- Background and history
- Old age
- Aspects that gave rise to the origin of economic doctrines
- Middle Ages
- Main economic doctrines and their characteristics
- Mercantilist doctrine
- Featured Representatives
- Physiocratic doctrine
- Featured Representatives
- Classical doctrine
- Featured Representatives
- Socialist doctrine
- Featured Representatives
- Neoclassical school
- Featured Representatives
- Keynesian school
- Featured Representative
- Monetarist school
- Featured Representatives
- References
The economic doctrines are approaches that integrate the technical and ethical principles that are theoretically conducive and convenient to join the development of a society.
These are the ideas that have emerged through the analysis of the economic environment of an entity or nation, and that shaped the policies that regulate the strategies and processes aimed at the development of the economy.
Economic doctrines shape policies that govern actions in the realm of a nation's economy. Source: pixabay.com
Economic policies are based on philosophical ideas product of reflections on the human perspective of work, rational choice models, the creation of factors of production, the needs of the individual, market models, marketing, the participation of the State and economic planning instruments, among other aspects.
To a large extent, the development and empowerment of civilizations are defined by the evolutionary process of the notion of the economy: from the nomadic predator that covered its needs by consuming existing products, through the settlement of man that gave rise to the economy of production, until the emergence of trade.
The current executive was translated as the modern idea of the merchant of old. Economic systems advanced from those transaction models, and for a long time they occurred in such an organic way that the concern of studying and analyzing them separately did not arise.
Background and history
For a long time, economics was considered an appendix to other sciences and disciplines such as philosophy, law and politics. It was not until the eighteenth century when it began to be considered by thinkers as an independent system of ideas.
Then different doctrines arose based on economic theories that were based on the characteristics of societies and their resources, supporting State policies aimed at establishing economic systems that would strengthen their finances.
In this way, their progress was consolidated and, therefore, the individual was allowed to meet their basic needs and have quality of life.
Economic doctrines emerged as a response by thinkers to the development dynamics of societies.
Old age
At this time, ideas about economics were simple and very basic. They focused on identifying the best way to access the assets to satisfy the class action lawsuit.
If we consider the authors of that time, we have that Plato's text The Republic suggests a valid idea about how the economic fact was conceived in the ideal city. However, it was Aristotle who took steps forward with respect to economic thought through his works The Politics and Nicomachean Ethics.
Aristotle and other thinkers established differences between legal trade for the exchange of products and illicit, which only sought profit. These topics laid the foundations for economic science.
This philosopher defined economics as a science, whose objective was the administration and use of resources to satisfy the needs of the individual.
After centuries of settlements, wars and wandering, many civilizations organized themselves into societies that established internal and external links through commercial exchanges and the discovery of routes, which allowed them to have access to food products and goods and services. they were basic and rudimentary.
Aspects that gave rise to the origin of economic doctrines
-There was a marked difference between rich and poor.
-Many people rejected the idea of property.
-Life and society should be subject to the idea of mercy and justice.
-It was imperative to end abuse and usury.
The historical evolution of societies made it clear that each human group had to organize and identify the mechanisms to effectively and efficiently solve their economic problems.
Then the so-called economic systems arose, which allowed the development of socio-economic structures in an organized manner that gave a new approach to commercial exchange and laid the foundations of economic theories and methods.
These theories were promulgated according to the resources and socio-cultural characteristics of individuals and can be perceived as a sign of the evolution of man.
Middle Ages
In this period the thought on the economy had its bases in the scholastic philosophy and in the development of feudalism. Some thinkers such as Saint Thomas Aquinas introduced new ideas and concepts on price and profit, profit and usury, among others.
The thinker and mathematician Nicolás Oresme considered trade as a legal source of profit and condemned the counterfeiting of the currency.
For his part, the Arab economist Ibn Khaldun introduced concepts and valuable proposals for the time about value and work, price and demand, wealth as a social element and the role of the State as the central entity of economic development.
He also analyzed aspects of social spending and taxes, their distribution and their regulations by the State.
In the Modern Age, economic ideas and theories arose that resized the destiny of man, societies and the planet.
Main economic doctrines and their characteristics
The economic doctrines arose as a response of the thinkers of the time to the behavior of societies around the commercial phenomenon, as well as the need to encompass within an organized system all the activities inherent to the economic development of nations.
This is how the great theorists discussed what would be the ideas that would channel the economic movement of societies according to their characteristics and resources, proposing forms of organization in accordance with what they considered the object of such activity should be.
Below we describe the most prominent economic theories in history:
Mercantilist doctrine
It emerged in Europe in the course of the 15th century. He focused on the idea of strengthening the monarchical states and enriching the commercial bourgeois class. In this way, the State played a relevant role in the conduct of economic policy.
Featured Representatives
-Antonio Serra.
-Juan Bautista Colbert.
-Williams Petty.
-Tomas Mun.
Physiocratic doctrine
This doctrine arose during the eighteenth century in opposition to previous approaches, such as feudal, mercantilist ideas and the laws of the economic bourgeoisie.
He outlined the notion of economic liberalism and tried to safeguard the interests of the fiefdoms of the time.
Featured Representatives
-Jaques Turgot.
-Francis Quesnay.
Classical doctrine
It arose within the framework of the Industrial Revolution and opposed the anachronism of the ideas of the Physiocratic doctrine, as well as the mercantile doctrine. He proposed work as a source of wealth and assured that its segmentation would increase productivity.
He proclaimed the self-regulation of the market and the efficient allocation of resources thanks to the price method.
Likewise, he proposed the division of goods between the classes: worker, capitalist and landowner. He also defended the theory that private enterprise nurtured the economic life of a nation.
Featured Representatives
-Adam Smith.
-Robert Malthus.
-Jean Batiste Say.
Socialist doctrine
It made its appearance in the mid-nineteenth century, when capitalism had already established itself in Europe, clearly showing two social classes: the capitalist and the proletariat.
His proposals were aimed at giving an explanation about the situation of exploitation and misery of the working class.
He recognized work as a generator of value that must be distributed among workers. He also argued that the exploited working class was the one that generated the wealth that the oppressor class appropriated, leaving the dispossessed in misery due to the notion of private property.
He asserted that by suppressing private property, class antagonism would disappear, giving rise to social property within the means of production.
Featured Representatives
-Karl Marx.
-Friedrich Engels.
-José Carlos Mariátegui.
Neoclassical school
It arose within the second edition of the European and North American Industrial Revolution. He tried to adjust the premise of scientific socialism and welcomed economic liberalism as a sign of constant equilibrium.
He promulgated the thesis of price structuring and the analysis of microeconomics. He also introduced mathematics to economic study and proposed a theory of poor competition.
Featured Representatives
-Karl Menger.
-Williams Jevons.
-Leon Walras.
Alfred Marshall.
Keynesian school
It originated as a result of the capitalist crisis of 1929. It tried to solve chronic unemployment and the fall of the economy from a macroeconomic angle, product of the capitalist monopolization of the market.
He created the macroeconomic theory and that of effective demand. It assumed the participation of the State in the economic process and made use of fiscal policy as an instrument to solve the decline in investment during crises.
Featured Representative
-John Maynard Keynes
Monetarist school
His postulates conceived the impact of economic measures on the population as a variable of little importance in the short term, since the long-term benefits of these would compensate through the benefits of social order that they would bring.
His essential theory holds that the monetary phenomenon of inflation should generate solutions within the framework of a strict monetary policy.
He categorically proposes limiting the participation of the State in the free market economy. Likewise, it suggests reducing public spending after the restructuring of the state apparatus and affirms that inflation can be regulated by controlling the money supply.
Featured Representatives
-Milton Friedman.
-Irving Fisher.
-Von F. Havek.
References
- Bortesi, L. Luis "Principles and precepts of economic doctrines" in Research Gate. Retrieved on April 5, 2019 from Research Gate: researchgate.net
- "History of Economic Doctrines" at Universidad de Los Andes. Retrieved on April 6, 2019 at Universidad de Los Andes: webdelprofesor.ula.ve
- "Everything you need to know about commercialism" in Investment and finance. Retrieved on April 6, 2019 in Investment and Finance: Finanzas.com
- "History of economic thought" in Wikipedia, the free encyclopedia. Retrieved on April 7, 2019 from Wikipedia, the free encyclopedia: es.wikipedia.org
- Correa, F. "The doctrines that dominate in Chilean economics schools" in New Economics Studies. Retrieved on April 7, 2019 from Estudios Nueva Economía: Estudiosnuevaeconomia.cl