Jacket Copy of Microeconomic Foundations of Employment and Inflation Theory

The twelve original papers in this volume substantially deepen our understanding of unemployment and inflation theory. By extending the theory of individual behavior under uncertainty into areas of product-pricing, wage-setting, job-acceptance, and hiring decisions, the authors achieve a fundamentl synthesis of microeconomic and macroeconomic analysis.

The papers in Part I concentrate upon labor markets, the dynamics of wage-setting, and the employment decisions of both households and firms. In Part II the authors focus upon product markets, the dynamics of pricing and advertising, and capacity-utilization decisions. An introduction summarizes the results of this common effort to provide a new set of strategic concepts in the analysis of unemployment and inflation.