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Unit One Introduction to Economics 1

Reading One Introduction to Economics 1

Reading Two Research on Challenges and Strategies for China's Green Economy Development 6

In the News China Will Be World's Leading Economic Power by 2030 11

Unit Two Demand and Supply 13

Reading One The Market Forces of Demand and Supply 13

Reading Two Urban Supply-Demand Interrelations in Business Services 22

In the News Oil Prices Collapse on Falling Demand 25

Unit Three The Public Sector 27

Reading One Government's Functions in the Economy 27

Reading Two Are Chinese Stock and Property Markets Integrated or Segmented? 35

In the News China Raises Defense Budget,Promises to Help the Poor 39

Unit Four The Organization of Industry 41

Reading One Monopoly 41

Reading Two The Chinese Government and the National Oil Companies(NOCs):Who Is the Principal? 48

In the News McCain Wants US to Buy Bad Home Loans;Obama Pushes for Tax Cuts 51

Unit Five Firm Behavior 54

Reading One The Costs of Production 54

Reading Two A Tale of Two Eco-Cities:Experimentation under Hierarchy in Shanghai and Tianjin 62

In the News Quick Action Sought on US Plan to Rescue Banks from Bad Debts 67

Unit Six Labor Market 69

Reading One Increasing Wage Inequality:The Effects of Globalization and Technology 69

Reading Two Closing the Skills Gap:Companies and Colleges Collaborating for Change 75

In the News China's Rural Migrant Workers Deserve More Respect from the City-dwellers 80

Unit Seven Social Welfare 82

Reading One Is GDP a Good Measure of Economic Well-being 82

Reading Two A Summary of the Liveability Ranking and Overview of 2014 89

In the News China Overtakes Japan as No.2 Economy 93

Unit Eight Monetary Policy 96

Reading One The Costs of Inflation:Not What You Think 96

Reading Two Financial Markets 103

In the News Price Data Suggest Specter of Deflation in China 107

Unit Nine The Role of Government 110

Reading One Should the Government Use Policy to Stabilize the Economy? 110

Reading Two The G20 E-Trade Readiness Index 116

In the News China Cuts Lending Rate as Its Economic Growth Slows 120

Unit Ten International Economics 124

Reading One The Logic of International Trade 124

Reading Two Breaking Borders:From Canada to China,Barriers Overshadow Growth for Expanding SMEs 130

In the News Facing a Slowing Economy,China Turns to American Exports 134

Key to the Exercises 137

Bibliography 146