Political Science 1020E Chapter Notes - Chapter 128-141: Economic Nationalism, Mercantilism, Market Socialism
15 Apr 2016
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Document Summary
Separation of politics from economics is unsustainable. Mercantilism = economic nationalism, state is most signi cant economic actor. Economic markets are not natural but exist within a social context shaped by state power. Derives from writings of adam smith and david ricardo and liberal assumptions about human nature; individuals (utility maximizers) are the key economic actors. Unregulated political economy tends towards long term equilibrium. Invisible hand /price mechanism brings supply and demand into line with one another. Capitalism as system of class exploitation, social classes as key actors. Economic exploitation is essential feature of capitalist mode of production. Faith in market competition as a self regulating mechanism. Tendency towards material inequalities and social fragmentation. Economic importance of politics and political power. Control of productive power can be used to oppress the working class. Narrow income differentials between managers and workers. Distinction between government and economy had resulted in instability and unemployment. All economic resources under control of one party state.
