Question

Identify a local/global problem or a positive aspect in current societies that might be caused by an economic policy that is based on an economic concept that was originally identified by the Physiocrat School of Thought.

Your answer needs to provide at least two paragraphs.
a)The first paragraph discusses the local/global problem or a positive aspect in current societies.
b)The second paragraph explains how the concept that you identified is causing the problem

Answer 1

PHYSIOCRAT -

As many other believers in 18th century, they also believed in idea of "natural order" that was basically nothing but keeping away the government from economical affairs. They believed that unchanging laws govern all the economic processes... Which is actually regarded as 'FIRST SCIENTIFIC SCHOOL OF ECONOMICS'

a) POSITIVE ASPECT -

as they did not wanted government intervention in the business work so they were basically pointing at LAISSEZ-FAIRE type of economical world, and it's brainchild is only the 'CURRENT CAPITALISTIC SOCITIES ' of today I.e. the today's capitalism had been started by Physiocrats of 18th century following economic policies of capitalism, like -private players actually own and accord the properties as per their interest,,demand and supply are left freely to be set in market as for the best interest of societies,,freedom to choose own consumption production and investment ,,freedom to enter and exit market to maximise social welfare for producers and consumers,, limiting the role of government.

b) PROBLEM WITH CAPITALISM-

Being capitalists prime and sole motive is profit generation so does their actions and step will lead to that direction unlike government they will not think of welfare as their motive leading to problems like - inequality(by exploiting labors to get more work and give less remuneration) ,, monopoly power(its one that all private players would desire, as it helps to get control of market and price of goods by which they can also exploit consumers),, high environmental costs and externalies(pollution is one big outcome of it, only production and to reduce or lower cost many a times companies do not dispose off the waste properly to have overall low cost leading to pollution),, encourage greed and materialism(humans are beings of emotions and generousity however in capitalist world greed to get more money is only emotion of existence, making people further suffer from personal problems, mental health and even physical problems)

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