Foundations of Macroeconomics

This book presents an integrated framework for understanding macroeconomics by linking economic theory, policy analysis, and real-world practice within a unified analytical structure. It examines how aggregate output, employment, inflation, and growth emerge from the interaction of households, firms, markets, and institutions, with particular attention to the microeconomic foundations that shape macroeconomic outcomes. Core topics include macroeconomic measurement, labor and capital markets, expectations, fiscal and monetary policy, and the conditions under which economic systems function efficiently or experience prolonged periods of underperformance. The book is intended for students, academics, and readers with an interest in economics who seek a rigorous yet structured treatment of macroeconomic analysis beyond introductory surveys. It adopts a theoretical and analytical approach, supported by formal reasoning, graphical analysis, and selected mathematical tools, while emphasizing the integration of classical and non-classical perspectives to clarify policy choices in both short-run stabilization and long-run economic performance.