Key Concepts

Overview

This book provides a basic introduction to the 'nuts and bolts' of capitalism for the beginner. It starts by examining the classic accounts of capitalism found in the works of Adam Smith, Karl Marx, Max Weber, Joseph Schumpeter and John Maynard Keynes. Each placed emphasis on different institutional elements of capitalism - Smith on the market's 'invisible hand'; Marx on capital's exploitation of labour; Weber on the foundations of economic rationality; and Schumpeter and Keynes on the instability that results from capitalism's essentially monetary and financial character.

Drawing on these classic accounts, Ingham then offers a succinct analysis of capitalism's basic institutions and their interconnections. Market exchange, the monetary system, the enterprise, capital and financial markets, and the role of the state are dealt with in separate chapters which make use of contemporary material on the recent history of the capitalist system - including the great inflation of the 1970s and the neo-liberal backlash; the 'dot.com' bubble of the late 1990s; the collapse of Enron and other US corporations; and the rise of 'private equity' finance. Attention is given to the connection between the current key issues of economic globalization, inequality, and monetary and financial fragility. The result is a concise, masterly and up-to-date account of the world's most powerful economic system, which is accessible to students and general readers.

About the Author

Geoffrey Ingham is Reader in Political Economy and Sociology at the University of Cambridge.

Table of Contents

• Preface
• PART I CLASSICAL THEORIES OF CAPITALISM
• 1. Smith, Marx, and Weber
• 2. Schumpeter and Keynes
• 3. The elemental structure of capitalism
• PART II THE INSTITUTIONS
• 4. Money
• 5. Market exchange
• 6. The enterprise
• 7. Capital and financial markets
• 8. The state
• 9. Conclusions