Political economy

A concise elementary introduction to political economy explains the nature of economic value and utility, the processes of production and the roles of land, labour, and capital, and how division of labour and various forms of cooperation increase output while creating social and occupational constraints. It surveys how wealth is distributed through wages, profits, and rents, examines trades-unions and collective action, and outlines mechanisms of exchange, money, credit, and banking including cycles of credit. The exposition concludes by considering government functions and taxation as instruments for managing public finances and social consequences.