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&hofNations:TheAdamSmith’streatiseublishediheoldmertilistsystemwasfastbreakingdown.Smitharguedthecaseforlaissezfairewithaminimumofgoverion，thoughhecededtheneedfulatioioy，suchasfshippibelievethatpolitishadaendireicaordidheliketheirmotives.
2.AdamSmith:（1723-1790）theScottishpolitiistandmoralphilosopher.SmithfebetweeishandFrees.From1752to1764herofessorofMoralPhilosophyattheUyofGlasgwhichTheTheoryofMoralSes（1759）ublished.Inthisbook，Smithplacedmosttrustonsympathyasthebasisforcooperation，andiheideaoftheinvisiblehandinapassagedesghowtheihesurplusoftheritiohepoor.In1764theofferofapostastutortoayoungaristoabledSmithtnhisGlasgowandtravelinFrahephysiocrats，beftoSdtoworkforteheWealthofNations（1776）.Inthisbook，therepeatofinvisiblehaheceptofselfi，athya>
3.HaroldDemsetz:bornin1930，ohepioheutionalism，afouhemanagerialeidamajureinindustrialanization.Hehasexpaheoryhtsinlawandeics.Hewasthefirsttoproposeemissiasawayofgivingpollutersaneitivetoreducetheiremissionsofpollutants.The1972DemsetzandArmenAlarticleProduationdEiizatioedasoymostimportantarticlespublishedieriicReview.
4.LionelRobbins:（1898-1984）aBritisheistaheeicsdepartmentattheLondonSithe1920sheattackedAlfredMarshall’sceptofthe“representativefirm”
，arguingthattheohelpiandingtheequilibriumofthefirmorofanindustry.HemaoshiftAnglo-SaxoneitsMarshalliaion.
5.AheNatureandSignifiice（1932）:Robbins’smostfamousbookahebest-writtenprosepieics.ThisbooksRobbins’sfamousall-enpassiionofeiicsisthescewhichstudieshumanbehaviorasarelatioweengivenendsandsswhichhavealternativeuses.”
Rhtliiveandnormativeissues，aheeistquaeistshouldbestudyingwhatisratherthanwhatoughttobe.Hebelievedthateicsisasystemoflogicaldedufirstprindticalaboutthefeasibilityandusefulnessofempiricalverifi.
6.miics:Thebranicswhichdealswiththeeicbehaviorofindividualers，firms，andihedistributionoftotalprodudiheItsidersindividualsbothassuppliersofland，labor，anddastheultimateersofthefinalproduditexaminesfirmsbothassuppliersofprodudasersoflaborandcapital.Miicsseekstoaorothermeismsthatestablishrelativepriggoodsandservidallocatesociety’srestheirmanypossibleuses.Themodelshavebeeopoliticsbywritersiioion.
&R.Holmstr?m:bornin1949，thePaulA.SamuelsonProfessorofE.I.T.HegothisPh.D.fromtheGraduateSchoolofBusianfordUy.Holmstr?misparticularlyfamousforhisworkoivesuriation.
&irole:bornin1953，aFrenchprofessorofei2014hewasawardedtheNobelMemorialPrizeinEicesforhisanalysisofmarketpoweraionofnaturalmonopolies.Hefoindustrialanizatioheory，bankingandfinandeidpsychology.
9.Handbookanization:anacademidbookpublishedbyNorthHollandinlate199asasource，refereeagsupplementfanization，thebroadfieldwithinmiicsthatfobusinessbehavioranditsimpliarketstrudprodforpublicpoliciestowardsthe
&heRalphandDorothyKellerDistinguishedServieritusofEicsattheBoothSchoolofBusiness，UyofChicago.HeservesoorialboardsofseveralacademialsandontheicAdvisersoftheAmeriterpriseInstitute.Hisresearchhasfoissuesrelatedtotheiweenthepublicsedtheprivateey，ingtheregulationofbanking，automobilesafety，pharmaceutiovatioveriyofpublicedudtheeialysisislators.
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1.Inwhatwaysdoesthispassageimproveyofthemoderneicsystem?
2.Ioryofeics，therearemanyschoolsofthoughts，aswellasseveralrevolutionsofeicparadigHowmanyhaveyouheardof?
3.Likeastist，astudieshumahroughstifiascesaid，“teachaparrottheterms‘supplyanddemand’aa.”
Whatdoyouthinkabouteicsassoce?
4.Howimportantdoyouthinkrationalityistoourdailybehaviors?Whatdoesthehypothesisofratioheeicstudy?
5.Inrealey，whatrolesdovers，householdsandfirmsplayrespectively?
6.Whatarethesimilaritiesanddifferenart，IKEA，FordMotorandAmazonallfirms?
7.Thephilosophyofempiricismhaslongbeeninfluenicsgreatly，whiclassifiedintopositiveandements.Whatdoyouthihodologies?Andhowdoyouhahem?
8.Inwhatwaysdanizatioheeyintermsofefficy?Doyouthinkahierarchicalstructurehelpstocopewiththeinefficycausedbyindividualrationality?
9.Coolidgesays，thebusinessofAmericaisbusidoyouthinkofit?
After-readingAssig
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&hedifferentresearaidmiidthinkhowtheseareasaredifferentbutected.Presentyourideastoyourclass.
2.Inaneillionsofbusinessesandersengageinvoluntarytrade，ioimprovetheirowneicsituations，aionsareinvisiblyatedbyasystemofpridmarkets.Pleasefioillustratewhoareisresponsiblefthedearketey?Shareyswithyroupmembers.
&susuallyfindthatmanyeicpolidrelatedprocessaredifferentfromwhattheysuggestandassumeineicstheories.Exploretheeyinretyearsandfioshohytheoryandpolicyarediffereheresultstoyourclass.
&sliketuewitheachother.Therearemanymarvelousclashesofideasioryofeics.GeeBernardShawsays，“Ifalleistswerelaideheywouldnotrea.”
Findouthoweistsdifferierpretatioerplus”
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1.Usually，eiststrytolearnaboutthecharacteristics，deffectsofobservedphehroughfivesteps，whichare1）initialobservation，2）the，3）identifiofadditionalimplis，4）furtherobservatioiofthetheory.Wouldyoufollowtheabovemethodaosomebusinessaffairsoncampus?Writeabusinessresearchreporttorecordtheprodresultsofyourresearch.
2.Gotoamarketandinterviewsomebuyersandsellers，orvisitsettoknowabouttheirproducts，sales，andprofitability.ortonthisfieldresearyourreport，stateclearlyhowyourresearchhelpsyouuaaineiciples，suization，izationandutilitymaximization.
3.Hownecessarydoyouthinkitisforapersontohavesomeknowledgeofeitoday’ssociety?Writeaiveessayinsupportoftheyofbasiceduicsforall.
&turymodelofshareeybringsbothgesandopportuhemarketaswellastofirms.Writeahesharingey.Youusebooksinyourlibraryforyourreferendyouuseyourownexperieoillustratethisnewmodelofey.
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