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Political Economy

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Chapter Summary

This chapter analyzes all three schools i.e. liberal school, Keynesian and Marxian schools in political economy according to two complementary aspects: Firstly, for degrees of internalization of conflict into economic operations; secondly, for governing influences between the economic and political spheres. The first aspect is dealt with under the 'conflict'-entitled sections. These sections provide input to a political economy of conflict. The second aspect is considered in complementary 'interventions'- named sections. These sections also include provisions related to processes of international organization. Generally, liberal models seek interpretation by means of one paradigmatic concept, both concerning the relationships between economic activity and conflict, as well as the one between economics and politics. An ultimately different political economy of conflict materializes when a Keynesian lens guides our perception of the world. A brief overview of component elements of economic crisis and conflict serves to sharpen an economic debate of Marx's conflict theory.

Keywords: Keynesian economics; liberal economics; Marx's conflict theory; Marxian economics; political economy



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