There has been a , important
amount of difference, among scholars and philosophers as to the method of
approach that should be adopted for the study of the economic science, and its
scope. One group of economic thinkers emphasizes wealth-getting activities of
human beings, whereas the other laws emphasis on the effect of consumption on
the economic opportunity of national and door sill another thinkers, in the ability of collectivization and
capitalization. Thus there are several approaches to the study of the subject,
as detail below:-
1)Chronological approach,
2)Conceptual approach, 3)Motivational approach,
4)Philosophical approaches, 5)Classical deductive approach, 6)Historical
approach, 7)Neo-classical approach, 8)Welfare approach,9)Institutional
approaches, and 10)Keynesian approach.
According to the chronological
approach which follows the traditional historical method and does not admit of
any dominant principal, economic ideas can be presented in a chronological
sequence as there have been amplify by
different economists and school of thought. It enables the reader to study the
development of economic theories and institutions. The present economic ideas
are connected with the past ideas with the thread of continuity and on
examining their evolutionary process, he will find that they are part of a
continuous growth.
The conceptual approach traces the
evolution of economic concept or ideas without laying any special emphasis on
the dependence of thinking and
dominance. This may be called an ideological approach according to which the
development of concept is given more importance than a contributor or a school
of thought. But as is well-known, economic thinkers have not confined
themselves to the development of any one particular idea or theory. In fact ,
the majority of them have expressed their views on several issues.
The motivational approach aims at
rationalizing economic ideas and motives for the purpose of translating
“certain economic behavior”. It treats economic as a phase of socio economic
development and economic motives are given a materialistic interpretation. It
broadly explains that the three classes of society-landlord, laborers and capitalist-are always in struggle with one
another. While treating the problem of distribution Ricardo laid emphasis on
the same struggle which was later viewed by Karl Marx as part of economic development.
The philosophical approach is the
oldest in the history of economic thought which was first applied by the
world-renowned Greek philosopher –Plato. This theoretical approach was applied
by all thinkers and scholars up to Adam Smith, during a period of about 2,000
years in which moral and religious consideration reigned supreme, economic
ideas were based on ethical grounds.
The classical deductive approach
was adopted by classical economists from Ricardo to Chimes, who believed in
universally applicable laws moving from general to particular. But when their
generalizations did not fully conform to the realities of economic life,
variations were regarded as of temporary nature.
The historical approach was
against the abstract reasoning mentioned above. The universal character of
economic theories was challenged by the historical school which emphasized that
the formulation of economic laws should depend upon a comparative study of the
economic development of various countries. It stressed upon historical facts
and popularized induction.
Thus, the different approach
adopted by the economists of different countries provide to the students of the
subject, a diversified mental discipline, a comparative study of economic ideas
and solutions to embarrassing modern economic problems.
