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Preface 1 Masanao Aoki; Preface 2 Hiroshi Yoshikawa; 1. Introduction - a new approach to macroeconomics; 2. The methods - jump Markov processes and random partitions; 3. Equilibrium as distribution - the role of demand in macroeconomics; 4. Uncertainty trap - policy ineffectiveness and long stagnation of the macroeconomy; 5. Slow dynamics of the macro system - no mystery of inflexible prices; 6. Business cycles - an endogenous stochastic approach; 7. Labor market dynamics - a new look at natural unemployment and Okun’s law; 8. Demand saturation - creation and economic growth; 9. The types of investors and volatility in financial markets - analyzing clusters of heterogeneous agents; 10. Stock prices and the real macroeconomy - power-law versus exponential distributions.

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