Includes index.

"One positive side-effect of the recent financial market meltdown that toppled giant, century-old institutions and cost millions their jobs is that it created a strong desire among many Americans to better understand how the U.S. economy functions. In The Little Book of Economics, Greg Ip, one of the country's most recognized and respected economics journalists, walks readers through how the economy really works. Written for the inquisitive layman who doesn't want to plow through academic jargon and Greek letters or pore over charts and tables, The Little Book of Economics offers indispensible insight into how the American economy works - or, doesn't. With engaging and accessible prose, the book: provides a comprehensive understanding of each aspect of our economy from inflation and unemployment to international trade and finance; serves as an insider's guide to the people and institutions that control America's economy such as the Federal Reserve and the federal budget; explains the roots of America's current economic crisis and the risks the country faces in its aftermath, such as stratospheric government debt, while offering advice on overcoming these threats; walks readers through the basic concepts and terminology they need to understand economic news; punctures myths and political spin from both the left and the right with candid and often surprising insight. A must read for anyone who wants a better grasp of the economy without taking a course in economics , The Little Book of Economics is a unique and engaging look at how the economy works in all its wonderful and treacherous ways"-- Provided by publisher.

The secrets of success : how people, capital, and ideas make countries rich -- Economic bungee jumping : business cycles, recessions, and depressions ... oh my! -- In-flight monitor : tracking and forecasting the business cycle from takeoff to landing -- Labor pains : employment, unemployment, and wages -- Fire and ice : warning: inflation and deflation are toxic to your economic health -- Drop the puck! : The globalization game is here whether we're ready or not -- All the world's an ATM : knitting global markets together -- All the president's men : they don't control the economy but they sure do try -- The buck starts here : the Federal Reserve's amazing power to print and destroy money -- White smoke over the Washington Mall : the making of monetary policy and the fine art of Fed watching -- When the world needs a fireman : America's lender of last resort and the world's crisis manager -- The elephant in the economy : what the government giveth and taketh away -- Good debt, bad debt : how government borrowing can save or destroy an economy -- Love-hate relationship : the bipolar financial system--essential for economic growth but sometimes it goes nuts -- A species of neuralgia : the multiple, recurring causes of financial crises.

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