unit-2-thoughts-on-development-of-select-vintage-thinkers

Unit-2 Thoughts on Development of Select Vintage Thinkers

The unit thus essentially presents a glimpse of some important economists classified roughly under four broad groups viz.early nationalists, later nationalists, socialist thinkers and the more recent development economists.

Write briefly contrasting the idea of economic activity of Alfred Marshall with that of J. K. Mehta?




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Learning Pundits Content Team

Written on Jun 26, 2019 1:12:37 PM

Alfred Marshall had referred to economic activity as flowing from the urge to satisfy given wants. As societies develop in material endowment, new activities would create new wants. Thus, according to Marshall, in the early stages wants create activities and at later stages activities create wants. But Mehta’s approach is different. Assume a wantless society initially. It will be in a state of equilibrium. Now introduce a want. And this creates disequilibrium because there emerges a pain because the want is there but can not be satisfied. As soon as it is satisfied, it enters into his world permanently. A further want then emerges creating additional pain and puts the individual into a state of disequilibrium. When that is satisfied, there is temporary satisfaction. But for the latter to be permanent, the ever-emerging new wants have to be continuously satisfied.