Reflection
In consider the most important theory presented was Mr. John Keynes’s about the ‘downward spiral theory’. The core reason why economy is so unpredictable is because of human’s irrationality in decision-making.
Down spiral is the phenomenon where he mentions ‘animal spirits’ are usually low in recession because the situation is not profitable, therefore suppliers restrict supply and there will be a continuous fall in employment. Because of this theory exists, this made a realization to people that government’s intervention is the only way of stopping the downward spiral to continue. In modern days what the government in many countries do is that during recession the government increase it’s spending to stimulate the economy to keep the suppliers going to prevent things like unemployment that ruins economic stability.
Great economists
James Mill was a Scottish philosopher and political thinker, who developed the theory of utilitarianism (Which argued that actions are morally right if they lead to happiness). He is the most well-known person for utilitarianism in the field of economics.
John Mill was born near Montrose and moved to London in 1802. He did not attend prestigious schools such as University of Cambridge or Oxford because he refuses to subscribe or adhere to the 39 articles of Church of England. Instead, he followed his father to work in the East India Company till 1858, he attended University College, London.
John Mill states “actions are right in proportion as they tend to promote happiness, wrong as they tend to produce the reverse of happiness”. The happiness that he is referring to is, pleasure in the absence of any forms of pain. He argued that the vague idea of true happiness could come in any forms of quality and quantity. He also argued that his belief of utilitarianism matches perfectly with human’s social nature. Therefore, if society were to embrace utilitarianism as an ethic, People would naturally internalize these standards as morally binding. Mill believes that happiness is the only core basis of morality and people will never desire anything else but happiness. He supports his theory by showing other objects of people’s desire ultimate leads to achieve ‘happiness’. He also claims that the existence of sentiments of justice actually derived from utility and right are there because of they are necessary to fulfill human happiness.
John Mill’s major publications:
Principles of Political Economy
A system of logic
In consider the most important theory presented was Mr. John Keynes’s about the ‘downward spiral theory’. The core reason why economy is so unpredictable is because of human’s irrationality in decision-making.
Down spiral is the phenomenon where he mentions ‘animal spirits’ are usually low in recession because the situation is not profitable, therefore suppliers restrict supply and there will be a continuous fall in employment. Because of this theory exists, this made a realization to people that government’s intervention is the only way of stopping the downward spiral to continue. In modern days what the government in many countries do is that during recession the government increase it’s spending to stimulate the economy to keep the suppliers going to prevent things like unemployment that ruins economic stability.
Great economists
James Mill was a Scottish philosopher and political thinker, who developed the theory of utilitarianism (Which argued that actions are morally right if they lead to happiness). He is the most well-known person for utilitarianism in the field of economics.
John Mill was born near Montrose and moved to London in 1802. He did not attend prestigious schools such as University of Cambridge or Oxford because he refuses to subscribe or adhere to the 39 articles of Church of England. Instead, he followed his father to work in the East India Company till 1858, he attended University College, London.
John Mill states “actions are right in proportion as they tend to promote happiness, wrong as they tend to produce the reverse of happiness”. The happiness that he is referring to is, pleasure in the absence of any forms of pain. He argued that the vague idea of true happiness could come in any forms of quality and quantity. He also argued that his belief of utilitarianism matches perfectly with human’s social nature. Therefore, if society were to embrace utilitarianism as an ethic, People would naturally internalize these standards as morally binding. Mill believes that happiness is the only core basis of morality and people will never desire anything else but happiness. He supports his theory by showing other objects of people’s desire ultimate leads to achieve ‘happiness’. He also claims that the existence of sentiments of justice actually derived from utility and right are there because of they are necessary to fulfill human happiness.
John Mill’s major publications:
Principles of Political Economy
A system of logic