Waiting for Cincinnatus.com

 HISTORY :ECONOMICS.        PART 4              THE POST INDUSTRIAL ECONOMY     The technology office Rich countries have kicked away the ladder by forcing free market,free trade policies on poor countries-Ha joon chang One of the puzzles of urbanisation is the willingness of people to pay very high rents to stay next door to people already paying very high rents- Jonathan haskel The role of government in Infant industry support  The role of externalities in industrialization and economic development is undisputed. But this is not the whole story ,especially in early stages of industrialization. In a developing country there is lack of physical  infrastructure and industrial ecosystem of complementary industries. There is lack of capital to build massive factories as well as lack of trained manpower and markets. All these make them extremely vulnerable to foreign competion and they are liable to be wiped out...

HISTORY: ECONOMICS:PART 3 If you are in a system in which you have to make profits in order to survive,you are compelled to ignore negative externalities,effects on others- Noam chomsky                     THE INDUSTRIAL REVOLUTION-PART 3   The unemployment benefit disbursal The role of government The government plays two different roles in the industrial development of a nation. The first concerns Externalities.Externalities are  provision of macroeconomic stability,removal of inequality,efficient justice system to enforce contracts,health and education infrastructure,control of pollution,.These cannot be provided by private enterprises as they have external benefits to the entire public.   The other role played by government is in infant industry protection by providing tariff barriers,production subsidies,conducting research ,. There is considerable debate regarding the importance of both the factors .Most western ...

HISTORY :ECONOMICS                    THE INDUSTRIAL REVOLUTION :PART 1 The cotton textile factory  -Every science has some instrument of precision, in chemistry the balance,in heat the thermometer,while the whole system of civilised life may be symbolised by a foot rule,aset of weights and a clock- James clerk maxwell The first Industrial Revolution took place in Britain and is of interest in that it took place spontaneously without the assistance of government which has been characteristic of all succeeding industrial revolutions The preindustrial world Till 1000AD, the centre of economic power resided in India and China .With a GDP of nearly sixty percent combined ,they dominated both crafts,agricultural output and trade. The GDP however was dependent on agricultural production  and population of these nations and not on manufacturing. There was very little increase in productivity over centuries and therefore per capita inc...

HISTORY : ECONOMICS.                                 THE INDUSTRIAL REVOLUTION : PART 2   The Ford car factory Mere money getting has never been my goal,I had an ambition to build-John D rockefeller The revolution in transportation and infrastructure As manufacturing capacity increases there is a need for new markets. An efficient transport infrastructure allows transport of raw marerials for production as well as opening of new markets for the industrial core areas. In Britain the development of roads and waterways for shipping occured initially and these were expanded by digging canals and constructing roads. The investment was done initially by pooling of resources by local traders and later by joint stock companies.In 1807 Robert Fulton operated a steamboat on Hudson River from Newyork city to Albany. This was followed by extensive transportation of both goods and people along rivers and canals,and ...