ABSTRACT
If you read the financial pages in any newspaper (or sometimes the front pages if economic issues are pressing), you will see discussion about government budgets and deficits, interest rate changes, and how these affect unemployment and inflation. You may also see news about changes in the availability of certain crucial resources-particularly energy resources-and about how the impact of such changes in resource supplies spread throughout the country’s economy. How does economic theory help to make sense of it all?
