Tenets of Neoclassical Economy
The objective of this academic essay is to discuss the main tenets of neoclassical economic liberalism, explain whether less developed countries should entirely depend on developed countries not and give the reasons.
According to Schumpeter (1954), the classical school of economics was developed in the 1750 and lasted as the mainstream of economic thought until the late 1800. Adam Smith’s Wealth of Nation book published in 1776 can be used as the formal beginning of classical economics but it actually evolved over a period of time and was influenced by Mercantilist doctrines, Physiocracy, the enlightenment, classical liberalism and the early stages of the industrial revolution. Adam Smith is recognized as the originator of classical economic. John Stuart Mill a British philosopher 1806-1873 is often regarded as the synthesizer of the school. While Adam Smith would be regarded as the originator and leader of the school, David Ricardo 1772-1823 should be credited with establishing the form and methods of school.
Neoclassical economic liberalism is based on principles of namely free competition, a self-regulating market economy, and low or no taxes on income and property, while sharing with other forms of liberalism "a belief in progress, the essential goodness of the human race, and the autonomy of the individual and standing for the protection of political and civil liberties.
Liberalism has long history rooted in the theories of liberal political thought. It focuses mainly on the individuals rights. It attaches a lot of value to personal freedom be it political or economical. It strives to limit the state’s influence in the economic and social life of society. Liberal theorists believe that economic life should not be interfered by constitutional and legal rights to run all the national or public services. Economic life should be let flourish on its own without interference by the state. Therefore, the cornerstone or the most important thought of liberalism are
According to Schumpeter (1954), the classical school of economics was developed in the 1750 and lasted as the mainstream of economic thought until the late 1800. Adam Smith’s Wealth of Nation book published in 1776 can be used as the formal beginning of classical economics but it actually evolved over a period of time and was influenced by Mercantilist doctrines, Physiocracy, the enlightenment, classical liberalism and the early stages of the industrial revolution. Adam Smith is recognized as the originator of classical economic. John Stuart Mill a British philosopher 1806-1873 is often regarded as the synthesizer of the school. While Adam Smith would be regarded as the originator and leader of the school, David Ricardo 1772-1823 should be credited with establishing the form and methods of school.
Neoclassical economic liberalism is based on principles of namely free competition, a self-regulating market economy, and low or no taxes on income and property, while sharing with other forms of liberalism "a belief in progress, the essential goodness of the human race, and the autonomy of the individual and standing for the protection of political and civil liberties.
Liberalism has long history rooted in the theories of liberal political thought. It focuses mainly on the individuals rights. It attaches a lot of value to personal freedom be it political or economical. It strives to limit the state’s influence in the economic and social life of society. Liberal theorists believe that economic life should not be interfered by constitutional and legal rights to run all the national or public services. Economic life should be let flourish on its own without interference by the state. Therefore, the cornerstone or the most important thought of liberalism are
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