Software as Capital

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"Basic Economics" by Thomas Sowell is the easiest to read, accurate introduction I have read. "Hidden Order: The Economics of Everyday Life" by David Friedman requires a little more work. Several previous commentors have recommended Hayek's "Road to Freedom", but I think his last book, "The Fatal Conceit" covers more or less the same ground and is easier to read. "Software As Capital" by Howard Baetjer, Jr is interesting, but I wish he had discussed open source in it, since his analysis contradicts most open source theories and practice. A good Engineering Economics text may be useful. And I second the other commentors who suggested Jane Jacobs's "Economics of Cities" and "Cities and the Wealth of Nations" and O'Rourke's "Eat the Rich", his "On the Wealth of Nations", an analysis of Adam Smith's classic is also worth reading.