Classical economics

Classical economics（Now then the iron it is the け, it is, the く Classical economics) With,18 century latter half19 century first half Adam Smith、 デヴィッド Ricardo and others was centered economics. In other things typical economic scholar,ペティ、Malthus、 mil. As for how to call, "classical school" cirque Marx originates. mercantilism and physiocratism, it has been formed. There are also times when it is called the English classical theology. Keynes, cirque Marx to "the classical school". This way, there is various opinions in the problem it includes "classical economics" to somewhere.

Summary

The classical economic scholar explained economic growth and economic development and did uninformed. capitalism increases birth cry from feudal society, industrial revolution is extensive in society, they have produced "magnificent dynamics". Change of these kind of age, that came to the point of the doubt which you say whether the individual (money) of oneself the society which seeks profit keeps becoming some kind of ones displaying. Why, this kind of society with confusion whether it probably will not collapse, that.

The classical economic scholar transformed economics to the interest thing which from private interest thing of the dominant person is based on class. Physiocratism scholarKenneyAnd as for Adam Smith, wealth of nation is not the treasure of the king, you defined it is income of nation of every year. As for Smith as for this income you thought that it is produced by the work which is dropped in the farmland and capital equipment. When and, the farmland and capital equipment it reaches the point where it is monopolized by the individual, income of nation between the worker, the landlord and the capitalist, is distributed respectively in a way, wages, rent and profit.

Classical economics emphasized the profit of trade and exchange, argument was done natural price of the commodity (natural price) the analysis and constitution value theory which it goes round (the cost-of-production theory of value) or dropping work value theory (the labor theory of value) concerning.

As for many of how to think the classical school, (The Austrian theologyIt seems the way)Marginal utility theologyIt came to the point of being displaced by. As for this theology, when value making the commodity, it is not throwing element cost and you saw that it is led from the marginal cost which the consumer receives from the commodity.

Sarcasm is thing, but when the classical economic scholar considers the fact that you are devoted to the free competitive marketplace, to as for the biggest theology of the economic idea which is attached "conventional" form Marx group. As for this, before accepting limited theory widely, also Marx dying will be related.

Insistence of classical school

Laissez faire

• Price mechanism ( demand and supply) adjustment power is high.
• レッセフェール (laissez faire) it is the most desirable economic management.

Dichotomy of classical school

Separating, you can explain the products market and the monetary market. As for the monetary supply quantity we assume that just changes price level real thing economy (the products market) effect is not produced,Quantity theory of moneyYou insist.

Postulate of classical school

In classical economics it keeps advancing analysis the next two postulates as a pillar.

1st postulate of classical school

Real wage is equal to the limited products of work. In order for the limited products of work to become equal in real wage, the employment quantity (the work demand quantity) it is decided.

2nd postulate of classical school

Real wage is equal to the limited disutility of work. In order for limited disutility of work to become equal in real wage, the labor supply quantity is decided.

Limit of classical economics

Following to the theory of classical economics, phenomenon kept changing. But, monopoly and enlargement etc. of difference of wealth and poverty kept advancing. As a result, communismCorrection capitalismWith it means that principle of the economy where two which is said differs fundamentally is formed.