Lesson 2: Methods of Political Economy
Please read Part I, Chapters 8 - 12

 Click here for plain text version. 

Your Name:  Your Email Address:

1. Why is political economy not primarily concerned with the body politic?   (Part I, Chapter 8) 

2. Does political economy deal with questions that arise within a single family?   (Part I, Chapter 8) 

3. Does political economy concern itself with the kinds of desires that people seek to satisfy? Explain.   (Part I, Chapter 8) 

4. What are the two fundamental elements of political economy?   (Part I, Chapter 9) 

5. In the production and distribution of wealth, what is: a) the originating motive? b) the means employed? c) the end sought?   (Part I, Chapter 9) 

6. Do people add to or subtract from the sum of matter and energy in the universe? Why is this question relevant to the science of political economy?   (Part I, Chapter 9) 

7. How do we know that human desires are unlimited?   (Part I, Chapter 10) 

8. In George's view, the fundamental law of economic analysis is that people seek to satisfy their desires with the least exertion. How does this differ from the "assumption of universal selfishness" as a fundamental principle?   (Part I, Chapter 10) 

9. When is it appropriate to use a deductive method in political economy?   (Part I, Chapter 11) 

10. a) What is wrong with using an entirely inductive method in political economy?   (Part I, Chapter 11) 

    b) What is the "great working tool" of political economy?   (Part I, Chapter 11) 

11. Why does George believe there is no such thing as an "art of political economy"?   (Part I, Chapter 12)