Culturist Case
Essay by culturist • November 1, 2012 • Essay • 239 Words (1 Pages) • 1,048 Views
As John Kenneth Galbraith mentioned "Under capitalism, man exploits man". The above mentioned quote is the exact representation of the capitalistic economy in the modern world system . The efficiency of the labor division brings to the efficiency of the state economy. The latter is the smallest and core unit of the world economy as such. So, world economy consists of "different state's economies" and various institutions like market, firms, households, classes, status groups, labor market. To my mind the most important of them is market because capitalism's efficiency is based on the competition inside the market. Market is a very complicated phenomenon because of the heroes that take part in its functioning and the interrelation between them. I mean sellers, customers, producers, tax service, etc. One seller's loss doesn't actually mean the other's success. This other should offer alternative, work out something new, learn on the loser's mistakes. The article argues the problem of monopolization as well, which is the result of the seller's aspiration of leading the market. Customer, for the seek of that aim, becomes a victim of manipulations. So it can happen so that a state's economy turns into limited competition one in which market is shared by limited number of sellers and producers- that is the oligopoly or quasi-monopoly. I think that it is natural that the profit -achieving principle brings to quasi-monopoly. But customer's demand can change the situation.
...
...