In fact, if any sets of theories explain the world economic cycles, his certainly are the most logical, and more important, they are not two-dimensional, and even more important, they are easily explainable. In what way would you define them? Those are fun thoughts. I also think we need to acknowledge the Peter Principle as a corollary to this theory. Buchanan and Tullock. Thanks, Please I need help on d theory that is applicable to impact of economic recession on advertising practise. Be sure to read the follow-up post in July 2010. Essentially, Firm Value cannot be enhanced via capital structuring, absent the role of taxes. I’m not sure, though, that I would characterize the Peter Principle (does the name bother you?) So, what do you think have been the most important economic theories over the past century? So #4 is directly linked to #5 and #6 for Hayek, via nos. And am undertaking a research on individual household saving determinants, could you please suggest me a best theory on it? The Charming World of Las Vegas Real Estate, Assorted Links (8/17/2009) – Jim Garven's Blog,, Millions out of work - a crumbling infrastructure - I have an idea! (used with a sing. what theories in economics can i adapt for this write up,thanks. I’ve been wondering whether to include something else from the Depression era. Thanks. It argues that unfettered capitalism will create a productive market on its own. The word “market socialism” gets used for different purposes by different people. An Economic Theory of Clubs' By JAMES M. BUCHANAN The implied institutional setting for neo-classical economic theory, including theoretical welfare economics, is a regime of private property, in which all goods and services are privately (individually) utilized or consumed. It’s about access (like politics or philosophy) - and there never will be the only one true and correct economic theory. Maybe a cousin. Too many copmlinemts too little space, thanks! That’s the question a publisher recently asked me to ponder for a book they are developing. The publisher told me today that they wanted to pass on some of the financial suggestions I made (including Efficient Markets, CAPM, and Portfolio theory) so that they have more room for classic theories (I had omitted Comparative Advantage and Marxism, for example, given their age). Theory of Economic Development: The above stated features imply that circular flow is used in a static setting. Seems like the public might finally be looking at the stimulus bill through this lens. Pls I would love you to help me out, am having a research on impact of economic recession, please, I need a workable n applicable theory that will go wit this topic. adaptive valuational choice across time involving non-permanent production processes that take more or less time and produce more or less output. Economic theories try to explain economic phenomena, to interpret why and how the economy behaves and what is the best to solution - how to influence or to solve the economic phenomena. We got a excellent book on that matter from our regional library and most books where not as influensive as your information. Post was not sent - check your email addresses! Sorry for tagging on here but I’m looking for an economic theory and if anyone would know, it would be you guys. or, economic model should be studied separate from the theorems?? The value of a leveraged firm and the value of an unleveraged firm should be the same. Thanks D. That is indeed one of the things I tried. Maybe that can be another list. Sorry, your blog cannot share posts by email. Three Things You Should Know about the Buyback Furor, Talking Money, Inflation, Fiat, & Bitcoin. All economic theories used to explain specific situations or problems in the economy of some of its models. You agree by using this site. any ideas with relation to theories mentioned? Althought they wouldn’t stack too neatly, organizing this list in a serial fashion might be helpful. (Apologies for the higher-than-usual amount of jargon and economic short-hand.). To put it another way, a modern mixed economy could tax with an income tax, a capital gains tax or a consumption tax (Goods and Services Tax in Australia) or some combination of these (as we do in Australia). Good day sir, I’m currently taking up bachelor of science in economics here at the university of the Philippines, and I’m wondering if in every economic theories, are there also economic models?? verb) The social science that deals with the production, distribution, and consumption of goods and services and with the theory and management of economies or economic systems. One of my favorite theories is the Theory of Yes Men – essentially having proved that butt kissing in an organization costs that organization. I think I would lump a couple of categories together under “Rules versus Discretion for Monetary Policy”. Thanks, Donald. One could even say the Goldmann Sachs phenomenon. Whilst it could be that the West would see such alternative theories as a threat, it is equally possible that they are ignored as utterly non-viable. 4. Keynesian: Of or pertaining to an economic theory based on the ideas of John Maynard Keynes, as put forward in his book The General Theory of Employment, Interest, and Money. National governments also have an interest in theories of economics. or pl. I have you book marked to look at new stuff you Nice counterpoint to the idea of market socialism. because, everytime our professor would ask about examples of econ. I also think there should be some room for the work of Gary Becker and Sherwin Rosen. Roosevelt’s “experimentation” “Keynesian influenced. As the list illustrates, there are nuances about what constitutes a theory — some try to describe how the world works, and others try to describe how it should work.