20th Century Economic Methodology
21st Century Economics: A Reference Handbook, ed. Rhona C. Free (Los Angeles: SAGE, 2010, pp. 33-43)
16 Pages Posted: 23 Sep 2015
Date Written: September 20, 2015
The systematic study of political economy begins with the recognition of two seemingly contradictory observations about commercial life. The first observation is that individuals pursue their self-interest and do so as effectively as they are capable of doing. The second observation is that commercial society exhibits a strong tendency to produce outcomes that enhance the public welfare in terms of material progress and betterment of the human condition more generally. Squaring these two observations is how the discipline was born.
Keywords: Economic Methodology, Political Economy, Neoclassical Hegemony, Formalism
JEL Classification: B12; B20; B41; B53
Suggested Citation: Suggested Citation