Modern Economic Theory

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Reference no: EM133204317

Chapter 19.

Watch the following Ted Talk video on modern economic theory, relating to our discussions on the Gilded Age and its enormous wealth inequalities. Video is around 17 minutes long.

Answer the following questions after watching the following video. Answers may be short and to the point, no long paragraphs necessary for this assignment (unless you want to!).

1. How does Nick Hanauer categorize himself within our modern economic system?

2. In today's neoliberal economic models, who ultimately benefits from the current systems? The rich or the middle class?

3. In reference to intellectuals, scholars, and economic theorists, what is the result of today's rising inequality and political divisiveness?

4. Instead of capital being the backbone of economic growth, what factor does Hanauer say truly grows modern economies?

5. In his discussions of equilibrium systems with wages vs. jobs, what is his assessment of the teetering "myth" between the two?

6. Using an example of Seattle passing a $15 minimum wage, what was the outcome for local businesses? Did the economy struggle under this new measure, or grow?

7. What are the three assumptions currently made in modern economics?

8. How does Hanauer describe the two competing ideas of greed vs. reciprocity?

9. Toward the end of his Ted Talk, Hanauer describes five "rules of thumb" for how to evolve modern economies to become more equitable and fair. What is the summarization of these?

10. Personal Commentary Question: Using our conversations with the Gilded Age, this Ted Talk of neoliberal market economies, and modern-day understandings of growing income inequality within the United States, what are your thoughts on the current situation of income inequality in America? If you were a head economic advisor, do you have any solutions to begin tackling this rising and pressing issue? Discuss freely.

Chapter 18

The first few questions are substantive based on the reading, and the last is a more subjective viewpoint and an opportunity for you to share your thoughts, opinions, and analysis on the subject matter.

1. Why were railroads so important to America's second industrial revolution? What events demonstrate their influence on society and politics as well as the economy?

2. Why did organized efforts of farmers, workers, and local reformers largely fail to achieve substantive change in the Gilded Age?

3. Describe how the "robber barons" attained their God-like wealth, and make comparisons between their triumphs and today's billionaire class. Do you see similarities in wealth, influence, and power? How so?

4. How did the Sherman Antitrust Act curtail the greedy practices of businesses? Is this law still effective in the present-day when analyzing large and powerful corporations?

5. The Gilded Age saw a series of corruption scandals and election gridlock within its political sphere. Compare and contrast politics between the Gilded Age and today's polarized politics and electorate. Use specific examples.

Attachment:- Chapter 18-Industrialization and the Rise of Big Business.rar

Reference no: EM133204317

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