POL S 170 Chapter Notes - Chapter 1: Cultural Diversity
Document Summary
A market can be simply defined as a social system in which individuals pursue their own welfare by exchanging things with others whenever trades are mutually beneficial o. Participants in a market compete with each other for scarce resources. Each person tries to acquire things at the least possible cost and to convert raw materials into more valuable things to sell at the highest possible price. In a market model individual act only to maximize their own self interest o. Public interest- is the net result of all individuals pursuing their self-interest. Common problems are thought to be the exception rather than the rule: do not have social consequences. Information is perfect complete and available to everyone at no cost. Has no law of passion because everything has a precise value or cost. Public policy is about communities trying to achieve something as communities. Always conflict within a community over who is a member and what is the goal.
