ECONOMICS 442
HISTORY OF ECONOMIC THOUGHT
PROFESSOR KARSTENSSON
TOPIC 2 EXAM REVIEW
THE CLASSICAL SCHOOL (1776-1873)
You should be prepared to write on the following items and questions on
the pertinent examination.
On the Short Answer Items you should be able to
correctly identify the item and comment on its importance in the history of
economic ideas.
On the Essay Questions you should be able to write an
organized and defensible short essay on the point(s) of the question asked.
This review includes items and questions on the following:
2.0
2.1
2.2
2.3
2.4
Topic Items and Questions
Adam Smith (1723-1790)
Thomas Malthus (1766-1834)
David Ricardo (1772-1823)
John Stuart Mill (1806-1873)
2.0 Topic Items and Questions
Short Answer Items:
The Enlightenment
Essay Questions:
1.
The structure of a discipline can perhaps be expressed in terms of its
composition. The principal components of economics today would
certainly include microeconomics (price theory), macroeconomics
(national income theory), and quantitative economics (mathematical
economics and econometrics). What would you say was the structure of
classical economics? What were its principal components? How is modern
economics related to its classical predecessor?
2.
Compare and contrast the views of Smith, Ricardo, and J. S. Mill on
value.
3.
Compare and contrast the views of Smith, Ricardo, and J. S. Mill on
production.
4.
Compare and contrast the views of Smith, Ricardo, and J. S. Mill on
distribution.
5.
Summarize the contributions of Smith, Ricardo, and J. S. Mill to the
theory of international trade.
6.
Compare and contrast the positions of Malthus, Ricardo, and J. S. Mill
on the possibility of gluts in the economy.
7.
Compare and contrast the positions of Malthus and Ricardo on the Poor
Law and the Corn Laws.
2.1 Adam Smith (1723-1790)
Short Answer Items:
Adam Smith
Francis Hutcheson
David Hume
The Theory of Moral Sentiments
An Inquiry into the Nature and Causes of the Wealth of Nations
Mercantilism
The "obvious and simple system of natural liberty."
Division of labor
The wage-fund doctrine
Principle of Absolute Advantage
Essay Questions:
1.
Briefly sketch the life of Adam Smith. How does his time, education,
and work relate to his economic thought?
2.
What are Adam Smith's three most important contributions to
economy? Defend each of your selections.
3.
The full title of Adam Smith's Wealth of Nations contains two questions.
What are the two questions? What were Smith's answers to these two
questions? Contrast Smith's answers to those of the English
mercantilist, Thomas Mun.
4.
Explain Adam Smith's theory of production (growth).
5.
Explain Adam Smith's theory of value.
6.
Explain Adam Smith's theory of distribution.
7.
Explain Adam Smith's theory of wages.
8.
Explain Adam Smith's theory of profits.
9.
Explain Adam Smith's theory of rent.
political
10.
What are the functions of government in Adam Smith's economic system?
11.
Some historians of economic thought portray Adam Smith as an optimist.
What is the basis for the claim that Smith is an optimist?
12.
Today, individuals in the business community (e.g., members of the
Chamber of Commerce) are sometimes inclined to venerate Adam Smith, to
see him as a guardian of, if not an outright icon for, business
interests. Is it a correct reading of Smith to characterize him as an
apologist for the business community? Explain your position.
2.2 Thomas Malthus (1766-1834)
Short Answer Items:
Thomas Malthus
Daniel Malthus
William Godwin
Marquis de Condorcet
An Essay on the Principle of Population
Principles of Political Economy considered with a View to their Practical
Application
An Inquiry Concerning Political Justice and Its Influence on General Virtue
and Happiness
Sketch for a Historical Picture of the Progress of the Human Mind
Positive checks
Preventive checks
Poor Law
Corn Laws
Law of diminishing returns
Essay Questions:
1.
Briefly sketch the life of Thomas Malthus.
and work relate to his economic thought?
How does his time, education,
2.
Discuss Malthus's principle of population. Why did he write the Essay?
What was the principle of population? What was the importance
of this principle in economic analysis?
2.3 David Ricardo (1772-1823)
Short Answer Items:
David Ricardo
James Mill
Jeremy Bentham
Jean Baptiste Say
The philosophic radicals
On the Principles of Political Economy and Taxation
An Introduction to the Principles of Morals and Legislation
The wage-fund doctrine
Poor Law
Corn Laws
Principle of comparative advantage
Glut
Essay Questions:
1.
Briefly sketch the life of David Ricardo.
and work relate to his economic thought?
How does his time, education,
2.
What are David Ricardo's three most important contributions to political
economy? Defend each of your selections.
3.
Explain Ricardo's theory of value.
4.
Explain Ricardo's theory of distribution.
5.
Explain Ricardo's theory of rent.
6.
Explain Ricardo's theory of wages.
7.
Explain Ricardo's theory of profits.
8.
Presidential candidate, Pat Buchanan, recently said, "Our industrial
base is shrinking and Middle America's standard of living is no longer
rising, because we forgot how America became a mighty industrial power
and we embraced the myth that it was free trade that made us great."
How would Ricardo respond to Buchanan's comment?
2.4 John Stuart Mill (1806-1873)
Short Answer Items:
John Stuart Mill
James Mill
Jeremy Bentham
Harriet Taylor
The philosophic radicals
Principles of Political Economy, with Some of their Applications to Social
Philosophy
Autobiography (of John Stuart Mill)
Essay Questions:
1.
Briefly sketch the life of John Stuart Mill. How does his time,
education, and work relate to his economic thought?
2.
Explain, in some detail, the education of John Stuart Mill.
education shape his economic thought?
3.
Explain Mill's theory of production.
4.
Explain Mill's theory of distribution.
5.
Explain Mill's theory of value.
6.
One historian of economic thought suggested the following about John
Stuart Mill: "Like his master, Bentham, he was as much as anything a
social reformer." Is this a correct reading of Mill? Why or why not?
How did his