Aristotle’s Economic Thought Flashcards
What was Aristotle’s contribution to economic thought?
Aristotle introduced the analysis of market processes, the value of goods, and the moral dimensions of economic activities.
How did Aristotle define economics?
Economics, for Aristotle, is the practical science of using resources to achieve the Good Life, focusing on the moral use of wealth.
What did Aristotle believe about the role of human action in economics?
Human actions are voluntary and intentional, with the goal of fulfilling one’s perfection through the use of economic resources.
What is the concept of “just price” according to Aristotle?
Aristotle believed prices should reflect the true value of goods, derived from their utility, rather than speculative or arbitrary pricing.
What did Aristotle think about money and wealth?
Money was merely a tool for exchange, and wealth should be used to achieve a virtuous, good life.
How does Aristotle’s economic thought relate to politics?
Aristotle saw economics as embedded in politics, as both aim to serve the common good and the well-being of the state.
How did Aristotle’s views on trade and money differ from Plato’s?
While Plato focused on limiting money and trade for ethical reasons, Aristotle saw trade as necessary for fulfilling human needs and achieving the good life.
How did Aristotle’s views on labor and value influence economic thought?
Aristotle’s analysis of labor’s value based on its utility laid the foundation for later discussions of labor’s role in creating value.
How did Aristotle define the function of wealth in society?
Wealth should be used not for personal accumulation, but to help achieve a flourishing, virtuous life.
What was Aristotle’s view on usury?
Aristotle opposed usury because it generated profit from money itself, which he believed was unnatural.
