A free market economy is an economy in which the allocation for resources is determined only by their supply and the demand for them.
*characteristics
*good & bad sides
The document discusses different types of economic systems, including pure market economies, pure command economies, traditional economies, and mixed economies. It describes the key characteristics of each type of economy, such as how economic decisions are made regarding what to produce, how to produce it, and who receives the goods and services. The document also briefly covers different political philosophies like capitalism, socialism, and communism that influence economic systems.
The document discusses capitalism from several perspectives. It begins with an introduction to capitalism and its key principles of private ownership, profit, and voluntary exchange. It then provides a historical overview of capitalism from its pre-history through modern eras like mercantilism, industrialization, and globalization. The document also examines different types of capitalism like free market capitalism and state capitalism. It outlines both advocacy for capitalism's ability to drive economic growth and self-organization, as well as criticisms around inequality and unfair distribution of wealth and power.
Mixed economies have characteristics of both market and planned economies. The means of production are mainly privately owned and markets are dominant, but the government wields influence through fiscal and monetary policies to counter economic issues. Both private and public sectors exist side by side, with the private sector handling industries like agriculture and consumer goods while the government controls strategic sectors like banking, transport, and energy. A mixed economy aims to take advantage of private companies' capitalist nature and the government's socialist goals of balanced growth and less income inequality. However, resources may not be used optimally as the government prioritizes overall societal benefits, and private enterprises face difficulties from government bureaucracy.
This document provides an outline of the history of economic thought from Adam Smith and the classical political economists in the 18th century to contemporary thinkers. It summarizes the key ideas and works of influential economists such as Adam Smith, David Ricardo, Karl Marx, John Maynard Keynes, Milton Friedman, Amartya Sen, and Thomas Piketty and the schools of thought they represented, including classical economics, marginalism, Keynesian economics, monetarism, and debates around inequality. The document traces the evolution of economic ideas and chronicles how economic theory has developed in response to historical conditions and events.
Free Market Economy - Past, Present and FutureAyman Rahman
This document provides an overview of the free market economy, including its history, characteristics, benefits, pitfalls and potential future replacements. It discusses how free markets emerged in the 15th century and flourished during the Industrial Revolution. While free markets have led to innovation and growth, they also face issues like market failures, inequality and consumerism. The document outlines several theories for alternative economic systems that could potentially replace capitalism in the future, such as participatory economics, socialism, anarchism and democratic socialism. It also profiles some Nordic countries as modern examples that blend free markets with social welfare policies.
What is history of Economic Thought
Why study History of Economic Thought
Three General Beliefs in the study of History of Economic Thought
History of Economic Thought Vs Economic Thought
Period /Timeline of History of Economic Thought
Positive economics is focused on analyzing cause and effect relationships to describe and explain economic phenomena, such as predicting that if the price of fish increases, demand will decrease. Normative economics examines the economy from an ethical perspective on what it should or ought to be, making value judgments about whether economic events are good or bad. An example of a normative statement is that those earning higher incomes should pay more in taxes than those with lower incomes. Normative economics involves subjective assessments rather than objective analysis.
The document discusses different types of economic systems, including pure market economies, pure command economies, traditional economies, and mixed economies. It describes the key characteristics of each type of economy, such as how economic decisions are made regarding what to produce, how to produce it, and who receives the goods and services. The document also briefly covers different political philosophies like capitalism, socialism, and communism that influence economic systems.
The document discusses capitalism from several perspectives. It begins with an introduction to capitalism and its key principles of private ownership, profit, and voluntary exchange. It then provides a historical overview of capitalism from its pre-history through modern eras like mercantilism, industrialization, and globalization. The document also examines different types of capitalism like free market capitalism and state capitalism. It outlines both advocacy for capitalism's ability to drive economic growth and self-organization, as well as criticisms around inequality and unfair distribution of wealth and power.
Mixed economies have characteristics of both market and planned economies. The means of production are mainly privately owned and markets are dominant, but the government wields influence through fiscal and monetary policies to counter economic issues. Both private and public sectors exist side by side, with the private sector handling industries like agriculture and consumer goods while the government controls strategic sectors like banking, transport, and energy. A mixed economy aims to take advantage of private companies' capitalist nature and the government's socialist goals of balanced growth and less income inequality. However, resources may not be used optimally as the government prioritizes overall societal benefits, and private enterprises face difficulties from government bureaucracy.
This document provides an outline of the history of economic thought from Adam Smith and the classical political economists in the 18th century to contemporary thinkers. It summarizes the key ideas and works of influential economists such as Adam Smith, David Ricardo, Karl Marx, John Maynard Keynes, Milton Friedman, Amartya Sen, and Thomas Piketty and the schools of thought they represented, including classical economics, marginalism, Keynesian economics, monetarism, and debates around inequality. The document traces the evolution of economic ideas and chronicles how economic theory has developed in response to historical conditions and events.
Free Market Economy - Past, Present and FutureAyman Rahman
This document provides an overview of the free market economy, including its history, characteristics, benefits, pitfalls and potential future replacements. It discusses how free markets emerged in the 15th century and flourished during the Industrial Revolution. While free markets have led to innovation and growth, they also face issues like market failures, inequality and consumerism. The document outlines several theories for alternative economic systems that could potentially replace capitalism in the future, such as participatory economics, socialism, anarchism and democratic socialism. It also profiles some Nordic countries as modern examples that blend free markets with social welfare policies.
What is history of Economic Thought
Why study History of Economic Thought
Three General Beliefs in the study of History of Economic Thought
History of Economic Thought Vs Economic Thought
Period /Timeline of History of Economic Thought
Positive economics is focused on analyzing cause and effect relationships to describe and explain economic phenomena, such as predicting that if the price of fish increases, demand will decrease. Normative economics examines the economy from an ethical perspective on what it should or ought to be, making value judgments about whether economic events are good or bad. An example of a normative statement is that those earning higher incomes should pay more in taxes than those with lower incomes. Normative economics involves subjective assessments rather than objective analysis.
Paul Samuelson was an American economist born in 1915 who made seminal contributions to economic theory. He became the first American to win the Nobel Memorial Prize in Economic Sciences in 1970. Samuelson served as a professor at MIT and authored the best-selling economics textbook of all time. His work applied mathematics to areas like welfare economics, consumer theory, and international trade and demonstrated the need for government intervention at times to overcome market inefficiencies.
This document discusses different economic systems and their key characteristics. It begins by outlining the three basic economic problems of what to produce, how to produce, and for whom to produce. It then defines four main economic systems - traditional, command, market, and mixed - and describes their essential features. The document also distinguishes between the economic philosophies of capitalism, communism, and socialism.
A command economy is an economic system where a central authority controls and plans major economic decisions rather than market forces. Key characteristics include government ownership of major resources and means of production, as well as economic problems being solved through central planning rather than demand and supply. While command economies can develop a country initially, growth slows over time due to inefficiencies from lack of competition, innovation, and inability to accurately satisfy consumer demand. Many countries have transitioned to more market-based mixed economies as a result.
Karl Menger and Eugen von Bohm-Bawerk were influential early contributors to the Austrian School of economics in the late 1800s.
Menger developed the theory of marginalism, rejecting classical cost-based theories of value. He argued that price is determined by marginal utility rather than production costs. Bohm-Bawerk further developed theories of profits, interest rates, and capital based on Menger's marginalism. He distinguished profits from interest and argued interest exists due to the technical superiority of present goods over future goods in roundabout production processes. Both Menger and Bohm-Bawerk were influential teachers and helped establish the Austrian School approach to economics based on subjective value and marginal analysis.
The document discusses the economic problem of scarcity. It explains that scarcity exists because resources are limited while wants are unlimited. Every economy, regardless of its type, faces scarcity and must decide how to allocate limited resources among competing uses. The document also introduces the production possibilities frontier to illustrate scarcity and opportunity cost. It outlines several problems faced by economies, including what and how much to produce, how to utilize resources fully and efficiently, and how to achieve economic growth.
Used in Economics with TAR.
includes discussion on mixed economy, characteristics, advantages and disadvantages of mixed economy, types of mixed economy, features of mixed economy, best and worst practices in mixed economy and model countries.
Ben Bernanke is an American economist who served as Chairman of the Federal Reserve from 2006 to 2014. He was a professor at Princeton University and chaired the economics department there. Bernanke also served on the Council of Economic Advisers under President George W. Bush before being appointed Fed Chairman. As Chairman, he helped steer the US economy through the late-2000s financial crisis and Great Recession.
This document summarizes David Ricardo's theory of economics development known as Ricardian theory. It discusses Ricardo's background and key contributions, including the law of comparative advantage. It then outlines the assumptions of Ricardian theory, including diminishing returns to land and inelastic demand for corn. Ricardo's theory explains how total output is distributed as rent, profits, and wages. It also discusses how capital accumulation, wages, international trade, and criticisms of the theory relate to Ricardian economics.
This document provides an overview of key figures and ideas in the history of economic thought. It discusses thinkers from early philosophers like Plato and Aristotle to more modern economists like Adam Smith, Karl Marx, John Maynard Keynes, and Milton Friedman. The document also outlines exam questions related to different levels and time periods that have assessed knowledge of economic thought.
There are three basic types of economic systems: traditional, command, and market. Most textbooks say the most common system throughout the world is mixed, which is a blending of two systems rather than a system itself. The type of economy a country has depends on the extent of government involvement in economic decision making. Examples are given of different countries and the percentage of public vs private sectors, with most modern economies being mixed. The three basic economic questions are what to produce, how to produce, and for whom to produce.
The document describes the circular flow of income model of the economy. It shows the flows of incomes and expenditures between households and businesses. Households supply resources to businesses through factor markets in exchange for money. Businesses then use those resources to produce goods and services, which they sell to households through product markets in exchange for money. The model can be expanded to include the government sector, which purchases goods and services from businesses, hires resources from households, provides public goods to both, and finances these activities through tax payments from households and businesses.
The document provides information on mercantilism and physiocracy. It discusses the key factors that led to the development of mercantilism like the changing economic base from agriculture to manufacturing, increased use of money, and expansion of commerce. It outlines the main ideas of mercantilists regarding population, wages, interest, production, and taxation. The document then introduces physiocracy as the first school of economic thought originating in France in the 18th century. It discusses the central themes of physiocracy, including the natural order, the concept of net product, and their views on the circulation of wealth in the economy.
The document discusses economic systems and defines them as organized ways that societies allocate resources and distribute goods and services. It provides examples of different types of economic systems including capitalist, socialist, mixed economies, and traditional economies. Key components of economic systems discussed include coordination mechanisms, property rights, and incentive systems. Examples are given of both market and planned economic systems.
The balance of payments (BOP) records a country's transactions with other countries. It has two main categories: the current account which covers trade in goods, services, and income, and the capital and financial account which covers capital transfers and financial flows. The overall BOP position is the change in a country's net international reserves resulting from transactions. It is calculated as the current account balance plus the capital and financial account balance minus net unclassified items. The document provides the Philippines' BOP data for 2009 and 2010, showing growth rates for each component.
The document discusses several key concepts in classical economics:
1. Classical economics included a value theory and distribution theory where the value of a product depended on production costs. Distribution of income was explained by costs of production.
2. Under classical economics, a landlord received rent, workers received wages, and capitalist tenants received profits from their investments.
3. Adam Smith was a prominent figure in classical economics and argued that labor is the source of a country's wealth and wealth increases through division of labor and free competition.
4. Physiocrats believed that agriculture was the sole source of wealth for a nation. Rent, wages, and profits were seen as distributions of the agricultural surplus.
This document provides an overview of different economic systems, including traditional, market, socialist (command), mixed, and Islamic systems. It describes the key features of each system. A traditional system is based on bartering, while a market system uses money and is based on supply and demand. Socialist/command economies give the government control over economic activities. Mixed economies combine government and private control. Islamic economies aim to reduce inequality through principles like discouraging wealth hoarding and taxing wealth. The document asks what type of system Bangladesh uses, suggesting it has characteristics of a mixed economy.
During the Industrial Revolution, wealth became concentrated among few while most remained poor. Some believed the only way to change this uneven distribution was for workers to take control of the means of production from owners. Socialism proposed that the government owns and operates the means of production for the benefit of all. Karl Marx believed capitalism would lead to conflict between the bourgeoisie owners and proletariat workers, culminating in a classless communist society where people contribute and receive according to their abilities and needs. Variations of socialism include peaceful democratic socialism and revolutionary communism.
The document provides an introduction to the field of economics. It defines economics as the study of how societies allocate scarce resources to produce goods and services. It also distinguishes between microeconomics, which examines individual components like industries and households, and macroeconomics, which examines the overall economy. The scientific approach in economics uses techniques like observation, analysis, and statistical analysis to understand economic phenomena. Some pitfalls to avoid in economic reasoning are failing to isolate variables, making post hoc fallacies, and committing the fallacy of composition. Economics studies scarcity and how it affects production and consumption. Economic knowledge can help individuals, societies, and policymakers.
This document provides an overview of the five sections of the book "Radical Markets" by Eric Posner and E. Glen Weyl. It summarizes each section in 1-2 sentences: 1) Why Radical Markets? - Proposes new ideas to address stagnation and the crisis of the liberal order. 2) Property is Monopoly - Introduces a tax on private wealth that is paid out as a social dividend. 3) Radical Democracy - Proposes a quadratic voting system to protect political minorities. 4) Uniting the World's Workers - Suggests a visa program between individuals in rich and poor countries. 5) Dismembering the Octopus - Proposes limiting corporate diversification to increase
The document discusses different economic systems including capitalism, socialism, and mixed economies. Capitalism involves private ownership and profit motive, while socialism involves public or common ownership and economic planning. A mixed economy combines elements of both systems, with a role for both private enterprise and government intervention or public ownership in certain sectors. It aims to balance individual economic freedom with social goals like equality. Examples given are the economies of the United States and various European nations.
Paul Samuelson was an American economist born in 1915 who made seminal contributions to economic theory. He became the first American to win the Nobel Memorial Prize in Economic Sciences in 1970. Samuelson served as a professor at MIT and authored the best-selling economics textbook of all time. His work applied mathematics to areas like welfare economics, consumer theory, and international trade and demonstrated the need for government intervention at times to overcome market inefficiencies.
This document discusses different economic systems and their key characteristics. It begins by outlining the three basic economic problems of what to produce, how to produce, and for whom to produce. It then defines four main economic systems - traditional, command, market, and mixed - and describes their essential features. The document also distinguishes between the economic philosophies of capitalism, communism, and socialism.
A command economy is an economic system where a central authority controls and plans major economic decisions rather than market forces. Key characteristics include government ownership of major resources and means of production, as well as economic problems being solved through central planning rather than demand and supply. While command economies can develop a country initially, growth slows over time due to inefficiencies from lack of competition, innovation, and inability to accurately satisfy consumer demand. Many countries have transitioned to more market-based mixed economies as a result.
Karl Menger and Eugen von Bohm-Bawerk were influential early contributors to the Austrian School of economics in the late 1800s.
Menger developed the theory of marginalism, rejecting classical cost-based theories of value. He argued that price is determined by marginal utility rather than production costs. Bohm-Bawerk further developed theories of profits, interest rates, and capital based on Menger's marginalism. He distinguished profits from interest and argued interest exists due to the technical superiority of present goods over future goods in roundabout production processes. Both Menger and Bohm-Bawerk were influential teachers and helped establish the Austrian School approach to economics based on subjective value and marginal analysis.
The document discusses the economic problem of scarcity. It explains that scarcity exists because resources are limited while wants are unlimited. Every economy, regardless of its type, faces scarcity and must decide how to allocate limited resources among competing uses. The document also introduces the production possibilities frontier to illustrate scarcity and opportunity cost. It outlines several problems faced by economies, including what and how much to produce, how to utilize resources fully and efficiently, and how to achieve economic growth.
Used in Economics with TAR.
includes discussion on mixed economy, characteristics, advantages and disadvantages of mixed economy, types of mixed economy, features of mixed economy, best and worst practices in mixed economy and model countries.
Ben Bernanke is an American economist who served as Chairman of the Federal Reserve from 2006 to 2014. He was a professor at Princeton University and chaired the economics department there. Bernanke also served on the Council of Economic Advisers under President George W. Bush before being appointed Fed Chairman. As Chairman, he helped steer the US economy through the late-2000s financial crisis and Great Recession.
This document summarizes David Ricardo's theory of economics development known as Ricardian theory. It discusses Ricardo's background and key contributions, including the law of comparative advantage. It then outlines the assumptions of Ricardian theory, including diminishing returns to land and inelastic demand for corn. Ricardo's theory explains how total output is distributed as rent, profits, and wages. It also discusses how capital accumulation, wages, international trade, and criticisms of the theory relate to Ricardian economics.
This document provides an overview of key figures and ideas in the history of economic thought. It discusses thinkers from early philosophers like Plato and Aristotle to more modern economists like Adam Smith, Karl Marx, John Maynard Keynes, and Milton Friedman. The document also outlines exam questions related to different levels and time periods that have assessed knowledge of economic thought.
There are three basic types of economic systems: traditional, command, and market. Most textbooks say the most common system throughout the world is mixed, which is a blending of two systems rather than a system itself. The type of economy a country has depends on the extent of government involvement in economic decision making. Examples are given of different countries and the percentage of public vs private sectors, with most modern economies being mixed. The three basic economic questions are what to produce, how to produce, and for whom to produce.
The document describes the circular flow of income model of the economy. It shows the flows of incomes and expenditures between households and businesses. Households supply resources to businesses through factor markets in exchange for money. Businesses then use those resources to produce goods and services, which they sell to households through product markets in exchange for money. The model can be expanded to include the government sector, which purchases goods and services from businesses, hires resources from households, provides public goods to both, and finances these activities through tax payments from households and businesses.
The document provides information on mercantilism and physiocracy. It discusses the key factors that led to the development of mercantilism like the changing economic base from agriculture to manufacturing, increased use of money, and expansion of commerce. It outlines the main ideas of mercantilists regarding population, wages, interest, production, and taxation. The document then introduces physiocracy as the first school of economic thought originating in France in the 18th century. It discusses the central themes of physiocracy, including the natural order, the concept of net product, and their views on the circulation of wealth in the economy.
The document discusses economic systems and defines them as organized ways that societies allocate resources and distribute goods and services. It provides examples of different types of economic systems including capitalist, socialist, mixed economies, and traditional economies. Key components of economic systems discussed include coordination mechanisms, property rights, and incentive systems. Examples are given of both market and planned economic systems.
The balance of payments (BOP) records a country's transactions with other countries. It has two main categories: the current account which covers trade in goods, services, and income, and the capital and financial account which covers capital transfers and financial flows. The overall BOP position is the change in a country's net international reserves resulting from transactions. It is calculated as the current account balance plus the capital and financial account balance minus net unclassified items. The document provides the Philippines' BOP data for 2009 and 2010, showing growth rates for each component.
The document discusses several key concepts in classical economics:
1. Classical economics included a value theory and distribution theory where the value of a product depended on production costs. Distribution of income was explained by costs of production.
2. Under classical economics, a landlord received rent, workers received wages, and capitalist tenants received profits from their investments.
3. Adam Smith was a prominent figure in classical economics and argued that labor is the source of a country's wealth and wealth increases through division of labor and free competition.
4. Physiocrats believed that agriculture was the sole source of wealth for a nation. Rent, wages, and profits were seen as distributions of the agricultural surplus.
This document provides an overview of different economic systems, including traditional, market, socialist (command), mixed, and Islamic systems. It describes the key features of each system. A traditional system is based on bartering, while a market system uses money and is based on supply and demand. Socialist/command economies give the government control over economic activities. Mixed economies combine government and private control. Islamic economies aim to reduce inequality through principles like discouraging wealth hoarding and taxing wealth. The document asks what type of system Bangladesh uses, suggesting it has characteristics of a mixed economy.
During the Industrial Revolution, wealth became concentrated among few while most remained poor. Some believed the only way to change this uneven distribution was for workers to take control of the means of production from owners. Socialism proposed that the government owns and operates the means of production for the benefit of all. Karl Marx believed capitalism would lead to conflict between the bourgeoisie owners and proletariat workers, culminating in a classless communist society where people contribute and receive according to their abilities and needs. Variations of socialism include peaceful democratic socialism and revolutionary communism.
The document provides an introduction to the field of economics. It defines economics as the study of how societies allocate scarce resources to produce goods and services. It also distinguishes between microeconomics, which examines individual components like industries and households, and macroeconomics, which examines the overall economy. The scientific approach in economics uses techniques like observation, analysis, and statistical analysis to understand economic phenomena. Some pitfalls to avoid in economic reasoning are failing to isolate variables, making post hoc fallacies, and committing the fallacy of composition. Economics studies scarcity and how it affects production and consumption. Economic knowledge can help individuals, societies, and policymakers.
This document provides an overview of the five sections of the book "Radical Markets" by Eric Posner and E. Glen Weyl. It summarizes each section in 1-2 sentences: 1) Why Radical Markets? - Proposes new ideas to address stagnation and the crisis of the liberal order. 2) Property is Monopoly - Introduces a tax on private wealth that is paid out as a social dividend. 3) Radical Democracy - Proposes a quadratic voting system to protect political minorities. 4) Uniting the World's Workers - Suggests a visa program between individuals in rich and poor countries. 5) Dismembering the Octopus - Proposes limiting corporate diversification to increase
The document discusses different economic systems including capitalism, socialism, and mixed economies. Capitalism involves private ownership and profit motive, while socialism involves public or common ownership and economic planning. A mixed economy combines elements of both systems, with a role for both private enterprise and government intervention or public ownership in certain sectors. It aims to balance individual economic freedom with social goals like equality. Examples given are the economies of the United States and various European nations.
The document discusses capitalism and monopolies. It argues that true capitalism has not been achieved due to government intervention and corporate influence over policy. While monopolies can theoretically lower costs, in practice they allow firms to maximize profits without regard for consumers. However, natural monopolies may be inevitable in some industries. The document also notes some technical benefits of monopolies but acknowledges they can misallocate resources and control prices. Overall it questions whether modern economies reflect true free market principles.
Capitalism is an economic system defined by private ownership of production assets and the operation of markets. It has key features like the existence of companies, a profit motive, competition between producers, freedom of enterprise, private property rights, economic inequalities, and the sovereignty of consumers. Supporters argue it is morally justified based on natural property rights and its economic benefits like efficiency. However, critics argue it leads to problems like inequality, concentration of wealth, and the formation of monopolies and oligopolies that undermine competition.
This document discusses key concepts of a free market economy including supply and demand, economic equilibrium, and spontaneous order. It analyzes how a free market allocates resources efficiently through market forces and price mechanisms without government intervention. The document also addresses three basic economic decisions that every society must make: what goods and services to produce and in what quantities, how to produce them, and who gets them. It explains how Nigeria answers these questions, with both government and private sectors determining production and market forces allocating based on demand. Natural resources like petroleum influence Nigeria's economy, with production, agriculture, and informal sector accounting for most economic activity.
The document discusses key concepts related to economic institutions and systems. It defines economy as a social institution that organizes a society's production, distribution, and consumption of goods and services. Throughout history, economic systems have evolved from simple structures in primitive societies to today's more complex systems. Modern economies can generally be categorized as capitalist, socialist, or mixed. The functions of economic institutions include meeting basic needs, generating income and employment, promoting trade and investment, and more.
The document provides an overview of the U.S. business system. It discusses the concept of business and profit, different economic systems, factors of production, and the economics of the U.S. market system including demand, supply, and competition. It also summarizes the history of business in the U.S. from the industrial revolution to the current internet era.
The document provides an overview of the US business system. It discusses that the US has a market economy based on capitalism where demand and supply determine prices. Businesses are privately owned and operate for profit. Competition varies across industries from perfect to monopolistic. The evolution of business in the US progressed from factories to large corporations to a focus on marketing and globally integrated operations.
An economic system is the mechanism by which a society produces, distributes, and consumes goods and services. The main types of economic systems are capitalism, socialism, and mixed economies. Capitalism is based on private ownership and operation of businesses for profit in competitive markets. Socialism involves common or public ownership of the means of production and economic planning rather than market forces. A mixed economy combines elements of both capitalism and socialism, with a role for both private enterprise and government intervention in the economy.
This document discusses key concepts in economics including microeconomics, macroeconomics, and economic systems. It defines microeconomics as studying individual components like industries and households, while macroeconomics analyzes the behavior of the whole economy. The central problems that all economies face are what and how to produce goods and services, and who will consume them. Capitalism is characterized as a market economy where private property and the price mechanism guide production, while socialism involves central planning to achieve social welfare and equality.
This document discusses key concepts in economics including the three basic economic problems of what to produce, how to produce, and for whom to produce. It also defines four economic systems - traditional, command, market, and mixed - and provides examples of each. Capitalism and socialism are compared as are the concepts of scarcity, opportunity cost, and production possibility frontier.
Chapter Four:
The Nature of Capitalism
1
1
Wells Fargo fined $185M for fake accounts; 5,300 were fired
An analysis by the San Francisco-headquartered bank found that its employees opened more than two million deposit and credit card accounts that may not have been authorized by consumers, the officials said.
Many of the transfers ran up fees or other charges for the customers, even as they helped employees make incentive goals.
2
2
Capitalism
Capitalism: An economic system in which the major portion of production and distribution is in private hands, operating under what is termed a “profit” or “market” system
Socialism: The polar opposite of capitalism, an economic system characterized by public ownership of property and a planned economy
Worker control socialism: A hybrid market-oriented socialism
5
Introduction to Capitalism
Capitalism
Capitalism has historically evolved from the Renaissance through several stages – mercantile, industrial, financial, and state welfare.
Many believe we are now at a new stage, globalized capitalism, involving reliance upon foreign labor and services, joint ventures in overseas companies, outsourcing, etc.
Capitalism is constantly changing as new socio-economic and political conditions arise.
7
Key Features of Capitalism
Companies: Capitalism permits the creation of companies or business organizations that exist separately from the people associated with them.
Profit motive: The profit motive implies a critical assumption about human nature – that human beings are economic creatures who recognize and are motivated by their own monetary interests.
8
Capitalist Model - (Free-Market System)
A free market is one that is not controlled either by government or by any small group of individuals.
In a free market, government does not:
set the price of goods
set wages or
control production.
Competition is also vital to a free-market system.
To try to achieve greater returns on investment, perhaps by taking more risk, resources must be free to move within the system to whichever portion of it someone believes will bring the greatest return.
Key Features of Capitalism
Competition: In his famous treatise on political economy, An Inquiry into the Nature and Causes of the Wealth of Nations (1776), Adam Smith explained how free competition makes individual pursuit of self-interest socially beneficial.
Private property: Capitalism requires private ownership of the major means of production (factories, warehouses, offices, machines, trucking fleets, land, etc.)
10
Moral Justifications of Capitalism
The natural right to property: One basic defense of capitalism rests on a supposed natural moral right to property.
Utilitarians deny the existence of such rights.
Other critics doubt that this right entitles one to have a system of property rules and regulations identical to the one we now have in ...
An economic system is the mechanism by which a society produces, distributes, and consumes goods and services. The main types of economic systems are capitalism, socialism, and mixed economies. Capitalism is based on private ownership and market forces, while socialism involves public or collective ownership and economic planning. Most modern economies are mixed, combining elements of both capitalism and socialism.
The business system government, markets, and international tradeJubayer Alam Shoikat
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the business system government
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markets
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social darwinism
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and international trade
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mixed economy
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criticisms of free trade and utility
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free trade and utility
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economic systems
,
locke’s state of nature
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criticism of marx
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“free” markets and trade
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free markets and utility
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criticisms of free markets and utility
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keynes’ criticism of smith
conomic Environment refers to all those economic factors, which have a bearing on the functioning of a business. Business depends on the economic environment for all the needed inputs. It also depends on the economic environment to sell the finished goods. Naturally, the dependence of business on the economic environment is total and is not surprising because, as it is rightly said, business is one unit of the total economy.
Economic environment influences the business to a great extent. It refers to all those economic factors which affect the functioning of a business unit. Dependence of business on economic environment is total — i.e. for input and also to sell the finished goods. Trained economists supplying the Macro economic forecast and research are found in major companies in manufacturing, commerce and finance which prove the importance of economic environment in business. The following factors constitute economic environment of business:
(a) Economic system
(b) Economic planning
(c) Industry
(d) Agriculture
(e) Infrastructure
(f) Financial & fiscal sectors
(g) Removal of regional imbalances
(h) Price & distribution controls
(i) Economic reforms
(j) Human resource and
(k) Per capita income and national income
Credits : Christ uni.
This document discusses key concepts in economics such as scarcity, opportunity cost, demand and supply, and different types of economic systems. It defines economics as examining how people make choices given scarce resources. Opportunity cost is the best alternative given up when making a choice. Scarcity forces people to make choices among limited alternatives. Demand refers to how much of a good or service consumers are willing to buy at different prices. Capitalism is based on private ownership and competition between businesses aims to maximize profits. Developing nations have little industry while newly developed nations have recently industrialized significantly. Gross domestic product measures the total value of goods and services produced within a nation's borders each year.
Capitalism relies on private property, voluntary exchange, and an absence of coercion, but it is not inherently "pro-business" or "anti-government" and governments still play important roles. There are variations in how capitalism is implemented in different countries based on factors like the level of democracy and welfare policies. While capitalism has generally produced economic growth, there are ongoing debates about its relationship with democracy and tensions that can arise.
This document discusses different economic systems such as traditional societies, command economies, and market economies. It covers concepts like free markets, trade, private property, and different views on the role of government in the economy including laissez-faire views of Smith and Marx's criticisms of capitalism. Key economic thinkers like Locke, Keynes, Smith, Ricardo, Spencer, and Marx are analyzed on topics ranging from private property and markets to trade, utility, alienation of workers, and criticisms of capitalism. The document also discusses the idea of a mixed economy that combines private markets with government intervention.
This document discusses different economic systems such as tradition-based societies, command economies, and market economies. It also discusses theories related to free markets and trade such as views proposed by Locke, Smith, Keynes, and Marx. Criticisms of free markets and theories supporting government intervention in markets are provided. The document also examines different justifications for and criticisms of free trade.
Free markets are based on minimal government intervention and allow private individuals and businesses to freely transact. However, the Great Depression showed some pitfalls of free markets. First, the focus on profits can lead businesses to neglect public safety. Second, wealth is unequally distributed with few wealthy and many in poverty. Third, overproduction can occur as workers are underpaid to buy back what they produce, leading to unused industrial capacity and growing unemployment even as needs go unmet.
This document outlines the aims and core concepts of a critical history of Universal Expositions (EXPOs). It examines the origins of EXPOs and how their nature has changed over time, from displays of industrial and imperial power in the 19th century to expressions of national identity and globalization today. The document also discusses key EXPOs throughout history, potential positive and negative impacts of EXPOs, and challenges around evaluating their success. Humanities and social science disciplines are identified as useful for critically assessing EXPOs and their role in modern society.
This document lists different colors of the rainbow and provides an example for each color - the apple is red, the orange is orange, the sun is yellow, the leaf is green, the butterfly is blue, the flower is purple, and the flamingo is pink. It concludes with congratulating the reader for a job well done.
This document contains links to English language learning resources for beginning ESL students. It includes 4 links to online games and videos that teach basic number counting from 1 to 10, introduce counting through music, and provide a cute song to help with learning numbers. The resources appear aimed at teaching early number and counting skills to new English language learners.
Ancient Egyptians used obelisks and shadow clocks as early as 3500 BC to measure time based on the movement of shadows cast by the objects. They would thrust sticks into the ground and observe how the shadow of an obelisk moved with the sun to divide the day into portions before and after noon. Later, sundials evolved into more elaborate forms like hemispherical dials to increase accuracy year-round.
Galileo Galilei discovered in the 1580s that the regular swing of a pendulum could be used to regulate a clock. The first pendulum clock was designed in 1656 by Dutch scientist Christiaan Huygens. Pendulum clocks require stationary placement as any movement affects the pendulum's motion and causes inaccuracies, so other mechanisms are used in portable timepieces. Pendulum clocks are now kept mostly for their decorative and antique value.
Climate change is real. It is happening. And this is because of us, you and me, humans...
Ғалымдар климаттың антропогендік факторлар әсерінен жедел өзгеріп жатқанын дәлелдеуде. Яғни сіз бен біздің іс-әрекетіміз табиғатты өлтіруде. Табиғат-біздің үйіміз. Мен үйімнің әдемі, хош иіс пен махаббатқа толы болғанын қалаймын! Ал сен ше? Өзгеріс МЕНнен басталады.
Leveraging Generative AI to Drive Nonprofit InnovationTechSoup
In this webinar, participants learned how to utilize Generative AI to streamline operations and elevate member engagement. Amazon Web Service experts provided a customer specific use cases and dived into low/no-code tools that are quick and easy to deploy through Amazon Web Service (AWS.)
How to Fix the Import Error in the Odoo 17Celine George
An import error occurs when a program fails to import a module or library, disrupting its execution. In languages like Python, this issue arises when the specified module cannot be found or accessed, hindering the program's functionality. Resolving import errors is crucial for maintaining smooth software operation and uninterrupted development processes.
This document provides an overview of wound healing, its functions, stages, mechanisms, factors affecting it, and complications.
A wound is a break in the integrity of the skin or tissues, which may be associated with disruption of the structure and function.
Healing is the body’s response to injury in an attempt to restore normal structure and functions.
Healing can occur in two ways: Regeneration and Repair
There are 4 phases of wound healing: hemostasis, inflammation, proliferation, and remodeling. This document also describes the mechanism of wound healing. Factors that affect healing include infection, uncontrolled diabetes, poor nutrition, age, anemia, the presence of foreign bodies, etc.
Complications of wound healing like infection, hyperpigmentation of scar, contractures, and keloid formation.
বাংলাদেশের অর্থনৈতিক সমীক্ষা ২০২৪ [Bangladesh Economic Review 2024 Bangla.pdf] কম্পিউটার , ট্যাব ও স্মার্ট ফোন ভার্সন সহ সম্পূর্ণ বাংলা ই-বুক বা pdf বই " সুচিপত্র ...বুকমার্ক মেনু 🔖 ও হাইপার লিংক মেনু 📝👆 যুক্ত ..
আমাদের সবার জন্য খুব খুব গুরুত্বপূর্ণ একটি বই ..বিসিএস, ব্যাংক, ইউনিভার্সিটি ভর্তি ও যে কোন প্রতিযোগিতা মূলক পরীক্ষার জন্য এর খুব ইম্পরট্যান্ট একটি বিষয় ...তাছাড়া বাংলাদেশের সাম্প্রতিক যে কোন ডাটা বা তথ্য এই বইতে পাবেন ...
তাই একজন নাগরিক হিসাবে এই তথ্য গুলো আপনার জানা প্রয়োজন ...।
বিসিএস ও ব্যাংক এর লিখিত পরীক্ষা ...+এছাড়া মাধ্যমিক ও উচ্চমাধ্যমিকের স্টুডেন্টদের জন্য অনেক কাজে আসবে ...
This slide is special for master students (MIBS & MIFB) in UUM. Also useful for readers who are interested in the topic of contemporary Islamic banking.
Walmart Business+ and Spark Good for Nonprofits.pdfTechSoup
"Learn about all the ways Walmart supports nonprofit organizations.
You will hear from Liz Willett, the Head of Nonprofits, and hear about what Walmart is doing to help nonprofits, including Walmart Business and Spark Good. Walmart Business+ is a new offer for nonprofits that offers discounts and also streamlines nonprofits order and expense tracking, saving time and money.
The webinar may also give some examples on how nonprofits can best leverage Walmart Business+.
The event will cover the following::
Walmart Business + (https://business.walmart.com/plus) is a new shopping experience for nonprofits, schools, and local business customers that connects an exclusive online shopping experience to stores. Benefits include free delivery and shipping, a 'Spend Analytics” feature, special discounts, deals and tax-exempt shopping.
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Spark Good (walmart.com/sparkgood) is a charitable platform that enables nonprofits to receive donations directly from customers and associates.
Answers about how you can do more with Walmart!"
2. A free market economy is an economy
in which the allocation for resources is
determined only by their supply and
the demand for them.
This is mainly a theoretical concept as
every country, even capitalist ones,
places some restrictions on the
ownership and exchange of
commodities.
3. • Free-market economy refers to a capitalist
economic system where prices for goods and
services are set freely by the forces of supply and
demand and are allowed to reach their point of
equilibrium without intervention by government
policy. It typically entails support for highly
competitive markets, private ownership of
productive enterprises. Laissez-faire is a more
extensive form of free-market economy where
the role of the state is limited to
protecting property rights.
4.
5.
6.
7. • A market economy has seven main characteristics:
• l) people buy what they want, but only if they can pay for it;
• 2) thus, money becomes necessary for life;
• 3) people are forced to do anything and to sell anything in order to
get money;
• 4) maximizing profit rather than satisfying social needs is the aim of
all production and investment;
• 5) discipline over those who produce the wealth of society is no
longer exercised by other people (as in slavery and feudalism) but
by money and the conditions of work that one must accept in order
to earn money;
• 6) rationing of scarce goods takes place through money (based on
who has more than others) rather than through coupons (based on
who has worked harder or longer or has a greater need for the
good); and
• 7) since no one is kept from trying to get rich and everyone is paid
for what they do, people acquire a sense that each person gets (and
has gotten) what he deserves economically, in short, that both the
rich and the poor are responsible for their fates.
8. good sides
• Competition between different firms leads to increased efficiency, as firms do
whatever is necessary—including laying off workers—to lower their costs;
• Most people work harder (the threat of losing one's job is a great motivator);
• There is more innovation as firms look for new products to sell and cheaper ways
to do their work;
• Foreign investment is attracted as word gets out about the new opportunities for
earning profit;
• The size, power, and cost of the state bureaucracy is correspondingly reduced as
various activities that are usually associated with the public sector are taken over
by private enterprises;
9. bad sides
• Distorted investment priorities, as wealth gets directed into what will earn the
largest profit and not into what most people really need (so public health, public
education, and even dikes for periodically swollen rivers receive little attention);
Worsening exploitation of workers, since the harder, faster, and longer people
work—just as the less they get paid—the more profit is earned by their employer
(with this incentive and driven by the competition, employers are forever finding
new ways to intensify exploitation);
• Overproduction of goods, since workers as a class are never paid enough to buy
back, in their role as consumers, the ever growing amount of goods that they
produce (in the era of automation, computerization and robotization, the gap
between what workers produce—and can produce—and what their low wage
allows them to consume has increased enormously);
• Unused industrial capacity (the mountain of unsold goods has resulted in a large
percentage of machinery of all kinds lying idle, while many pressing needs—but
needs that the people who have them can't pay for—go unmet);