"This volume is part field guide to economics and part expose of the economic principles lurking behind daily events, explaining everything from traffic jams to high coffee prices." "The Undercover Economist is for anyone who's wondered why the gap between rich and poor nations is so great, or why he can't seem to find a decent second-hand car, or how to outwit Starbucks. This book offers the hidden story behind these and other questions, as economist Tim Harford reports back from Africa, Asia, and Europe to reveal how supermarkets, airlines, and coffee chains - to name just a few - are vacuuming money from our wallets. Harford punctures the myths surrounding some of today's biggest controversies, including the high cost of health care
he reveals why certain environmental laws can put a smile on a landlord's face
and he explains why some industries have high profits for innocent reasons, while in other industries high profits are the result of sinister schemes. Covering an array of economic concepts including scarce resources, market power, efficiency, price gouging, market failure, inside information, and game theory. Harford sheds light on how these forces shape our day-to-day lives, often without out knowing it."--BOOK JACKET.
Includes bibliographical references and index.