Economic Policy: Introduction to Core Models

Economic Policy is designed primarily as a textbook for undergraduate and graduate courses in economic policy, and is aimed at students who have already completed introductory courses in microeconomics and macroeconomics. At the same time, it provides an accessible and scientifically grounded guide for readers beyond academia who wish to develop a deeper understanding of how public intervention shapes economic outcomes in contemporary societies.The book introduces the main concepts, methods, and issues of economic policy, taking into account the profound economic and social transformations that have reshaped the global landscape in recent decades and paying particular attention to the European institutional framework. It offers a concise yet rigorous treatment of the foundations of the discipline, highlighting distinctive features of economic policy analysis, including the role of institutions and the normative use of economic models. The volume covers a broad range of topics spanning microeconomic and macroeconomic policies, as well as issues of income distribution and social welfare. Throughout the book, economic policy is viewed as a process aimed at managing and regulating the conflicts and trade-offs that arise among different actors, interests, and levels of decision-making.Updated to reflect economic developments and institutional arrangements through 2025, the book retains a rich pedagogical structure. Each chapter opens with a real-world case study drawn from recent events, illustrating the relevance of the issues under discussion. Additional learning features include insight boxes, which examine selected topics in greater depth; worked examples, which provide step-by-step solutions to economic policy problems; and institutional boxes, which explain the operation of key economic and policy institutions. End-of-chapter questions and exercises allow readers to assess and consolidate their understanding.