Interesting Facts about Economics

Economics’ Political Origins: Economics was originally called ‘political economy,’ highlighting its inherent connection to politics and ethical dimensions.

Nobel Prize in Economics: Contrary to other Nobel Prizes, the Nobel Prize in Economics is not a true Nobel Prize; it was established by the Swedish central bank.

The Complexity of Economic Models: Singapore’s economic success cannot be attributed to a single economic theory; it combines aspects of capitalism and socialism.

History of Protectionism: Britain and the US, often associated with free trade, historically practiced protectionism to promote domestic industries.

Spread of Free Trade: Free trade often spread through coercive means like colonization and unequal treaties.

Origin of Welfare States: Otto von Bismarck, an arch-conservative, introduced the first welfare state to prevent the rise of socialism.

Golden Era of Capitalism: The period between the 1950s and 1970s, characterized by high taxes and strong regulations, saw rapid economic growth in advanced capitalist economies.

Government Role in Technological Advancement: The US government played a significant role in developing frontier technology sectors like the internet and semiconductors.

Pre-Tax Inequality: Countries like Germany and Belgium are more unequal than the US before tax and welfare spending.

Economic Growth in Egalitarian Societies: Finland, known for its equality, experienced faster economic growth than the US.

Manufacturing Powerhouses: Switzerland and Singapore, often seen as service-based economies, excel in manufacturing industries.

Global Poverty Distribution: Most poor people reside in middle-income countries like China and India, challenging perceptions of poverty solely in poor countries.

Which fact did you find the most intriguing? Was there any fact you already knew/ want to add?

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I think many people forget how developed Finland is and, apart from their top economic shape, they have the best educational system in the world!

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So intrigued by the fact that Otto von Bismarck introduced the first welfare state to prevent the rise of socialism. It’s fascinating how political ideologies can sometimes lead to unexpected policy decisions.

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Have definitely heard about Golden Era of Capitalism. No wonder countries like US where thriving during that time