Political economy Flashcards
1
Q
What is an economy?
A
- Institutionalized means of production, distribution, and consumption of goods and services
2
Q
What are the sectors of the economy?
A
- Primary (raw materials)
- Secondary (processing raw materials into used goods)
- Tertiary/service (people who provide service)
3
Q
Nature of Socialism
A
- Collective ownership
- Collective wellbeing
- Gov controls economy
4
Q
Nature of capitalism
A
- Private ownership
- Personal profit
- Free market economy
5
Q
What is a welfare state
A
- Mix of capitalism and socialism
- Canada
6
Q
What is Free enterprise
A
- Adam Smith believes that free trade will lead to greater prosperity
7
Q
Protestant work ethic
A
- Emphasized hard work, discipline and frugality
8
Q
Marx and Weber on the Emergence of Capitalism
A
- A new capitalist class
- Miserable working conditions
9
Q
Marx further emphasizes capitalism
A
- Surplus value of capitalism
- The production of commodities
- How synthesis will be the solution for the thesis (communal ownership) and the anti-thesis (private)
10
Q
Weber further emphasizes capitalism
A
- Rise of rationality
- Dev of bureaucracy
- Influence of religion (the decrease)
11
Q
Capital, capitalism, capitalist?
A
- Use money to make more money
- Eco system where means of production and good distribution are privately own
- Those who own capital
12
Q
Invisible hand
A
- Self interest + Competition
- Unseen force controls the free market economy
13
Q
The competition…
A
- regulate profits
- Keep wages fair
- regulate over-production
14
Q
Market value and surplus value
A
- Market value: what good/service commands
- Surplus value: profit = $sale - $production
15
Q
Production/use value vs market value
A
- Base on commodity
- Based on society
