Econ
preventive check
Thomas Malthus's theory that restraints such as late marriage and sexual abstinence would help reduce the birth rate to some extent, but not enough to prevent the geometric progression of the world's population to unsustainable levels
positive check
Thomas Malthus's theory that war, famine, and disease would check population increases to some extent, but not enough to prevent the geometric progression of the world's population to unsustainable levels
John Maynard Keynes
To this economist, the Great Depression was ultimately a problem of too little investment
laissez-faire
a French term meaning "leave to do" or "let alone", which became associated with the idea that an economy operates best if individuals are allowed to pursue their own self-interest without government interference
Malthusian dilemma
a balanced economic system (in which one unit of food is available for each unit of population) will naturally transform itself, if left unchecked, into an economically unbalanced situation
John Kenneth Galbraith
one of Canada's most notable exports to the United States
Thomas Robert Malthus
one of the seven economists who lived in a time which rapid population growth and mass migration to cities and jobs in mechanized factories result in overcrowding
Thomas Robert Malthus
recognized historically as the first professional economist
monetarist
someone who believes that the most effective way for government to influence economic growth and stability is through regulating money supply and interest rates
social balance
spending priorities of goverment are changed to improve _________ _________
bourgeoisie
term used by Karl Marx for industrial capitalists who, he theorized, would be overthrown by the working class
proletariat
term used by Karl Marx to describe the working class who, he theorized, would rise up and overthrow the bourgeoisie, or industrial capitalists
Adam Smith
the Scottish philosopher who is known today as both the "father of modern economics" and the "founder of capitalism"
Thomas Robert Malthus
the author of "An Essay on the Principle of Population As It Affects the Future Improvement of Society"
Adam Smith
the author of "An Inquiry into the Nature and Causes of the Wealth of Nations" or "The Wealth of Nations"
Milton Friedman
the author of A Monetary History of the United States
Milton Friedman
the author of Capitalism and Freedom
John Maynard Keynes
the author of the Great Theory of Employment, Interest, and Money
David Ricardo
the author of the Principles of Political Economy and Taxation
The Wealth of Nations
the book that is recognized as the foundation of modern economic theory
the Principles of Political Economy and Taxation
the book written by David Richardo which exposes the bitter class conflicts at the heart of any society structured around free-enterprise capitalism
comparative advantage
the capacity of one economy to produce a good or service with comparatively fewer resources than another (e.g. having a lower opportunity cost)
absolute advantage
the capacity of one economy to produce a good or service with fewer resources than another
surplus value
the difference between the value of a good measured in terms of the labour used to produce it, and its higher selling price, a surplus that Karl Marx believed was stolen from labour by capitalists
Thomas Robert Malthus
the economicst who argued that the population, if left unchecked, would double every 25 years
David Ricardo
the economist who argued that one class in an economy could prosper only at the expense of the others
John Kenneth Galbraith
the economist who argued that the post-war emphasis on private-sector production resulted in private affluence and public squalor
Karl Marx
the economist who believed capitalism, as an economic system, was so morally bankrupt that it would one day destroy itself
David Ricardo
the economist who believed strongly in free trade as a result of his belief in comparative advantage
Milton Friedman
the economist who believed that government attempts to induce cycles of economic growth and rull employment (by increasing spending and reducing taxes) resulted in periods of significant inflation and a steady increase in the rate of public debt
John Maynard Keynes
the economist who believed that government intervention is needed to stimulate employment, spending, and economic growth during slowdown phase of business cycle (recession/depression)
John Kenneth Galbraith
the economist who believed that more government involvement and regulation of the economy would help improve society
John Maynard Keynes
the economist who believed that sustainable peace requires fair treatment of enemies
Milton Friedman
the economist who believed that the most effective way for government to influence economic growth and stability is through regulating money supply and interest rates
Thomas Robert Malthus
the economist who believed that wages and the standard of living should hover around the subsistence level in order to keep the population from growing out of control
John Kenneth Galbraith
the economist who believed that, in the world of large international corporations, executive managers hold real decision-making power
John Maynard Keynes
the economist who contributed to the rebuilding plan for Europe which lead to economic ties and peaceful relations
John Maynard Keynes
the economist who emphasized increased goverment spending and reduced taxes
Karl Marx
the economist who exposed the evils of capitalism
John Maynard Keynes
the economist who hypothesized that, during the war, consumer spending would interfere with the war effort; after the war, consumer buying power would help to stimulate investment, permit increased production of consumer goods, and maintain employment levels
Adam Smith
the economist who increased prosperity for industrialist class
Adam Smith
the economist who increased support for laissez-faire capitalism
Thomas Robert Malthus
the economist who increased the value of population studies and statistical analysis
Milton Friedman
the economist who is regarded as a leading proponent of the liberal economic perspective; also acknowledged as the most articulate champion of the conservative view
John Maynard Keynes
the economist who recommended "deferred savings"
John Maynard Keynes
the economist who strongly criticized the Treaty of Versailles
David Ricardo
the economist who was born during industrial revolution, when population grows rapidly, poor crop yields and Napoleonic War drain food reserves, and power of industrialist class grows with economy
John Maynard Keynes
the economist who was born in WWI followed by the Great Depression and WWII
Milton Friedman
the economist who was strongly influenced by the amount of unproductive government intervention in the US economy following the end of WWII
Adam Smith
the first thinker to ouline in detail the characteristics and benefits of a complete economic system - the free-market economy
working class
the group of people who lived on modest wages as David Ricardo defined
industrialist class
the group of people who made healthy profits by operating the factories they owned, as David Ricardo defined
aristocratic landlord class
the group of people who received substantial rent from the land titles they held
arithmetical progression
the growth pattern of food production
geometrical progression
the growth pattern of population
French Revolution
the idea of laissez-faire philosophy contributed to this historical event
Karl Marx
According to this economist, economics must come before politics, science, art, and religion in importance because it determines the course of human history
self-interest
Adam Smith believed that human beings are motivated primarily by ____________
mercantilism
Adam Smith was born into a world where ____________ was the prevailing economic system
Benjamin Franklin
Adam Smith was greatly influenced by this American politician and writer, who provided much information about the economic situation in the American colonies
The Theory of Moral Sentiments
Adam Smith's first book which made him famous throughout Great Britain
law of accumulation
Adam Smith's theory that businesspeople who invest a percentage of their profits in new capital equipment increase the economy's stock of capital goods, thus ensuring economic growth and future prosperity
law of population
Adam Smith's theory that the accumulation of capital by businesspeople requires more workers to operate the equipment, leading to higher wages, which in turn lead to better living conditions, lower mortality rates, and an increase in population
Corn Laws
Early 19th-century taxes on grains imported into Britain that drove up the market price of domestic grain in order to benefit the landlord class; these taxes became a focus of opposition for David Ricardo's wage and free trade theories
Capital
Karl Marx's most comprehensive work
labour value
Karl Marx's notion that the value of any item is equal to the value of the labour used to produce it
taxes and regulations
Smith learned from Benjamin Franklin that the growing mood of rebellion in the American colonies was a direct reaction to interference by the British goverment, through various ____________, in the economic life of the colonists
physiocrat
a believer in the 18th-century philosophy that argued that laws created by humans are artificial and unnecessary because they interfere with natural laws, such as an individual's pursuit of self-interest, which would ultimately benefit all of society
John Maynard Keynes
a key economic adviser to the British government during WWII
protectionist
a policy of limiting imports through tariffs
deferred savings
a portion of every worker's pay would be automatically invested in government war bonds that could not be cashed until after the war
voucher system
a system Milton Friedman recommended for public education
tariff
a tax on an import levied by a nation; also called custom duty
exploitation
according to Karl Marx, class conflict leads to _________, which leads to rebellion
Milton Friedman
according to this economist, free markets will largely resolve their own economic problems more effectively if they are left alone rather than subjected to government intervention
the dismal science
after reading Malthus, the English writer Thomas Carlyle referred to economics as _______________
mercantilism
an economic system that emphasized state control of trade, with the goal of exporting as many goods as possible and importing as few foreign goods as possible
Keynesian economics
another name for fiscal policy
custom duty
another name for tariff
John Kenneth Galbraith
author of The Affluent Society
war bonds
deferred savings to finance war effort
Thomas Robert Malthus
he challenged Adam Smith's view of a world governed by natural laws that provided ever-increasing prosperity, and he predicted inevitable poverty and famine for the masses
protectionist
in order to make mercantilism work, a country's government had to adopt a ________ policy
American Revolution
interference of the British government led to this historical period
Enclosure Movement
it broke up the large plots of land that towns had held in common since the Middle Ages and redistributed them in small plots to individual landholders
competition
it controls the economy as an invisible hand or a natural control
laissez-faire philosophy
it provided a strong argument for replacing state control of the economy with a reliance on natural laws to regulate economic activity
iron law of wages
labour's wages remain naturally near subsistence level as improvements bring population increases
Declaration of Independence
the interference of the British government led to this historical event in 1776
international communism
the movement which promotes overthrow of corrupt ruling class, resulting in violent rebellions and Russian Revolution of 1917
John Kenneth Galbraith
the only Canadian economist out of the seven metioned in this chapter
Green Revolution
the period in the 20th century, which had a series of technological breakthroughs in the field of agriculture
Industrial Revolution
the period of technological innovation and factory production, beginning in Britain in the late 18th century, that eventually changed the economy from one that was largely agricultural and rural to one that was industrial and urban
1945-1990
the period when fiscal policy (Keynesian economics) is emphasized
1990-present
the period when monetary policy is emphasized
division of labour
the specialization of workers in a complex production process, leading to greater efficiency
political economy
the term which Malthus used to designate an acadamic office which made him rightly be identified as the first professional economist
2005
the year John Kenneth Galbraith died
2006
the year when Milton Friedman died
the Principles of Political Economy and Taxation
this book challenged the power of the aristocratic landlord class by questioning the contributions of this class to society
John Maynard Keynes
this economist's book helped to rescue the capitalist system from self-destruction and the spectre of international communism
profit
this motive provides the major stimulus for economic growth and prosperity
