This seventh edition bears only a modest resemblance to the first, the basic purpose remains the same: to introduce the beginning economic student to those principles essential to an understanding of fundamental economic problems and the policy alternatives society may utilize to contend with these problems. It is hoped that the ability to reason accurately and objectively about economic matters and the development of a lasting interest in economics will be two valuable by-products of this basic objective. Furthermore, the intention remains that of presenting the principles and problems of economics in a straightforward, logical fashion. To this end, great stress has been put upon the clarity of presentation and organization.