History of Economic thought Exam 2
Be able to identify the significant public policy issues in England in the early 19th century
be able to explain per text and class discussions; how did the economic thinkers of the time confronted these issues
Be able to identify and explain the background, history and effectiveness of the Poor
Laws and Factory Acts
Chadwick – background, major influences, primary contributions, views on
mechanization and business cycles with respect to working poor; relevance to today’s
social and economic issues
State of sanitation in England during the 19th century; Great Stink; Chadwick’s
perspective about the public interest and role of government in sanitation reform, how he
considered it to be a “public good” and a natural monopoly
Chadwick’s role in changing policing and law enforcement in England; issues was he
seeking to address with those changes; be able to explain the economic incentive
underpinning the “preventative principle”
JS Mill’s background, main principles and concerns for public policy; his two main types
of government intervention – be able to identify
Mill’s perspectives on income vs wealth taxes, be able to provide his argument about
each
Romanticism – what was it, its primary perspectives; comparison to Enlightenment
thinking and rationalism. Be able to explain why was this movement relevant to the
history of economic thought
Who were the utopian socialists? Saint-Simon bio and proposal for social organization
Simonde de Sismondi; be able to identify his proposal for the role of government in the
economy?
Robert Owen - be able to explain how his bio and early life experience impacted his
theories; be able to explain his projects and how they worked out
Marx bio, family circumstances, formal education, profession, cities did he lived in and
why he moved around
Philosopher was most influential for Marx – Hegel – be able to explain what the dialectic
Is
Communist Manifesto - when published; major points
Das Kapital – when published; major points
Marx’s theory of excess value
Marx’s prediction for advanced capitalistic economies – be able to explain his argument
Marx, “class struggle” and revolution – be able to explain
Cournot – background, primary contribution to economic thinking, role of marginals
Cournot’s monopoly model, be able to draw and explain Figure 13.1 in the text
Cournot duopoly model, reaction curves, be able to draw and explain Figure 13.2 in the
Text pg. 315
Dupuit – biography, profession and impact of his training on his economic ideas; be able
to identify and explain three characteristics that shaped his economic analysis
Dupuit’s three components of total utility in a market – be able to identify and explain
Dupuit’s idea of price discrimination and utility impact on a monopolized market
Dupuit’s two elements of entrepreneurship – be able to identify and explain; concept of
product differentiation; Dupuit’s general rule for the provision of public goods and
consumer surplus
Somebody has to take a risk and somebody has to run a company
Jevons – background and training – main contributions to economic thinking
Weber-Fechner studies – be able to explain conclusions and implications for utility and
demand
Jevon’s four factors of human utility – be able to identify and explain
Equimarginal principle – be able to identify and explain
Alfred Marshall – bio, most significant publication and primary contributions to
economics
Marshall’s perspective on the use of mathematics in economic analysis
Marshall’s thinking about the role of time in economic analysis – be able to explain;
definition of ceteris paribus in the context of the demand function
Marshall’s short run and long run models – be able to draw and explain Figures 16.1 and
16.2
Pg.400