Basic Theory and Empirics about Prosperity and Growth -- Some Facts about Prosperity and Growth -- Capital Accumulation and Growth: The Basic Solow Model -- Wealth Accumulation and Capital Mobility: The Solow Model for a Small Open Economy -- Exogenous Growth -- Technological Progress and Growth: The General Solow Model -- Education and Growth: The Solow Model with Human Capital -- Limits to Growth? The Solow Model with Scarce Natural Resources -- Endogenous Growth -- Productive Externalities and Endogenous Growth -- R & D-Based Models of Endogenous Growth: Macroeconomic Modelling -- R & D-Based Models of Endogenous Growth: Micro Foundations -- Structural Unemployment -- Some Facts and Introductory Theory about Unemployment -- Efficiency Wages and Unemployment -- Trade Unions and Unemployment -- The Economy in the Short Run: Some Facts about Business Cycles -- The Building Blocks for the Short Run Model -- Investment and Asset Prices -- Consumption, Income and Wealth -- Monetary Policy and Aggregate Demand -- Inflation, Unemployment and Aggregate Supply -- The Short Run Model for the Closed Economy -- Explaining Business Cycles: Aggregate Supply and Aggregate Demand in Action -- Stabilization Policy: Why and How? -- Stabilization Policy with Rational Expectations -- The Limits to Stabilization Policy: Credibility, Uncertainty and Time Lags -- The Short Run Model for the Open Economy -- Aggregate Demand and Aggregate Supply in the Open Economy -- The Open Economy with Fixed Exchange Rates -- The Open Economy with Flexible Exchange Rates -- The Choice of Exchange Rate Regime and the Theory of Optimum Currency Areas.