PO110 Study Guide - Industrial Revolution, Government Spending, Liberal Democracy
Document Summary
This is the study of the intersection of political and economic forces; the connection between states and markets, power and wealth, or the worlds of politics and economies. An economic system depends on the laws and regulations established by government. Without laws, no substantial economic system could exist. The type of economic system established by the government will have a major effect on the distribution of wealth and income within a country. Government spending and tax policies also have effects on the distribution of wealth and income. Politics usually revolves around issues relation to the material well-being of economic activity. The policies and laws of the political community may be strongly influenced by those who have dominant positions in the economic system. Definition of market: the aggregation of individual transactions, or the purchase and sale by individuals of goods, services, and labour.
