Product Description: This volume honors the work of Axel Leijonhufvud. The topics range from Keynesian economics and the economics of high inflation to the micro-foundations of macroeconomics and economic history. The authors comprise some of the very best economists active today.

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The Study Guide, written by Jang-Ting Guo of the University of California, Riverside and Shankha Chakraborty of UCLA, provides a variety of review materials and problems that will help students master macroeconomics. Solutions are provided. (view table of contents)

Graduate macroeconomics courses are becoming increasingly technical. Students must learn the tools of dynamic analysis and they must be able to apply these tools to the wide range of different models that constitute the body of macroeconomic theory. This text presents a unified treatment of these approaches by showing how all of the models are related to the microeconomic paradigm of general equilibrium theory. It particularly complements Blanchard and Fisher's "Lectures on Macroeconomics" by filling out the technical material omitted in that text. Farmer proposes that the general equilibrium model most appropriate as a basis for macroeconomics is very different from the microeconomic paradigm. In the context of macroeconomic models, he observes, it is often the case that the welfare theorems that capture the idea of "the invisible hand" will fail to hold. Farmer explains the consequences of this failure for the properties of dynamic economic models. Farmer argues throughout that the model of macroeconomics that is the best tool for understanding the facts is one in which the self-fulfilling expectations of individual agents can have important effects on economic activity. Several chapters present new research showing how the ideas presented in the first part of the book can be used to provide new insights into old problems. (view table of contents)