...with a similar situation is “Can the solution that may have worked 300 years ago work in these modern times?” President Barack Obama has spoken on many proposals that can be linked back to Adam Smith’s “The Wealth of a Nation” like strengthening our domestic products, progressive taxes, war and its effect on the economy. Many are also arguing that he may have socialist intentions that are supported by the theories of Karl Marx where there is an even distribution of wealth. Our economy is in disarray because of policies that weren’t kept in check to prevent what we are experiencing today. Many of Adam Smith’s ideas are being experienced today in both a negative and positive way and along with certain ideas of Karl Marx, will be essential to our current administration in leveling our economy and rebuilding the wealth of our nation. What worries me the most about our current times is that people are worried about it. Have we not been in a recession, have we not had major job losses that reduced our GDP? This is not meant to sound insensitive but instead it’s meant to be insightful. We have been here before, and if history is correct we will be here again especially if we don’t adapt to learn from our mistakes, which we have a tendency of overlooking. The Wealth of a Nation was written by Adam Smith who is often...
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...Classical Economics, is infamous has been called the “first modern school of economic thought.”[1] Two economist/philosophers who have been placed within this Classical category are Adam Smith and Karl Marx. Though these two men are polar opposites in the political-economic spectrum they share some similarities; and although dated, there are points of value to both Adam Smith’s and Karl Marx’s theories. Adam Smith, the father of economics as a science, combined economics with moral theory in regards to the way societies ought to live. Today’s capitalist economic systems have been shaped by Smith’s explanations of market factors and the role of the state, or lack thereof, in economics. Karl Marx, a fundamental revolutionary, is one of the original minds behind communism. He is renowned as a radical political philosopher. These men have together been placed in the school of classical economics, signaling that there are similarities in their ideology. Politically, however, these men differ greatly. This essay intends to study some of their most poignant theories to compare fundamental differences. Karl Marx became famous for his revolutionary ideas and as one of the originators of communist theories. He is renowned for his book on economic theory, Das Kapital. As members of the Communist League, Marx and his friend Friedrich Engels authored the Communist Manifesto—which discussed the class struggle and the need for a revolution of the proletariat.[3] Common Sense...
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...The views of the Division of Labour through the eyes of three of the most influential philosophers The productive activity, especially for the sake of economic gain. The definition of labour has been constant over time, yet many have argued to what extent labour is divided. For some the division of labour represent doing what we are naturally inclined to do, to others it represents specialization in certain tasks and yet to others labour is most productive when decisions are left in the hands of the worker . There are many distinct definitions of the division of labour, yet the most famous are found in the teachings of Plato, Karl Marx and Adam Smith. The division of labour for Plato stems from the natural capacity of human beings. Plato believes people are naturally suited for specific jobs, it is not through the acquired skill that they chose what they will do in life. He states “…we must infer that all things are produced more plentiful and easily and of a better quality when one man does one thing which is natural to him and does it at the right time and leaves other things”(McNulty, 1975). Simply stating this indicates that one should not gravitate towards another job, as the result would be all but optimal for society. He states that division of labour is formed due to the diversity of human talent (McNulty, 1975). Simply put, not everyone is made out to be a basket weaver, blacksmith or baker, yet when society calls upon its members to meet its demand people while...
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...The origins of capitalism can be traced back to the man who is considered its founding father, Adam Smith. In 1776, Smith published The Wealth of Nations, a magnum opus that described the philosopher’s views on topics such as the division of labor and productivity, and how each played a role in the implementation of laissez-faire economics. Smith believed that the adoption of this type of system would create an ideal society through supply and demand enterprise. Karl Marx once prophesized that a working-class revolution was inevitable due to effects of capitalism and free-markets. Drawing his ideologies from his observations during the Industrial Revolution, Marx realized that social inequality existed between the proletariat and the bourgeoisie....
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...Thought Winter 2012/13 2 / 93 Outline, Relevance, and Contents Outline, Relevance, and Contents Relevance: Reasons for concentrating on the history of thought General historic interest (assumed!) Developing a sense for connections between political/technical history and the emergence of new economic ideas Many recently discussed topics in economics have ancestors in previous decades and centuries; many ‘brand-new’ approaches actually possess long beards (however often forgotten). Hans-Walter Lorenz (FSU Jena) A Short History of Economic Thought Winter 2012/13 3 / 93 Outline, Relevance, and Contents Outline, Relevance, and Contents Contents The Classics – Quesnay, Smith, Ricardo, Say, Malthus, Marx The Neoclassics – Marshall, Walras, Menger, Gossen The Keynesian Revolution The Neoclassical Synthesis and the New Classical School Strategic Behavior and Game Theory Evolutionary Economics Hans-Walter Lorenz (FSU Jena) A Short History of Economic Thought Winter 2012/13 4 / 93 The Classics The Classics The Most Influential Classical Writers: Francois Quesnay (1694 - 1774) ¸ Adam Smith (1723 - 1790) David Ricardo (1772 - 1823) Jean-Baptiste Say (1767 - 1832) Robert Malthus (1766 - 1834) Karl Marx (1818 -...
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...12/7/14 A Comparison of Social Contracts A social contract is a distinctive agreement among the members of a society to cooperate with one another to gain social benefits. There have been many social philosophers throughout history who have written about their opinion on how society should function within a successful government. Thomas Hobbes (1588-1679) was an English philosopher who believed that the human race was corrupted from birth and that they were cruel, greedy and selfish. He also believed that people will fight, steal, and torment each other. He further believes that people must be ruled by an absolute monarchy and the surrounding governments must grant all power to the king. Another English philosopher,...
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...With globalization creating a world economy, and world trade growing substantially, we are all uniquely interconnected. International trade, and policies surrounding it are a key discussion point for politicians and citizens of nations worldwide, with poverty and development often mentioned when discussing these subjects. As the World Bank puts it, “Trade is a key means to fight poverty and achieve the Millennium Development Goals. It allows countries to import ideas and technologies, realize comparative advantage and economy of scale, and foster competition and innovation to increase productivity and achieve higher sustainable employment and economic growth.” (World Bank, 2013) Many economists have attributed much of the global economic growth down to free trade agreements, with the relaxing of tariffs, duties and quotas seen worldwide. Despite the widespread adoption of free trade agreements, fair trade is still relatively minimal. Some proponents of fair trade have compared it to the Code of Hammurabi, the earliest known legal code which claims the law is to ‘promote the welfare of the people and to cause justice to prevail in the land, to destroy the wicked and the evil that the strong might not oppress the weak’ with the opinion that fair trade can be used to prevent incredibly rich people and organisations from using trading relationships in the oppression of the vulnerable and weak and impoverished which is what occurs in free trade. (Northcott, 2006) Influenced by theorists...
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...Karl Marx (1818-83) grew up in Germany under the same conservative and oppressive conditions under which Kant and other German philosophers had to live. The Enlightenment had had some liberating effects on German life here and there, but most German principalities were still autocratic, and the idea of democracy was combated by all their rulers. The presence of police spies at major universities was a regular feature of German student life, and some students served long prison sentences for their political activism. As a law and philosophy student at the University of Berlin, Marx joined a political club that advocated political democracy. Very soon after receiving his doctorate, however, his ideas went beyond mere political reform. His future friend and collaborator Friedrich Engels introduced him to socialist and communist ideas, i. e., to ideas which progressed from mere political to social and economic reforms. For the rest of his life Marx dedicated himself to the project of radically restructuring modern industrial society along socialist and communist lines. In time he became the single most important theoretician and prominent leader of a growing international labor movement. Since Marx participated in the Revolution of 1848 as an influential newspaper editor (in a revolution that was defeated by the monarchists, and the defeat of which led scores of liberal Europeans to emigrate to the United States and elsewhere), he found it preferable to leave the stifling and backward...
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...In a way, communism is an extreme form of socialism. Many countries have dominant socialist political parties but very few are truly communist. In fact, most countries - including staunch capitalist bastions like the U.S. and U.K. - have government programs that borrow from socialist principles. "Socialism" is sometimes used interchangeably with "communism" but the two philosophies have some stark differences. Most notably, while communism is a political system, socialism is primarily an economic system that can exist in various forms under a wide range of political systems. Comparison chart | |Communism |Socialism | |Philosophy |From each according to his ability, to each according to |From each according to his ability, to each according to| | |his needs. Free-access to the articles of consumption is |his contribution. Emphasis on profit being distributed | | |made possible by advances in technology that allow for |among the society or workforce to complement individual | | |super-abundance. |wages/salaries. | |Economic System |The means of production are held in common, negating the |The means of production are owned by public enterprises | | |concept of ownership in...
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...Chapter 1 Introduction to Business & Economics Lecture Notes A. LEARNING OBJECTIVES After studying this chapter, students should be able to: 1. Discuss what you must do to be successful in the world of business. 2. Define business and identify potential risks and rewards. 3. Define economics and describe the two types of economic systems: capitalism and command economy. 4. Identify the ways to measure economic performance. 5. Examine the four different phases in the typical business cycle. 6. Outline the four types of competition. B. BRIEF CHAPTER OUTLINE I. Business: A Definition A. The Organized Effort of Individuals B. Satisfying Needs C. Business Profit II. Types of Economic Systems A. Capitalism B. Capitalism in the United States 1. Households 2. Businesses 3. Governments C. Command Economies 1. Socialism 2. Communism III. Measuring Economic Performance A. The Importance of Productivity in the Global Marketplace B. Important Economic Indicators that Measure a Nation’s Economy IV. The Business Cycle V. Types of Competition A. Perfect Competition 1. The Basics of Supply and Demand 2. The Equilibrium, or Market, Price B. Monopolistic Competition C. Oligopoly D. Monopoly C. COMPREHENSIVE LECTURE OUTLINE I. BUSINESS: A DEFINITION Business is the organized effort of individuals to produce and sell, for a profit, the goods and services that satisfy...
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...| the alienation of labor 1 karl marx economic and philosophic manuscripts of 1844 | | In political economy 2 and its terminology, we have shown that the laborer sinks to the level of a commodity and indeed becomes the most miserable commodity possible, that the misery of the laborer stands in an inverse relationship to the power and size of his production, that the natural result of competition is the accumulation of capital in a few hands, which is the most frightening type of monopoly, that finally the difference between the ground-rentier 3 and the capitalist 4 as well as the difference between the farmer-renter and the factory laborer disappears and the entire society must fall into two classes: those with property and those propertyless souls who labor. Political economy begins with the fact of private property. It does not explain this fact to us. It describes the material process of private property--by which it actually passes from hand to hand--in general, abstract formulas, which it then raises to the status of laws . It does notunderstand these laws, that is, it does not show how the existence of private property comes about. Political economy gives no explanation concerning the foundation of the division between labor and capital and between capital and land. When, for instance, it describes the relationship between wage-labor and the profit of capital, its fundamental point of departure is the interest of the capitalist, that is, it accepts as given what...
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...By John D. Mueller Colloquium on the American Founding Amherst University, October 19, 2002 Winston Churchill is supposed to have said that “the Americans can be relied upon to do the right thing, after exhausting the alternatives.” I hold a similar tempered optimism about the economics profession, with which have been associated by occupation for more than 20 years. Historically, economic theory originated in the happy union of Athens and Jerusalem known as “the natural law,” and has always returned to the sanity of its roots—after exhausting the alternatives. As I read its history, economic theory has nearly completed its last great detour away from sanity, and is rapidly running out of alternatives to a renewal of “natural-law economics.” If such a renewal occurs, it won’t be because economists have decided to sit down and learn from philosophers (or, God forbid, theologians)—nothing could be farther from their minds—but for the same reason as the last seismic shift in economics, which began in the 1870s: a growing number of economists are finding the current state of economic theory a professional embarrassment. Of course, I may be underestimating the average economist’s threshold of embarrassment. But let me explain the nature of that * John D. Mueller is Associate Scholar of the Ethics and Public Policy Center and president of LBMC LLC, a financial-markets forecasting firm. For most of the 1980s he was Economic Counsel to the House Republican Conference...
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...Feminism arose in the 19th and early 20th centuries, and comprises any theory which is grounded on the belief that women are oppressed or disadvantaged by comparison with men. The first feminist ‘wave’ was in the 19th and early 20th centuries, the second was in the 1960s and 1970s, and the third extends from the 1990s to the present. Feminist activists have campaigned for women’s legal rights, for women’s right to bodily integrity and autonomy, for abortion rights, and for reproduction rights. Also, for protection of women and girls from domestic violence and sexual assault. This movement has made an enormous impact in Western society and has evolved the social status of women greatly. Women's suffrage, greater access to education, more equitable pay with men, the right to initiate divorce proceedings, the right to make individual decisions regarding pregnancy, and the right to own property are now...
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...1 JUSTICE, EQUALITY, AND RIGHTS by John Tasioulas For R. Crisp (ed), The Oxford Handbook of the History of Ethics 1. The Nature of Justice Philosophers have advocated many divergent views as to the content of the correct principles of justice. In contemporary philosophy, for example, the live options range from the austere libertarian thesis that the claims of justice are limited to a small class of rights that protect us from coercive interference by others to more radically egalitarian doctrines that mandate the large-scale redistribution of wealth and other goods. But there is a prior, conceptual question: is there an illuminating sense in which these disagreements are aptly described as concerned with justice? Alternatively put, is there a concept of justice of which these rival accounts can be interpreted as offering different conceptions? (Rawls 1971/1999: 5-6). If not, the dispiriting conclusion looms that these disputes are „verbal‟ rather than genuine, like a debate about the nature of „banks‟ in which one party has in mind financial institutions and the other party the sloping bits of land at the sides of rivers. One answer is that the concept of justice marks out the entire domain of moral evaluation, or at least the whole of inter-personal morality, excluding only moral concerns relating purely to oneself or to non-persons, such as animals. This expansive reading of justice – as (inter-personal) moral rightness or virtue – has a venerable pedigree. The Greek...
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...study the social systems (family, school, church, economy, political, etc) in which individuals fill their roles, people in relation to others. IS SOCIOLOGY A SCIENCE? Sociology is a science, but it is considered a "soft" science, along with psychology. A soft science is anything that is based more on the judgment of the professional than actual facts. Hard sciences are things like nuclear physics and maths. Elements of scientific study of society. • The use of theories in explaining Social phenomenon and human behavior • Conducting of social researches which involves systematic/scientific methods • Analyzing of societal issues using scientific approaches Furthermore using the positivist approach adopted by Marx and Engels enables the establishment of laws of human behavior in the same way natural scientists have established laws of the natural world. Their approach to dialectics was a development of the philosophical theory of Hegel, (1877). Positivists view ideas, thought and mind as scientists see atoms, and should be "in the same state of mind as the physicist, chemist or physiologist when he probes into a still unexplored region of the scientific domain" (Durkheim 1964: xiv). Positivism shares many similarities to the empirical research methods employed by scientists, most notably in its objective attention to detail in the...
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