Paul Krugman

Paul Krugman is Professor of Economics and International Affairs at Princeton University and a New York Times columnist. He was awarded the Nobel Prize for Economics in 2008.

  • The Spatial Economy

    The Spatial Economy

    Cities, Regions, and International Trade

    Masahisa Fujita, Paul Krugman, and Anthony J. Venables

    The authors show how a common approach that emphasizes the three-way interaction among increasing returns, transportation costs, and the movement of productive factors can be applied to a wide range of issues in urban, regional, and international economics.

    Since 1990 there has been a renaissance of theoretical and empirical work on the spatial aspects of the economy—that is, where economic activity occurs and why. Using new tools—in particular, modeling techniques developed to analyze industrial organization, international trade, and economic growth—this "new economic geography" has emerged as one of the most exciting areas of contemporary economics.

    The authors show how seemingly disparate models reflect a few basic themes, and in so doing they develop a common "grammar" for discussing a variety of issues. They show how a common approach that emphasizes the three-way interaction among increasing returns, transportation costs, and the movement of productive factors can be applied to a wide range of issues in urban, regional, and international economics. This book is the first to provide a sound and unified explanation of the existence of large economic agglomerations at various spatial scales.

    • Hardcover $62.50 £46.95
    • Paperback $40.00 £30.00
  • The Age of Diminished Expectations, Third Edition

    The Age of Diminished Expectations, Third Edition

    Paul Krugman

    Paul Krugman's popular guide to the economic landscape of the 1990s has been revised and updated to take into account economic developments of the past three years. New material in the third edition includes:- A new chapter—complete with colorful examples from Lloyds of London and Sumitomo Metals—on how risky behavior can lead to disaster in private markets.- An evaluation of the Federal Reserves role in reining in economic growth to prevent inflation, and the debate over whether its growth targets are too low.- A look at the collapse of the Mexican peso and the burst of Japans bubble economy.- A revised discussion of the federal budget deficit, including the growing concern that Social Security and Medicare payments to retiring baby boomers will threaten the solvency of the government. Finally, in the updated concluding section, the author provides three possible scenarios for the American economy over the next decade. He warns that we live in an age of diminished expectations, in which the voting public is willing to settle for policy drift—but with the first of the baby boomers turning 65 in 2011, the U.S. economy will not be able to drift indefinitely.

    • Hardcover $58.00 £39.95
    • Paperback $28.95 £23.00
  • Pop Internationalism

    Pop Internationalism

    Paul Krugman

    "Pop internationalists"—people who speak impressively about international trade while ignoring basic economics and misusing economic figures are the target of this collection of Paul Krugman's most recent essays. In the clear, readable, entertaining style that brought acclaim for his best-selling Age of Diminished Expectations, Krugman explains what real economic analysis is. He discusses economic terms and measurements, like "value-added" and GDP, in simple language so that readers can understand how pop internationalists distort, and sometimes contradict, the most basic truths about world trade.

    All but two of the essays have previously appeared in such publications as Foreign Affairs, Scientific American, and the Harvard Business Review. The first five essays take on exaggerations of foreign competition's effects on the U.S. economy and represent Krugman's central criticisms of public debate over world trade. The next three essays expose further distortions of economic theory and include the complete, unaltered, controversial review of Laura Tyson's Who's Bashing Whom. The third group of essays highlights misconceptions about competition from less industrialized countries. The concluding essays focus on interesting and legitimate economic questions, such as the effects of technological change on society.

    • Hardcover $30.00 £22.95
    • Paperback $34.00 £27.00
  • Development, Geography, and Economic Theory

    Development, Geography, and Economic Theory

    Paul Krugman

    Why do certain ideas gain currency in economics while others fall by the wayside? Paul Krugman argues that the unwillingness of mainstream economists to think about what they could not formalize led them to ignore ideas that turn out, in retrospect, to have been very good ones. Krugman examines the course of economic geograph and development theory to shed light on the nature of economic inquiry. He traces how development theory lost its huge initial influence and virtually disappeared from economic discourse after it became clear that many of the theory's main insights could not be clearly modeled. Economic geography seems to have fared even worse, as economists shied away from grappling with questions about space—such as the size, location, or even existence of cities—because the "terrain was seen as unsuitable for the tools at hand." Krugman's book, however, is not a call to abandon economic modeling. He concludes with a reminder of why insisting on the use of models may be right, even when these sometimes lead economists to overlook good ideas. He also recaps the discussion of development and economic geography with a commentary on recent developments in those fields and areas where further inquiry looks most promising.

    • Hardcover $45.00 £34.95
    • Paperback $30.00 £24.00
  • The Age of Diminished Expectations, Revised And Updated Edition

    The Age of Diminished Expectations, Revised And Updated Edition

    Paul Krugman

    Paul Krugman's essential guide to the economic landscape of the 1990s has been revised and updated to include a new introduction in which Krugman connects George Bush's fall from office to simmering dismay over a long-term economic slowdown. There is a new chapter on international finance that focuses primarily on European monetary affairs, and a new chapter on health care that examines why costs have exploded and explains how managed competition and alternative systems would work, and why it is so difficult to control rising health care costs. There are smaller additions throughout the rest of the book. These include:- a discussion of how people misunderstand the relationship between productivity and competitiveness;- the very minor industrial policy proposals that have been made thus far;- new data reflecting even larger gains for the wealthy than have been thought;- a prediction that Clinton's tax plan will have only a small impact;- a discussion of the junk bond market collapse;- and the startling productivity numbers for 1992. Discussions of unemployment and the trade deficit take into account that unemployment has risen, and there is a new section on how the Federal Reserve fumbled, as well as a new assessment of financial markets in light of the recession.

    • Hardcover $24.00
    • Paperback $12.95
  • East-West Migration

    East-West Migration

    The Alternatives

    Richard Layard, Olivier Blanchard, Rudiger Dornbusch, and Paul Krugman

    This sequel to Reform in Eastern Europe is a report on one of the most pressing issues for countries with economies in transition and their neighbors. Focusing on the problem of East-West migration, the authors clearly delineate and promote the notion of European free trade and capital flows as a means of raising productivity and increasing worker stability in the East and of reducing income gaps between countries.

    As economists who have been deeply and consistently involved in the recent upheavals in the East, the authors are in a position to take a well-informed stance on the economic and social dislocations that are occurring. They first outline the problem and recommend that Europe begin to admit primary migrants and that the US increase its quota. They then look at migration statistics from previous eras to predict equivalent levels in the near future and take into account the long-run and short-run effects of migration in the US and Europe. They conclude with a detailed discussion of "the best defense of all," economic progress, and lay out the necessary conditions for free trade, investment, and aid.

    • Hardcover $22.00
    • Paperback $18.00 £13.99
  • Currencies and Crises

    Currencies and Crises

    Paul Krugman

    This new collection revolves around Krugman's work on international monetary economics from the late 1970s to the present in an effort to make sense of a turbulent period that "involved one surprise after another, most of them unpleasant."

    Paul Krugman's first collection of essays, Rethinking International Trade, mounted a spirited assault on established trade theory and proposed an alternative approach to account for increasing returns and imperfect competition. Less theoretical and more embedded in real-world experience, this new collection revolves around Krugman's work on international monetary economics from the late 1970s to the present in an effort to make sense of a turbulent period that "involved one surprise after another, most of them unpleasant."The eleven essays cover such key areas as the role of exchange rates in balance-of-payments adjustment policy, the role of speculation in the functioning of exchange rate regimes, Third World debt, and the construction of an international monetary system. They are unified by the same basic methodology and style the construction of a small theoretical model in order to simplify or clarify a puzzling or difficult world monetary problem.

    • Hardcover $50.00 £37.95
    • Paperback $35.00 £27.00
  • Reform in Eastern Europe

    Reform in Eastern Europe

    Olivier Blanchard, Rudiger Dornbusch, Paul Krugman, Richard Layard, and Lawrence H. Summers

    How can the new governments of Eastern Europe succeed in moving from centrally planned to freemarket economies? This incisive report identifies and describes the major policy choices to be made and discusses what will work and what will not.Reform in Eastern Europe provides a comprehensive, easily read statement of reform policy that stands in the mainstream of modern Western economics. Based on their experience with stabilization policies in other countries, the authors show how Eastern Europe can reduce unemployment during the painful adjustment process, create effective and socially acceptable mechanisms to subject enterprises to market discipline, and replace barter trade under CMEA with market-based international trade.

    • Hardcover $22.00
    • Paperback $16.00 £12.99
  • Geography and Trade

    Geography and Trade

    Paul Krugman

    "I have spent my whole professional life as an international economist thinking and writing about economic geography, without being aware of it," begins Paul Krugman in the readable and anecdotal style that has become a hallmark of his writings. Krugman observes that his own shortcomings in ignoring economic geography have been shared by many professional economists, primarily because of the lack of explanatory models. In Geography and Trade he provides a stimulating synthesis of ideas in the literature and describes new models for implementing a study of economic geography that could change the nature of the field. Economic theory usually assumes away distance. Krugman argues that it is time to put it back - that the location of production in space is a key issue both within and between nations.

    • Hardcover $17.95 £13.95
    • Paperback $30.00 £24.00
  • Rethinking International Trade

    Rethinking International Trade

    Paul Krugman

    Over the past decade, a small group of economists has challenged traditional wisdom about international trade. Rethinking International Trade provides a coherent account of this research program and traces the key steps in an exciting new trade theory that offers, among other possibilities, new arguments against free trade.

    Over the past decade a small group of economists has challenged traditional wisdom about international trade. Rethinking International Trade provides a coherent account of this research program and traces the key steps in an exciting new trade theory that offers, among other possibilities, new arguments against free trade.

    Krugman's introduction is a valuable guide to research that has delved anew into the causes of international trade and reopened basic questions about the international pattern of specialization, the effects of protectionism, and what constitutes an optimal trade policy. In the four sections that follow, he takes a revisionary look at the causes of international trade, and discusses growth and the role of history, technological change and trade, and strategic trade policy.

    • Hardcover $32.50 £24.95
    • Paperback $40.00 £30.00
  • Exchange-Rate Instability

    Paul Krugman

    In an intriguing synthesis of current theories of international finance, trade, and industrial organization, Paul Krugman presents a provocative analysis of the extraordinary volatility of exchange rates in the 1980s. Krugman focuses on imperfect integration of the world economy, showing how this has become both a cause and effect of exchange rate instability. He outlines the costs and benefits of recent flexible-exchange rate policies and offers fresh insight into why the models that worked in the first half of the 1980s don't work in the growing uncertainty of the latter half. Krugman's analysis is succinct and accessible, with technical appendixes that offer powerful backing to his ideas. Exchange Rate Instability contains a surprising reevaluation of the author's own work on exchange rates. Krugman questions the need for further devaluation of the dollar, arguing that uncertainty - rather than the lack of cost­competitiveness explains the failure of current policies to reduce the United States trade deficit. He proposes an eventual return to fixed exchange rates.

    • Hardcover $30.00 £24.95
    • Paperback $23.00 £17.99
  • Strategic Trade Policy and the New International Economics

    Strategic Trade Policy and the New International Economics

    Paul Krugman

    This volume of original essays brings the practical world of trade policy and of government and business strategy together with the world of academic trade theory. It focuses in particular on the impact of changes in the international trade environment and on how new developments and theory can guide our trade policy.

    Contents New Thinking about Trade Policy, Paul Krugman (Sloan School of Management, MIT) • Rationales for Strategic Trade and Industrial Policy, James A. Brander (University of British Columbia) • Strategic Export Promotion: A Critique, Gene M. Grossman (Woodrow Wilson School, Princeton University) • Government Policy and the Dynamics of International Competition in High Technology, Michael Borrus, Laura d'Andrea Tyson, and John Zysman (all at the University of California, Berkeley) • What Should Trade Policy Target?, Barbara Spencer (University of British Columbia) • Credit Policy and International Competition, Jonathan Eaton (University of Virginia) • Industrial Policy: An Overview, Geoffrey Carliner (National Bureau of Economic Research) • Japan's Industrial Strategy, Kozo Yamamura (University of Washington) • U.S. Trade and Industrial Policy, William R. Cline (Institute for International Economics) • Strategic Behavior and Trade Policy, Alvin K. Klevorick (Yale University) and William Branson (Princeton University) • The New Political Economy of Trade Policy, J. David Richardson, (University of Wisconsin) • Trade Policy: An Agenda for Research, Avinash K. Dixit (Woodrow Wilson School, Princeton University)

    • Hardcover $30.00
    • Paperback $34.00 £27.00
  • Market Structure and Foreign Trade

    Market Structure and Foreign Trade

    Increasing Returns, Imperfect Competition, and the International Economy

    Elhanan Helpman and Paul Krugman

    Market Structure and Foreign Trade presents a coherent theory of trade in the presence of market structures other than perfect competition. The theory it develops explains trade patterns, especially of industrial countries, and provides an integration between trade and the role of multinational enterprises.

    Relating current theoretical work to the main body of trade theory, Helpman and Krugman review and restate known results and also offer entirely new material on contestable markets, oligopolies, welfare, and multinational corporations, and new insights on external economies, intermediate inputs, and trade composition.

    • Hardcover $35.00 £24.95
    • Paperback $35.00 £27.00

Contributor

  • Lives of the Laureates, Sixth Edition

    Lives of the Laureates, Sixth Edition

    Twenty-three Nobel Economists

    Roger W. Spencer and David A. Macpherson

    Autobiographical accounts by Nobel laureates reflect the richness and diversity of contemporary economic thought and offer insights into the creative process.

    Lives of the Laureates offers readers an informal history of modern economic thought as told through autobiographical essays by twenty-three Nobel Prize laureates in Economics. The essays not only provide unique insights into major economic ideas of our time but also shed light on the processes of intellectual discovery and creativity. The accounts are accessible and engaging, achieving clarity without sacrificing inherently difficult content.

    This sixth edition adds four recent Nobelists to its pages: Eric Maskin, who illustrates his explanation of mechanism design with an example involving a mother, a cake, and two children; Joseph Stiglitz, who recounts his field's ideological wars linked to policy disputes; Paul Krugman, who describes the insights he gained from studying the model of the Capitol Hill Babysitting Coop (and the recession it suffered when more people wanted to accumulate babysitting coupons than redeem them); and Peter Diamond, who maps his development from student to teacher to policy analyst.

    Lives of the Laureates grows out of a continuing lecture series at Trinity University in San Antonio, which invites Nobelists from American universities to describe their evolution as economists in personal as well as technical terms. These lectures demonstrate the richness and diversity of contemporary economic thought. The reader will find that paths cross in unexpected ways—that disparate thinkers were often influenced by the same teachers—and that luck as well as hard work plays a role in the process of scientific discovery.

    The Laureates Lawrence R. Klein • Kenneth J. Arrow • Paul A. Samuelson • Milton Friedman • George J. Stigler • James Tobin • Franco Modigliani • James M. Buchanan • Robert M. Solow • William F. Sharpe • Douglass C. North • Myron S. Scholes • Gary S. Becker • Robert E. Lucas, Jr. • James J. Heckman • Vernon L. Smith • Edward C. Prescott • Thomas C. Schelling • Edmund S. Phelps • Eric S. Maskin • Joseph E. Stiglitz • Paul Krugman • Peter A. Diamond