is a powerful tool that can be used to understand how the world works, helping to answer confusing puzzles and solve the world's problems. Surprisingly, Broadway musicals are an excellent way to show this. Musicals tell engaging stories through song and many are rich with economic concepts. This book analyzes 161 songs from 90 musicals to explore what they can teach us about supply and demand, monetary policy and numerous other core economic concepts. While some songs have an obvious connection to economics, other connections may seem less apparent. When you hear "Let it Go" from Frozen, does your mind think about a firm's production decisions? After reading this book, it will. Whether showing how Hamilton can illustrate concepts of central banking, or how "Stars" from Les Miserables provides a perfect example of inelastic demand, the author presents complicated topics in an understandable and entertaining way. Featuring classic songs from some of the most popular shows ever produced, along with some hidden gems, Broadway and Economics will be of interest to anybody studying an introductory economics course as well as theatre aficionados.

For the past several decades, politicians and economists thought that high levels of inequality were good for the economy. But because America's middle class is now so weak, the US economy suffers from the kinds of problems that plague less-developed countries. As Hollowed Out explains, to have strong, sustainable growth, the economy needs to work for everyone and expand from the middle out. This new thinking has the potential to supplant trickle-down economics the theory that was so wrong about inequality and our economy and shape economic policy making for generations.

Models for Dynamic Microeconomics provides the advanced student with key methodological tools for the dynamic analysis of a core selection of macroeconomic phenomena, including consumption and investment choices, employment and unemployment outcomes, and economic growth.
The technical treatment of these tools will enable the student to handle current journal literature, while not assuming any particular familiarity with advanced analytical tools or mathematical notions. As these tools are introduced, they are related to particular applications to illustrate their use.
Chapters are linked by various formal and substantive threads. Discrete-time optimization under uncertainty, introduced in Chapter 1, is motivated and discussed by applications to consumption theory, with particular attention to empirical implementation. Chapter 2 focuses on continuous-time optimization techniques, and discusses the relevant insights in the context of partial-equilibrium investment models. Chapter 3 revisits many of the previous chapters' formal derivations with applications to dynamic labour demand, in comparison to optimal investment models, and characterizes labor market equilibrium when not only individual firms' labor demand, but also individual labor supply by workers, is subject to adjustment costs. Chapter 4 proposes broader applications of methods introduced in the previous chapters and studies continuous-time equilibrium dynamics of representative agent economies, featuring both consumption and investment choices, with applications to long-run growth frameworks of analysis. Chapter 5 illustrates the role of decentralized trading in determining aggregate equilibria, and characterizes aggregate labor market dynamics in the presence of frictional unemployment. Chapters 4 and 5 pay particular attention to strategic interactions and externalities: even when each agent correctly solves his or her individual dynamic problem, modern microfounded macroeconomic models recognize that macroeconomic equilibrium need not have unambiguously desirable properties.
By bridging the gap between undergraduate economics and modern microfounded macroeconomic research, this book will be of interest to graduate students in economics, and as a technical reference for economic researchers.

This book examines cost-of-capital models and their application in the context of managerial finance. This includes the use of hurdle rates in capital allocation decisions, as well as target returns in performance management. Besides a review of classical finance models such as the Capital Asset Pricing Model (CAPM), other contemporary models and techniques to determine the cost-of-capital of business units and private companies are discussed. Based on a mixed methods approach, current cost-of-capital practices and their determinants are empirically analyzed among German companies.

Economic and social development is and will be the main task in the long run in China, and development is the basis and key to solve the problems faced. Although people have been criticising its limitations for reasons of one sort or another, no better alternative index has ever been put forward. GDP is still commonly used all over the world, not only as a fundamental and comprehensive indicator for economic analysis, but also as an important basis for many rules and evaluations. It is impossible to abolish GDP, but it is now the time to bid farewell to its worship.By saying goodbye to China's GDP worship, the role of GDP may be downplayed and restored to its original position. In modern China, in order to adhere to the essential guideline that development is the absolute principle, it is necessary to steadfastly undertake scientific development, pay more attention to the people, place more emphasis on comprehensive, concerted and sustainable development, give priority to the overall consideration of various aspects of development, and make more efforts to protect and improve people's livelihood and promote social equality and justice.In light of the spirit of scientific outlook on development, it is imperative to establish new concepts, an evaluation system and an assessment mechanism on economic and social development, especially to accelerate the transformation of the mode of economic development. It will be a profound change covering the entire process and various aspects of economic and social development. It is a requirement of the times, and also a choice to be made at such a new and historical starting point.Based on the outstanding research findings of many visionaries and the initial practices in some local areas in recent years, this book proposes to switch the focus to multi-dimensional and comprehensive indicators from GDP alone and establish a new economic and social evaluation system, that is, abandon the GDP-centred evaluation system or GDP worship and adopt a comprehensive evaluation system for economic and social development embodying the scientific outlook on development - the comprehensive development index (CDI).

This book provides a systematic approach to analyzing macroeconomic developments, focusing on macroeconomic accounts, analysis, and the effects of selected policies on a nation's economy. The first part of the book describes the data, accounts, and analysis of the four main macroeconomic sectors - real, external, fiscal, and monetary - and discusses the accounting and economic relations among these sectors, using a flow of funds approach. Key indicators are presented for each sector and used to show how macroeconomic developments can be assessed and problems identified.The second part of the book discusses fiscal, monetary, and exchange rate policy and their economic implications. These policies, along with selected structural reforms, are compared along several dimensions and shown how they can be used, in various combinations or individually, to address a variety of macroeconomic difficulties.

This book analyses the relationship between stakeholder engagement practices and organizational sustainability across sectors and disciplines. It illuminates the relationships between the inputs and processes, vital for all kinds of organizations to engage stakeholders. Then, it describes the mutually-valued outcomes that can produce broader organizational impacts and sustainability. Each chapter is structured around a logic model that provides an analytical framework to engage the reader in strategic analysis and offer practical applications for adaptation and implementation in any organization. The book encourages the reader to systematically consider the descriptive, instrumental, and normative aspects of stakeholder theory as a precursor to designing stakeholder engagement practices.

Since 1945 preventing runaway wage inflation has been regarded as a key policy in managing an economy in a successful way. The exact nature of pay control has varied from country to country and from time to time. This book, originally published in 1987, examines pay control policies in major Western economies. It surveys developments from 1945 and explores the aims of pay policies and discusses the problems of implementation, comparing the different kinds of policies. By comparing the performance of these different approaches the book assesses the merits and pitfalls of the different approaches.

The essays in this book, originally published in 1984, examine many problems within the structure of industry including wage policies, financial incentives and other economic policies. The book discusses the problems from two standpoints: that of the economist who is concerned with labour as a resource and the psychologist concerned with the behavioural activity of the labour force. This inter-disciplinary approach ensures the relevance of the essays to social scientists, managers and policy-makers.

How does globalization in goods and asset markets alter the nature of economic recessions and the choices facing macroeconomic policy makers? This volume presents empirical and theoretical contributions of economist Paul Bergin to this vital question. By a number of metrics, including trade volume and price convergence, national goods markets have become more globally integrated over time. The same is true for asset markets, which today function more as a single global marketplace. Rigorous theoretical models are developed to explore how international integration in these markets provides channels by which shocks driving recession in one country can be transmitted to other countries. These theoretical concepts can shed light on the Great Recession of the last decade, which has been referred to as the first truly global recession. Theory is also brought to bear to explore how these international spillovers and the resulting international co-movement in recessions can create incentives for policy makers to coordinate their monetary and fiscal policies with each other, as they deal with the challenge of managing their national economies.

Macroeconomics in Context lays out the principles of macroeconomics in a manner that is thorough, up to date, and relevant to students. Like its counterpart, Microeconomics in Context, the book is uniquely attuned to economic, social, and environmental realities. The “In Context” books offer engaging coverage of current topics including policy responses to recession and inflation, inequality, deficits and government debt, economic impacts of the COVID-19 pandemic, and the economics of environmental sustainability.

This fourth edition includes:

Improved and concise discussions of introductory topics, especially on key economic activities, macroeconomic goals, and economic models

Further emphasis on inequality, environmental sustainability, financialization, the changing nature of work, and international developments such as the role of transnational corporations and supply chain issues

Discussion of the impacts of the COVID-19 pandemic on macroeconomic factors like well-being, inequality, and labor markets

Presentation of policy issues in historical, environmental, institutional, social, political, and ethical contexts, including an updated discussion of fiscal policy in relation to the Biden administration’s infrastructure and social investment spending

Clear explanations of basic economic concepts alongside more in-depth analysis of macroeconomics models and economic activity

This book combines real-world relevance with a thorough grounding in multiple economic paradigms. It is the ideal textbook for modern introductory courses in macroeconomics.

The book’s companion website is available at: http://www.bu.edu/eci/macro

Table of Contents

Part I The Context for Economic Analysis 0. Macroeconomics and Well-Being 1. Economic Activity in Context 2. Foundations of Economic Analysis 3. Supply and Demand PART II Macroeconomic Basics 4. Macroeconomic Measurement: The Current Approach 5. Macroeconomic Measurement: Environmental and Social Dimensions 6. The Structure of the United States Economy 7. Employment, Unemployment, and Wages PART III Macroeconomic Theory and Policy 8. Aggregate Demand and Economic Fluctuations 9. Fiscal Policy 10. Money, Banking, and Finance 11. The Federal Reserve and Monetary Policy 12. Aggregate Supply, Aggregate Demand, and Inflation: Putting It All Together 13. The Global Economy and Policy PART IV: Macroeconomic Issues and Applications 14. Inequality: Economic and Social Perspectives 15. Deficits and Debt 16. How Economies Grow and Develop 17. Growth and Sustainability in the Twenty-First Century

This book examines the uneven economy in Asia, showing how the pace of economic transformation affects prosperity and the emerging middle class. Using the Lewis turning point and the long run cycle of the rise and fall of nations as a framework, it demonstrates how demographic trends, digitization rates and consumer preferences creates business opportunities in a disruptive and uncertain world. This includes moves toward promoting Eurasian integration, restructuring of state-owned enterprises, green economy, and the digital economies - ecommerce, fintech and sharing economy. Vanity capital, longevity and leisure economies are also discussed. The author explains what drives creative disruption, technical innovation and their effect on manufacturing, consumers, businesses, and sustainability. It is essential reading for students, academics, executives, and business persons wanting in-depth coverage of the economic landscape in Asia.

This book, originally published in 1981, is a major reassessment of the strengths and weaknesses of incomes policies. A distinguished group of economists comprehensively review the rationale and history of the field, giving special attention to the role fo the public sector, the question of low pay and the differing approaches to incomes policies which have been adopted in Europe and North America.

This book, originally published in 1975, deals with the sources of economic growth, inflation and the prospects of bringing it under control, floating exchange rates and restrictions on international capital movements. Although aimed at the non-specialist, professional economists willa slo find the book stimulating.

In recent years, Israel has deeply and quickly transformed itself from a self-perceived social-democratic regime into a privatized and liberalized "Start-Up Nation" and a highly divided society. This transition to neoliberalism has been coupled with the adoption of a hawkish and isolationist foreign policy. How can such a deep change be explained? How can a state presumably founded on the basis of socialist ideas, turn within a few decades into a country characterized by a level of inequality comparable to that of the United States? By presenting a comprehensive and detailed analysis of the evolution of the Israeli economy from the 1930s to the 1990s, The Israeli Path to Neoliberalism seeks to explain the Israeli path to neoliberalism. It debunks the 'from-socialism-to-liberalization' narrative, arguing that the evolution of Israeli capitalism cannot be described or explained as a simple transplantation of imported economic models from advanced liberal democracies. Rather, it asserts that the Israeli variant of capitalism is the product of the encounter between imported Western institutional models and policy ideas, on the one hand, and domestic economic, social and security policy problems on the other. This mechanism of change enables us to understand the factors that gave rise to Israel's unique combination of liberalization and strong national sentiments. Providing an in-depth analysis of Israel's transformation to neoliberalism, the book is a valuable resource for those studying the economic history of Israel, or the political economy of late-developing countries.

How should Europe cope with the negative and still unfolding economic consequences of the current economic crisis? And why does Europe seem to be more conservative than the USA in dealing with the crisis? Since the outbreak of the current international economic crisis in 2008, the USA and many of the European countries have been tormented by high levels of unemployment and low levels of inflation, interest rates close to zero and fiscal policies of austerity. As such, the modern economic mainstream has been challenged by these empirical facts. Today, several years after the outbreak of the international economic crisis, supply side effects do not seem to be increasing employment as the modern mainstream claimed they would. Aggregate demand has to play a more important role in macroeconomic analysis than hitherto. That is, there is a need for alternative explanations of how a modern macro economy is expected to function and how the macroeconomic outcome could be manipulated by the right economic policy proposals. As expressed by the contents of the present book, a Post Keynesian understanding proposes such an alternative theoretically, methodologically and in terms of policy measures. This book will present new materials and approaches, especially new evidence and new views on the potential problems of public debt, the European Union and the present crisis, Central Banking, hysteresis in an agent based framework, the foundations of macroeconomics and the problems of uncertainty.