Real-world problems and issues in the text and in featured Applications provide abundant concrete, living examples to show microeconomic theory in action. The text goes beyond basic theory to explain theories and applications from important contemporary fields of economics, including industrial organization, labor economics, international trade, public finance, transaction costs, adverse selection, limited information, contract theory, and resource economics. Game theory is applied in six chapters in the second half of the book. The unique Solved Problem featurespotlighting real economic issues such as firms' strategic decisions and the making of government policy - uses a step-by-step approach to walk students through the solution of qualitative and quantitative problems. Drawn with care and precision, full-color graphs and other figures convey microeconomic theories clearly and accessibly.

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