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Microeconomics has been transformed in recent decades by the increasing use of game theory, behavioral economics, evolutionary modeling, network economics, mechanism design and attention to limited competition and asymmetric information. Bowles and Chen provide problem sets and exam questions (with carefully explained solutions) based on the new microeconomics, engaging learners with applications to income distribution, limited competition in goods and labor markets, climate change, and other public policy topics. Background notes explain the underlying concepts, their origin in the thinking of the great economists of the past, applications to macroeconomics, and relevant empirical evidence. This work provides a problem-based and policy oriented approach to teaching microeconomics, development, labor, environment, public economics and topics in business, management and public policy to upper level undergraduates, masters and doctoral students.

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