The Economy Today (Ninth Edition)

The terrorist attacks of September 11, 2001, increased the demand for economic education. In the immediate aftermath of those attacks, there was worldwide anxiety about the stability of the U.S. economy. Would the attacks topple the already-teetering U.S. economy into a deep and prolonged recession, dragging the world economy down with it? Or would the U.S. economy bounce back from the terrorists' "external shock" before much damage was done? Overnight, the field of economics attracted a larger and more attentive audience. That audience wants to know how the economy works, how global economies interact, and whether governments can assure economic security. Can we deliver the goods? Can we explain how the pieces of the economy fit together? Can we identify the circumstances that justify government intervention in the marketplace? Can we explain how and why the Federal Reserve's lightning-fast injections of liquidity averted a financial meltdown in the aftermath of the terrorist attacks? Or why airport security might be a "public good" requiring government subsidy? Or why "saving Social Security" took a back seat to saving the economy in budget debates? Last, but far from least, can we convey all this information in a manner that students will actually absorb?