This course introduces the foundations of economic analysis and explanation. It follows the classical themes of Adam Smith in the Wealth of Nations, highlights the economic ways of thinking and quantitative reasoning, and applies economic principles to a wide range of real-world phenomena. Topics include the nature of economics, social competition and rules, production and exchange, international trade, consumer choices, producer decisions, market equilibrium and welfare, income distribution and inequality, government taxation and intervention, market efficiency and failures, and the Coase theorem. Format: lectures and discussions, polls and quizzes, book review, problem sets, exams, research project.