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Power & Choice, 8/e
W. Phillips Shively, University of Minnesota---Minneapolis
Political Economy of the State

Chapter Outline


I. Political economy

  1. As a political subfield-- how the state and the economy interact

    1. economic developments and the development of the state

    2. methods of economics and political science questions (assumption of rationality)

II. Economic Policy I: Economic growth

  1. rents and rent seeking

  2. import substitution industrialization

  3. the South Korean experience

III. Economic Policy II: Controlling inflation and unemployment

  1. inflation

  2. unemployment

IV. Economic Policy III: Managing distribution to address inequality

V. Independent central banks

VI. Corruption

VII. Conclusion

  1. Example: German political economy

  2. Example: Indonesian political economy









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