Microeconomics using EXCEL(R): Integrating Economic Theory, Policy Analysis and Spreadsheet Modelling
Stefan Bäckman · European Review of Agricultural Economics · 2008
In economics, theory and application generally go well together. However, as teachers note, there is often a need for attention to applied economics in order to improve students' understanding of economic theory. Teaching theory alone is not always so fruitful. In politics, on the other hand, the economy is often at the centre of attention, used simply to strengthen arguments but not always on a sound basis. In both these cases, simple economic models are useful in showing trade-offs and synergies. Tools for working out economic theories often require complex programming or programs, or are simply wrong, like using a wrench as a hammer. And yet, many theories in economics can often be worked out by using simple spreadsheets and a tool for iterative optimisation. The book Microeconomics Using Excel® by Jechlitschka, Kirschke and Schwarz therefore sounds like a good tool manual. The first impression of the book is that it is a handy-sized, black-and-white book with 240 pages of rather dense content. It consists of four parts: analysis of price policies, structural policies, multi-market models and budget policy. Altogether there are 18 chapters and a subject index at the end. The book comes with a code-accessible link that gives a downloadable zip package with the models as Excel® worksheet files.