Laissez-Faire Economics Review

What is utilitarianism/ what did Jeremy Bentham believe

(Greatest good for the greatest number of people). This idea was that the largest percent of the people should be happy. Judge decisions based off good ability for most amount of people. Increasing the amount of good things for the greater good and the pursuit of happiness of the people.

What is laissez faire economics?

(Little government regulation of economy. Let economy go) The idea that the government should not interfere in the free operation of the economy. Government should not play a role in the economy (hands off should not regulate business). He came up with a free market enterprise.

What gov interventions does John Stuart Mill suggest to help achieve utilitarian goals and improve the lives of the working class?

-expand voting rights -outlaw child labor -more schools -providing public health -power should be used to prevent harm

Who was the main Prophet of Laissez-Faire economics?

Adam Smith

Who are the haves?

Bourgeoisie

What struggle does Karl Marx see as unavoidable?

Communism.

Discuss what Karl Marx thinks is going to happen between the "haves" and the "have-nots".

He thought the Proletariats would form a revolution

Who is the first person to preach Utilitarianism?

Jeremy Bentham

Who were two Utilitarians?

Jeremy Bentham, and John Stuart Mill

Was Karl Marx's theory correct?

No, the standard of living went up

Who are the have nots

Proletariat

what theory did Karl Marx come up with

Scientific Socialism

What did Karl Marx write and what ideas did it express?

The Communist Manifesto,, expressed ideas of the conflict with the capital system

Discuss Adam Smith's philosophy on government's role in society.

They do not want the help of government, capitalism just wants the individual private companies to take control with no help from the government.

What did the Utopians believe

They thought there should be no difference between rich and poor, they also thought all work and property should be shared equally. Doing this would think the fighting between the people would disappear.

What does malthus' suggest to fix this problem? In what class?

To have fewer children ( in the working class)

What society does Robert owens create?

Utopian society

What was Adam smith the author of? What did he assert?

Wealth Of nations,, a free market enterprise

What is David Ricardo's theory on wages? What is the solution?

When wages are high, families had more children→ more work/jobs and this leads to (poverty). More children meant a greater supply of labor→ leading to lower wages and higher unemployment. Solution: Keep wages low.

What is communism

a form of socialism that sees class struggle between employers and employees as unavoidable

Laissez-faire economics praised __________________________, sociaism focused on the _______________________________-

individual rights,,,,,,,, the good of society in general

How will Laissez faire economics help benefit all people in society?

it would help produce more goods at lower prices which would be more affordable to the people. Also a growing economy would encourage capitalists to reinvest profits in ventures.

Under socialism, the people rather than private individuals would own and operate the ________________________

means of production

What did the Bourgeoisie do to the proletariat's?

owned the means of production which caused them to control society. (they did everything for the bourgeoisie)

What does Malthus predict will happen with the realtionship between population and the supply of food?

population will outpace food supply, thinking this would urge families to have less children. More people > food

Communism is a means in which to achieve _________________

socialism

What is the purpose of socialism?

wealth should be distributed among all of society and based on needs evenly. People hold means of production (and are even)