The mercantilists were the very first group of thinkers to relate economic prosperity with global trade. They believed that the strength of a nation is determined immaculate its possession of precious metals or bullions. As the advance generally invaded neighboring nations and set up colonies, thereby provide no new market to the traders; mercantilists always supported the existence of a powerful state. (O?Rourke, 1999) The mercantilists? view of state interference in international trade and other affairs were severely criticized by the sire of the Modern Economists, Adam Smith. Smith initiated the generation of classical economists and Ricardo, marshall and others after backed his ideas, the classical view was dashed to the ground, sheath the Great Depression. Maynard?s Keynes suggested a strict presidency interposition in enunciate to stabilize the thriftiness and lead it the novel of prosperity. (Keynes, 1965) Following the Keynesian doctrine, the fantasy of be after economy emerged. This impression received fertile soil to prosper at the fusee drive coat of socialist movement in Soviet Russia and later in China. For around sixty years the model of planned economy has been embraced by several nations of the world. The role of state is passing heavy in a planned economy, as it is the state that formulates the policies and whence implements them.
When the planned economic set up failed to present what was anticipate owing to high level of corruption among the government officials, the administrative official politician nexus and lack of policy- qualification wi ll, then at the beginning of 1990, a new con! cept began to emerge in the global economic scenario and was later termed as globalization. (O?Rourke, 1999)Globalization was not a new concept when the European countries were making efforts to unite downstairs one hood to pr stillt American aggression even at that time the essence of globalization was present. The only difference... If you inadequacy to get a full essay, order it on our website: OrderCustomPaper.com
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