Site search
Site search
Understanding the Economic Environment, 4th edition

Understanding the Economic Environment, 4th edition

Barber, M; Callander, A, 2015

Available Formats

Format ISBN Price
Book 9781927248201 $130.00
eBook 9781927248485 $130.00

Understanding the Economic Environment is written specifically for the Economic Environment 520 prescription in the New Zealand Diploma of Business as well as providing a general introduction to mainstream economics in contemporary New Zealand.

This edition clearly explains and illustrates the essential tools of economic analysis and applies them to a range of contemporary issues.


Format: Paperback

Once published, this title will also be available in eBook format.
eISBN: 9781927248485


A step-by-step introduction to the key elements of economic theory and a general introduction to mainstream economics in contemporary New Zealand


This 4th edition of Understanding the Economic Environment clearly explains and illustrates the essential tools of economic analysis and applies them to a range of current issues in New Zealand.


Students are encouraged to understand and apply the economic principles they are learning and to critically evaluate these principles as they relate to decision-making for business and government economic policy.


The Lexis Nexis Understanding series is renowned for its straightforward layout and logical flow between topics, enabling student to navigate the text with ease. It also includes practical tools and reference materials ideal for revision and exam preparation:

     •     Clear language
     •     Business and real-life examples
     •     Diagrams and flow charts
     •     Key learnings at the beginning of each chapter
     •     Revision questions at the end of each chapter
     •     A comprehensive glossary of key terms


Key features of this 4th edition include:

     •     Full-colour and new design to make learning experience more straightforward, engaging and enjoyable for the student
     •     Updated content to reflect the current NZQA prescription
     •     Increased New Zealand content in each chapter relating to current events
     •     Reduced extent and a more concise focus on key economic principles
     •     NEW and updated ancillary content for lecturers that includes New Zealand specific content; lecture slides (PowerPoint™) and answers to end of chapter questions


Matthew Barber is Senior Lecturer in Law at Auckland University of Technology (AUT) and Director of the university’s Undergraduate Programmes in Law. He gained his Bachelor of Commerce (in economics) and Bachelor of Laws (with honours) from the University of Canterbury in 2000. He obtained his PhD in Law in 2008 and was also admitted as a barrister and solicitor of the High Court of New Zealand in the same year. Matthew’s research expertise includes law and economics, contract law and company law and he has published widely in these areas. He is a committee member of the Law and Economics Association of New Zealand (LEANZ).

Andrew Callander was previously the Programme Manager for the New Zealand Diploma of Business at the Southern Institute of Technology and the Bachelor of Commerce at the University of Otago. He has also been the Convenor for the Economics Group, New Zealand Diploma of Business, that developed earlier prescriptions for the Economic Environment paper and has also worked with NZQA as a moderator for EE520. Currently Andrew is enjoying life as the minister at St James Presbyterian Church in New Plymouth.

Table of Contents

     1.     The economic approach

     1.1   The economic problem

     1.2   The economic way of thinking

     1.3   The production possibilities frontier model

     1.4   Revision questions

     2.     The demand and supply model

     2.1   Demand

     2.2   Elasticity of demand

     2.3   Supply

     2.4   Demand and supply in a market

     2.5   Government intervention in the market

     2.6   Revision questions

     3.     Firms

     3.1   Profit maximization

     3.2   Short-run and long-run costs

     3.3   Market structures

     3.4   Revenue and profit

     3.5   Business strategy

     3.6   Revision questions

     4.     The government and the market

     4.1   Allocative efficiency

     4.2   Market failure 1: imperfect competition

     4.3   Market failure 2: public goods

     4.4   Market failure 3: externalities

     4.5   Equity vs. efficiency

     4.6   Revision questions

     5.     The economy

     5.1   Modelling economic activity

     5.2   Measuring economic activity

     5.3   The business cycle

     5.4   The aggregate demand aggregate supply model

     5.5   Revision questions

     6.     Government policy and the economy

     6.1   Economic objectives

     6.2   Fiscal policy

     6.3   Monetary policy

     6.4   Monetary policy and inflation targeting

     6.5   Revision questions

     7.     International trade and the global economy

     7.1   Free trade

     7.2   Balance of payments

     7.3   The foreign exchange market

     7.4   New Zealand and the global economy

     7.5   Revision questions


For lecturers who prescribe Understanding the Economic Environment for their course, the following resources are available:

• Hi resolution digital Image library (Jpeg files of each graph contained in textbook for lecturers to incorporate into their lecture slides)
• Recent NZ examples of economics in action (Pdf)
• Answers to end of chapter queries (Pdf)

You can download the files here

Local recent examples PDF
End of chapter answers PDF
Graphic images

Note: To download the files, lecturers are required to enter a password. Lecturer should contact their relationship manager Margaret Broadbent at for this information.

How to purchase:

1. Webchat

Get straight through to a LexisNexis representative who will quickly process your order!

2. Email to be contacted by an LN representative. Note: All fields are required

3. Call

Call 1800 772 772 to place your order now!

Get straight through to a LexisNexis representative who will quickly process your order!

Give Feedback