ECON 105 Lecture Notes - Lecture 6: Feudalism, Genuine Progress Indicator
Document Summary
Evaluating economic performance in 4 ways: efficiency: making efficient use of the available resources- natural, human, and manufactured, equity: distributing its fruits in accordance with out social standard fs of equity. Socialism- application of collectivist principles in the context of a modern advanced economy. Slavery- its an economy where slaves are the goods. Feudalism- different social classes are linked by a system of mutual rights and obligations, usually based on traditional roles and beliefs. Capitalism- the economic system in which financial considerations dominate. The quest for financial reward is the driving force shaping what is done. It also determines who gets what in the distribution of rewards. Work is done for wages, business activity is undertaken for profit. Workers u(cid:374)der (cid:272)apitalis(cid:373) are free (cid:271)e(cid:272)ause they are(cid:374) t tied to a particular employer by force or convention. Under capitalism, the state regulates and enforces the property rights on which the capitalist economy is based.
