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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- As a political subfield-- how the state and the economy interact
- economic developments and the development of the state
- methods of economics and political science questions (assumption of rationality)
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| | | II. Economic Policy I: Economic growth- rents and rent seeking
- import substitution industrialization
- the South Korean experience
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| | | III. Economic Policy II: Controlling inflation and unemployment- inflation
- unemployment
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| | | IV. Economic Policy III: Managing distribution to address inequality |
| | | V. Independent central banks |
| | | VII. Conclusion- Example: German political economy
- Example: Indonesian political economy
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