For many students, it is much easier to understand how to write an essay in economics not by reading the endless rules, but to once see a good example. For these students, we present the example of economics essay on the topic “Modern trends in economic science: neoclassical synthesis”.
First in the economics essay, define the concepts under consideration
Neoclassical synthesis is a further development and at the same time in some way a “reconciliation” of approaches to the analysis of economic processes. If, for example, Keynes critically assessed the ability of prices to respond flexibly to changes in market conditions, then neoclassical synthesis representatives sought to “rehabilitate” prices, proving that they contribute to optimal distribution and the most complete use of resources. Considering the problem of employment, supporters of the “mixed” system express disagreement with the “underemployment” put forward by Keynes. At the same time, the views of the opponents of Keynes are being adjusted.
The basic idea of ”synthesis” is to develop a more general economic theory, reflecting changes in the economic mechanism, the results of later research and all the positive that is contained in the works of the predecessors.
The most famous representatives of neoclassical synthesis are American economist Paul Samuelson (born 1915), American economist of Russian descent Vasily Leontiev (born 1906), English scientist John Hicks (1904-1989).
After that describe the features of the concept
Features of neoclassical synthesis:
- Neoclassical synthesis is characterized by the expansion and deepening of the subject of research. This is not a radical revision, but the development of a generally accepted theory, the creation of systems that unite and coordinate different points of view;
- Wide use of mathematics as a tool for economic analysis;
- The supporters of the neoclassical synthesis refined the old ones and developed new problems in accordance with the changes occurring in the industrial basis and the mechanism of the market economy. Debating with opponents, they sought to synthesize traditional views with new ideas and approaches.
Then, characterize different approaches to the concept
Some authors consider the term “neoclassical synthesis” to be somewhat arbitrary. There is disagreement with the positions and interpretation of leading theorists. Basically, criticism boils down to two points.
First, theorists of the neoclassical synthesis are blamed for an unjustified narrowing of the range of problems under consideration. Being active supporters of the mathematization of economic science, they are interested primarily and mainly in those issues that are amenable to formatting, can be expressed with the help of formulas and equations. And what goes beyond the bounds of rigorous quantitative assessments, for example, clarifying the goals of social development, the ways of achieving national harmony, is beyond the net theory.
Secondly, attention is often concentrated on secondary issues, on the consideration of particular changes and side processes. The fundamental, structural changes turn out to be forgotten by economists of the neoclassical school. Quite often, very important processes, deep relationships, long-term trends remain the lot of representatives of the unorthodox economy.