Price Mechanism
Exclusive
Hyun Kim
Jung Hoon Hong
Daiki Kim
Meejoo Song
Wooseung Sohn
1
I. INTRODUCTION
In our presentation, there are four main subjects that we will be explaining today. Those subjects are:
1. Private goods and the Free Market System.
2.The Price Mechanism and the Invisible Hand
3. Public goods and the market failure
4. Public hand and the government failure.
Before we go into the details, let me briefly give you the overview. First we have to approach these questions by asking ourselves… What do we mean by Exclusive?
Of course, the word exclusive can be heard on a regular basis. For example, an exclusive interview with Professor Kim.
Then what does the word exclusive mean? According to the dictionary, the word
“exclusive” is defined as “not divided or shared with others”
So how is this relevant to what we are studying? How is it connected to the rights? You might ask…
There were discussions as to what “exclusiveness” meant. In my perspective, there are spiritual and material interests that are protected by the laws. Since, these interests are protected, as the characteristic of the rights, the interest become exclusive when it becomes a right.
In having an exclusive right would mean that a person could enjoy the right at his or her wish. Therefore, we felt that there was a close link to the free market system and the right. Well, let’s go back to the last week’s lecture. If you can remember, Sun-young gave us a splendid presentation on the bourgeoisie last week. Then the professor explained to us that the reason that we did not have a revolution of the middle class in Korea was because there was not a combined force of wealth and integrity. And if you could remember, he also told us that in a situation where a relationship of wealth and integrity is cordial, it meant a formation of a democratic society. Whereas a situation where the relationship of wealth and integrity is dominated by the integrity, it meant a communistic society.
Now as Hyun will explain in
Hyun Kim
Jung Hoon Hong
Daiki Kim
Meejoo Song
Wooseung Sohn
1
I. INTRODUCTION
In our presentation, there are four main subjects that we will be explaining today. Those subjects are:
1. Private goods and the Free Market System.
2.The Price Mechanism and the Invisible Hand
3. Public goods and the market failure
4. Public hand and the government failure.
Before we go into the details, let me briefly give you the overview. First we have to approach these questions by asking ourselves… What do we mean by Exclusive?
Of course, the word exclusive can be heard on a regular basis. For example, an exclusive interview with Professor Kim.
Then what does the word exclusive mean? According to the dictionary, the word
“exclusive” is defined as “not divided or shared with others”
So how is this relevant to what we are studying? How is it connected to the rights? You might ask…
There were discussions as to what “exclusiveness” meant. In my perspective, there are spiritual and material interests that are protected by the laws. Since, these interests are protected, as the characteristic of the rights, the interest become exclusive when it becomes a right.
In having an exclusive right would mean that a person could enjoy the right at his or her wish. Therefore, we felt that there was a close link to the free market system and the right. Well, let’s go back to the last week’s lecture. If you can remember, Sun-young gave us a splendid presentation on the bourgeoisie last week. Then the professor explained to us that the reason that we did not have a revolution of the middle class in Korea was because there was not a combined force of wealth and integrity. And if you could remember, he also told us that in a situation where a relationship of wealth and integrity is cordial, it meant a formation of a democratic society. Whereas a situation where the relationship of wealth and integrity is dominated by the integrity, it meant a communistic society.
Now as Hyun will explain in