Of Economic Theories

Abstract

Prof. Dr. M. Azizur Rahman discusses the evolution and practical application of various economic theories, focusing on how they shape national policies and human behavior. The author examines the merits and limitations of systems such as Communism and Socialism, noting that while they aim for equitable distribution, they often lack the competitive environment necessary to maximize the production of goods and services. He highlights the shift in major economies like China and the former U.S.S.R., which were forced to adopt more pragmatic, market-oriented approaches due to the inefficiencies of rigid centralized planning. Rahman argues that for an economic theory to be successful, it must align with human nature's desire for utility and satisfaction, emphasizing that a healthy economic system requires a balance between individual initiative and social welfare.