Foundations of Classical Economic Thought

📋 Course Outline

1. Classical Political Economy
2. Economic Schools of Thought
3. Division of Labour
4. Value and Prices
5. Wealth Distribution
6. Disagreements on Value
7. Discourse in Economics
8. Methodological Challenges
9. Historical Development

📖 1. Classical Political Economy

🔑 Key Concepts & Definitions

• Classical political economy (late 18th - early 19th century): A distinct school of economic thought that emerged during the late 18th century, focusing on the systematic study of production, exchange, and distribution of wealth, and emphasizing the autonomy of economic discourse from moral and political philosophy.

• Emergence of economics from moral and political philosophy: The process during the 18th century whereby economic issues transitioned from being part of moral and political philosophy or theology to a separate, specialized discipline, marking the beginning of modern economics.

• Autonomy of economic discourse: The development in the late 18th-early 19th century of economics as an independent field of study, characterized by its focus on the mechanisms of wealth creation and distribution, distinct from moral or political considerations.

📝 Essential Points

• Classical political economy is recognized as a distinct school that formalized economic analysis during the late 18th and early 19th centuries. It is one of three main schools, alongside Marxism and Marginalism.