Remake of History of Economic Thoughts by Chen Maggie https://padlet.com/maggiecm1991/qdpmeq23hkd7v1h 1)Illustrate the evolvement of economic theory from the beginning century to the future; 2) Under each type of economic thought, list down key economists and the most important theory they contributed to the economic methodology en-us 2021-09-27 02:21:46 UTC 2026-01-18 07:57:25 UTC hello@padlet.com Influencing figures in Keynesian Economics https://padlet.com/maggiecm1991/qdpmeq23hkd7v1h/wish/1780561425 The most important figure is John Maynard Keynes, who came up with his theory in order to understand and face the Great Depression. He believed that government should increase spending and decrease taxation in order to stimulate the economy.

Another significant figure would be a student of Keynes, who developed the "multiplier effect" that support Keynes' countercyclical fiscal policy. ]]> 2021-09-30 07:19:53 UTC https://padlet.com/maggiecm1991/qdpmeq23hkd7v1h/wish/1780561425 Physiocracy https://padlet.com/maggiecm1991/qdpmeq23hkd7v1h/wish/1780563107
  • PHYSIOCRACY 
  • start from 1760s(?)
  • 18th-century France( Age of Enlightenment )
  • Physiocracy is founded by François Quesnay (1694-1774)
  • Vincent de Gournay (1712–1759)
  • Anne-Robert-Jacques Turgot (1727–1781)
  • the belief that government policy should not interfere with the operation of natural economic laws and that land is the source of all wealth
  • It is generally regarded as the first scientific school of economics.
  • keywords: free and land

    • ]]>     2021-09-30 07:20:43 UTC https://padlet.com/maggiecm1991/qdpmeq23hkd7v1h/wish/1780563107     Austrian Economics virginiaaaa0471 https://padlet.com/maggiecm1991/qdpmeq23hkd7v1h/wish/1780563862 The Austrian School is a heterodox school of economic thought that is based on methodological individualism, the concept that social phenomena result exclusively from the motivations and actions of individuals.
    The Austrian school holds that prices are determined by subjective factors like an individual's preference to buy or not to buy a particular good

    KEY TAKEAWAYS
    • Carl Menger, an Austrian economist who wrote Principles of Economics in 1871, is considered by many to be the founder of the Austrian school of economics.
    • The key ideas of the Austrian school have evolved over the years through the input of various economists.
    • The main thinkers behind current state of this theory are Carl Menger, Eugen Boehm von Bawerk, Friedrich August von Hayek, Fritz Machlup, Joseph Schumpeter, Murray Rothbard and especially Ludwig von Mises – accomplished entrepreneurs, economists, philosophers and authors of revolutionary books and theses.
    • The Austrian school uses logic of a priori thinking to discover economic laws of universal application, whereas other mainstream schools of economics make use of data and mathematical models.
    • The early concepts of the Austrian school contributed significantly to the theory of diminishing marginal utility.
    ]]>     2021-09-30 07:21:06 UTC https://padlet.com/maggiecm1991/qdpmeq23hkd7v1h/wish/1780563862     Chicago School of Economics (Monetarism) https://padlet.com/maggiecm1991/qdpmeq23hkd7v1h/wish/1780564413 1960s

    Students at Chicago university (leading: Milton Friedman)

    Monetarism is a macroeconomic theory which states that governments can foster economic stability by targeting the growth rate of the money supply. Essentially, it is a set of views based on the belief that the total amount of money in an economy is the primary determinant of economic growth.

    Monetarism builds on the Keynesian theory by assuming the same macroeconomic framework and integrating the equation of exchange, but instead focuses on the role played by money supply. Because they believe that V can be relatively easily predicted, monetarists argue that the equation of exchange could be resuscitated as an approach to stabilization policy, and they favor the use of monetary policy to do so.

    Monetarism Definition (investopedia.com)

    ]]>     2021-09-30 07:21:24 UTC https://padlet.com/maggiecm1991/qdpmeq23hkd7v1h/wish/1780564413     The term neoclassical economics was coined in 1900 zjjia20 https://padlet.com/maggiecm1991/qdpmeq23hkd7v1h/wish/1780565155 1）
    the key early assumptions of neoclassical economics is that utility to consumers, not the cost of production, is the most important factor in determining the value of a product or service. This approach was developed in the late 19th century based on books by William Stanley Jevons, Carl Menger, and Léon Walras.

    • Classical economists assume that the most important factor in a product's price is its cost of production.
    • Neoclassical economists argue that the consumer's perception of a product's value is the driving factor in its price.
    • They call the difference between actual production costs and retail price the economic surplus.

    2）

    Neoclassical economics is derived from classical economics with the introduction of marginalism.

    Neoclassical economics emphasizes the choices (demand) of consumers. Personal preferences, allocation of resources, and some other factors can influence consumer demand. 

    The study of neoclassical economics depends on mathematical models. It implements a mathematical approach instead of a historical concept.

    https://corporatefinanceinstitute.com/resources/knowledge/economics/neoclassical-economics/
    ]]>     2021-09-30 07:21:47 UTC https://padlet.com/maggiecm1991/qdpmeq23hkd7v1h/wish/1780565155     https://padlet.com/maggiecm1991/qdpmeq23hkd7v1h/wish/1780565705 During the Great Depression of the 1930s, existing economic theory was unable either to explain the causes of the severe worldwide economic collapse or to provide an adequate public policy solution to jump-start production and employment.

    prolonged periods of high unemployment. An economy’s output of goods and services is the sum of four components: consumption, investment, government purchases, and net exports (the difference between what a country sells to and buys from foreign countries). Any increase in demand has to come from one of these four components. But during a recession, strong forces often dampen demand as spending goes down. ]]>     2021-09-30 07:22:04 UTC https://padlet.com/maggiecm1991/qdpmeq23hkd7v1h/wish/1780565705     Behavioral Economics https://padlet.com/maggiecm1991/qdpmeq23hkd7v1h/wish/1780566437 Some important ideas in the field can be traced back to 18th-century Scottish economist Adam Smith. He recognized that people are often overconfident in their own abilities, more afraid of losing than they are eager to win and more likely to pursue short-term than long-term benefits. These ideas (overconfidence, loss aversion and self-control) are foundational concepts in behavioral economics today. More recently, behavioral economics has early roots in the work of Israeli psychologists Amos Tversky and Daniel Kahneman on uncertainty and risk. In the 1970s and ’80s, Tversky and Kahneman identified several consistent biases in the way people make judgments, finding that people often rely on easily recalled information, rather than actual data, when evaluating the likelihood of a particular outcome, a concept known as the “availability heuristic.” ]]> 2021-09-30 07:22:25 UTC https://padlet.com/maggiecm1991/qdpmeq23hkd7v1h/wish/1780566437 Mercantilism https://padlet.com/maggiecm1991/qdpmeq23hkd7v1h/wish/1780567006 Mercantilism was a political movement and an economic theory, dominant in Europe between 1600 and 1800. The term "mercantilism" was not in fact coined until 1763, by Victor de Riqueti, marquis de Mirabeau, and was popularized by Adam Smith in 1776. In fact, Adam Smith was the first person to organize formally most of the contributions of mercantilists in his book The Wealth of Nations (Niehaus 1990: 6).

    By the end of the 18th century, scholars, such as Adam Smith and David Hume, began to evaluate and critique the merits of mercantilist theory. Contrary to established beliefs, the scholars realized that wealth was not finite, but could be created through the productive allocation of labor.
    Mercantilist policies also failed to account for the benefits of trade, such as comparative advantage and economies of scale. ]]>     2021-09-30 07:22:41 UTC https://padlet.com/maggiecm1991/qdpmeq23hkd7v1h/wish/1780567006     Behavioral Economics https://padlet.com/maggiecm1991/qdpmeq23hkd7v1h/wish/1780583691 In the 1980s, Richard Thaler began to build on the work of Tversky and Kahneman, with whom he collaborated extensively. Thaler has the idea of “sunk cost fallacy”—the idea that people are less willing to give up on projects they have personally invested in, even if it means more risk. Thaler is also known for popularizing the concept of the “nudge,” a conceptual device for leading people to make better decisions. A “nudge” takes advantage of human psychology and a number of other concepts in behavioral economics, including mental accounting—the idea that people treat money differently based on context.]]> 2021-09-30 07:30:34 UTC https://padlet.com/maggiecm1991/qdpmeq23hkd7v1h/wish/1780583691 Classical Economics ycliu20 https://padlet.com/maggiecm1991/qdpmeq23hkd7v1h/wish/1780586481 Start 1776 by Adam Smith
    Classical economics refers to the school of thought of economics that originated in the late 18th and early 19th centuries, especially in Britain. It focused on economic growth and economic freedom, advocating laissez-faire ideas and belief in free competition.]]>     2021-09-30 07:31:57 UTC https://padlet.com/maggiecm1991/qdpmeq23hkd7v1h/wish/1780586481     Physiocracy & Mercantilism maggiecm1991 https://padlet.com/maggiecm1991/qdpmeq23hkd7v1h/wish/1780586498 2021-09-30 07:31:58 UTC https://padlet.com/maggiecm1991/qdpmeq23hkd7v1h/wish/1780586498 Classical Economics maggiecm1991 https://padlet.com/maggiecm1991/qdpmeq23hkd7v1h/wish/1780586778 2021-09-30 07:32:06 UTC https://padlet.com/maggiecm1991/qdpmeq23hkd7v1h/wish/1780586778 Marxism Economics 2213067056 https://padlet.com/maggiecm1991/qdpmeq23hkd7v1h/wish/1780588389 Economist: Karl Max
    Evolvement: Marxian economics arose as a critique of classical political economy and later as a critique of capitalism.
    Theory: Marx claimed there are two major flaws in capitalism that lead to exploitation: the chaotic nature of the free market(surplus products and surplus value)and surplus labor.


    ]]>     2021-09-30 07:32:46 UTC https://padlet.com/maggiecm1991/qdpmeq23hkd7v1h/wish/1780588389     Keynesian Economics maggiecm1991 https://padlet.com/maggiecm1991/qdpmeq23hkd7v1h/wish/1780590246 2021-09-30 07:33:39 UTC https://padlet.com/maggiecm1991/qdpmeq23hkd7v1h/wish/1780590246 Marxism & Austrian Economics maggiecm1991 https://padlet.com/maggiecm1991/qdpmeq23hkd7v1h/wish/1780590615 2021-09-30 07:33:50 UTC https://padlet.com/maggiecm1991/qdpmeq23hkd7v1h/wish/1780590615 Neo-classical maggiecm1991 https://padlet.com/maggiecm1991/qdpmeq23hkd7v1h/wish/1806565975 2021-10-11 03:37:43 UTC https://padlet.com/maggiecm1991/qdpmeq23hkd7v1h/wish/1806565975 Chicago Economics maggiecm1991 https://padlet.com/maggiecm1991/qdpmeq23hkd7v1h/wish/1806567505 2021-10-11 03:38:37 UTC https://padlet.com/maggiecm1991/qdpmeq23hkd7v1h/wish/1806567505 Behavioral maggiecm1991 https://padlet.com/maggiecm1991/qdpmeq23hkd7v1h/wish/1806567705 2021-10-11 03:38:44 UTC https://padlet.com/maggiecm1991/qdpmeq23hkd7v1h/wish/1806567705