Includes bibliographical references and index.

1. Command, market and mixed economies -- 2. Eastern European economic transition -- 3. Microeconomics and macroeconomics -- 4. Unemployment and inflation -- 5. Free trade, regional agreements and strategic policies -- 6. Customs unions and common markets -- 7. Money, banking and international finance -- 8. Exchange rates and currency union -- 9. The economics of oil -- 10. Foreign debt, Western banks and international policemen -- 11. Development, growth and Asian dragons -- 12. Environmental economics: sustaining spaceship earth -- 13. Conclusion: into the twenty-first century.

Understanding the World Economy gives an up-to-date account of how the world economy is changing. The text follows themes from one side of the world to the other, examining the economic forces at work and the impact they have on us. Looking forward to the new century, the book argues that as trade and finance become increasingly globalised a worldwide perspective will become vital to economists. Key theories are illustrated in contemporary real-world settings and explained in jargon-free, non-technical language. The book will give a comprehensive introduction to students new to the subject whose interest goes beyond their own national economy.