Political Economy

PSCI 600

Research Paper: Political Economy Assignment Instructions

Overview

In our first three modules, we focused our attention on foundational ideas, concepts, and methodologies associated with the study of comparative politics. In this module, we will begin to engage specific substantive topics. Your assignment this module, the Research Paper: Political Economy Assignment, focuses on political economy.  Sometimes it is incorrectly assumed that politics and economics are separate from one another.  In reality, politics and economics have a symbiotic relationship, both in domestic politics and international politics. Your Research Paper: Political Economy Assignment is a 5 – 7-page research paper addressing one important dimension of political economy, the emergence of welfare states.

Instructions

For this assignment you are required to write a short research paper focusing on the political economy of welfare states. Specifically, your Research Paper: Political Economy Assignment should: 1) identify and explain the factors that contribute to the emergence of welfare states within different systems; and 2) in light of the Martin textbook readings, evaluate the role that worldviews such as a Judeo-Christian worldview and Marxism may play in the emergence of welfare states. (Feel free to share disagreements you may have with Martin’s approach.)

· The text of this Research Paper: Political Economy Assignment must be 5–7 pages (not including title page, reference page, and any appendices).

· Your Research Paper: Political Economy Assignment must be in current APA formatting.

· Your Research Paper: Political Economy Assignment must contain a minimum of 3 scholarly sources not including the course textbook, assigned readings, and the Bible. You must include citations sufficient to fully support your assertions and conclusions.

Note: Your assignment will be checked for originality via the Turnitin plagiarism tool.

Political Economy

Introduction

Political economy is the study of how exchange, production and distribution are organized by society. It is based on the assumption that individuals act rationally to maximize their utility by pursuing their self-interest. The mainstream economists’ theory of value says that all goods have an inherent worth due to their usefulness in satisfying human needs, which is measured by their market price. Marxian economics holds that capitalist economies are based on class conflict and exploit labor power, which he called “variable capital” and “constant capital”. Both Marx and his followers consider the surplus value created by workers to be illegitimate. Karl Marx’s theories on political economy are often characterized as being in a Marxist tradition, although many Marxists disagree with many of these ideas. Under neoclassical economics (popularized during the 20th century), there is no room for the idea of exploitation or surplus value and profits should be reinvested in the company’s stock shares rather than paid out as dividends to shareholders

Political economy is the study of how exchange, production and distribution are organized by society.

Political economy is the study of how exchange, production and distribution are organized by society. It is an important part of economic history and a subfield of economics. It studies political issues such as how governments can be used to help citizens and businesses prosper as well as how government policies can affect economic growth.

The mainstream economists’ theory of value says that all goods have an inherent worth due to their usefulness in satisfying human needs, which is measured by their market price.

The mainstream economists’ theory of value says that all goods have an inherent worth due to their usefulness in satisfying human needs, which is measured by their market price. In other words, the market price is the amount of money that someone is willing to pay for a good or service. It’s based on supply and demand: When there are more people who want something than there are sellers willing to provide it at any given time (supply), then prices go up; when there aren’t as many people who want something as there are sellers willing to provide it (demand), prices go down.

Marxian economics holds that capitalist economies are based on class conflict and exploit labor power, which he called “variable capital” and “constant capital”. Both Marx and his followers consider the surplus value created by workers to be illegitimate.

Marxian economics holds that capitalist economies are based on class conflict and exploit labor power, which he called “variable capital” and “constant capital”. Both Marx and his followers consider the surplus value created by workers to be illegitimate.

In this view, capitalism is a system based on exploitation of workers through unequal bargaining power, where large corporations compete against each other for profits. Workers who produce more than they need can sell their products at a profit only if they have money saved up or borrowed from a bank or loan shark or invested in bonds purchased by another investor who has money but wants an interest payment every month (rather than having one lump sum).

Karl Marx’s theories on political economy are often characterized as being in a Marxist tradition, although many Marxists disagree with many of these ideas.

Karl Marx’s theories on political economy are often characterized as being in a Marxist tradition, although many Marxists disagree with many of these ideas.

In this lesson, you’ll learn about Marx’s political economic views and what he believed about capitalism. You’ll also see how those ideas were applied to later economic systems like communism and fascism.

Under neoclassical economics (popularized during the 20th century), there is no room for the idea of exploitation or surplus value and profits should be reinvested in the company’s stock shares rather than paid out as dividends to shareholders.

The Marxist view of capitalism is that it is based on class conflict. According to this theory, labor power (which Marx called “variable capital”) and means of production (means of production or “constant capital”) are owned by those who produce them: the working class. In capitalist economies, workers sell their labor power for wages or salaries; capitalists then use these wages as profit margins to purchase more raw materials and equipment from other capitalists in order to increase production capacity. Profit can then be reinvested into new tools for future production or used for personal consumption by entrepreneurs themselves rather than being distributed as dividends back into investors’ pockets

Conclusion

The key takeaway from this article is that political economy should be studied by anyone who wants to understand what’s really going on in society. We hope you’ve enjoyed learning about some of the major thinkers who have contributed to the field, and we encourage you to continue reading our blog posts for more insights into economics and social sciences.