Focusing on the dynamics of individual self-interest, market efficiency, and limited government intervention in the economy, conventional economists argue that capitalism produces individual freedom and social justice. Radical economists disagree and argue that conventional economists ignore the importance of power as exercised through economic class, status groups and political parties. Explain each of these perspectives.
In your essay, consider the fundamental assumptions and principles that guide each theory. How do these principles shape the way each theory approaches issues such as income inequality, market regulation, and government spending? Specifically, how does radical economic theory critique conventional economic theory’s assumptions about the role of markets, the distribution of wealth and power, and the impact of government policy on economic outcomes?Focusing on the dynamics of individual self-interest, market efficiency, and limited government intervention in the economy, conventional economists argue that capitalism produces individual freedom and social justice. Radical economists disagree and argue that conventional economists ignore the importance of power as exercised through economic class, status groups and political parties. Explain each of these perspectives.
In your essay, consider the fundamental assumptions and principles that guide each theory. How do these principles shape the way each theory approaches issues such as income inequality, market regulation, and government spending? Specifically, how does radical economic theory critique conventional economic theory’s assumptions about the role of markets, the distribution of wealth and power, and the impact of government policy on economic outcomes?
