ECON 102 Lecture Notes - Lecture 22: Keynesian Economics, Modernization Theory, Perfect Competition
Document Summary
The intellectual starting point is a free (laissez-faire) market system that functions without any government regulation, subsidies, government granted monopolies, and relatively free from taxes or tariffs. The history of as an idea and 4 aspects often taken for granted. Originally seen as an external sphere separate from the rest of our lives. Independent of social, political and cultural processes. A machine that is the responsibility of national governments. Originally used as a political economy to analyse national consumption and production (1800s) The discipline of economics flourishes in the late 1800s early 1900s. Economists advocate understanding individual economic decisions and then aggregated them into economic models. Later in the 19th century karl marx put forth a more radical version of the economy. Keynesianism (1940s-70s) the idea that national economies were bounded and could be controlled using policy. 1940s the economy emerges as a popular concept. Assumption #3: private property: complicated by communal property, use rights, state-owned land/resources etc.
