KYAMBOGO UNIVERSITY

FACULTY OF SOCIAL SCIENCES

DEPARTMENT OF ECONOMICS AND STATISTICS

BACHELOR OF ARTS IN EDUCATION

COURSE UNIT : POLITICAL ECONOMICS

COURSE CODE : AEC 3207

LECTURE’S NAME : MR DAMASENTI IBIN IBRAHIM

NAMES REGISTRATION NUMBER

NAKAZIMBA GRACE 21/U/AED/10506/PD
NSABAGWA SHARON 21/U/AED/15828/PD
MUWANGUZI JONATHAN 21/U/AED/10379/PD
OJANGOLE THOMAS 21/U/AED/1830/PD
NAKALYANGO MOUREEN 21/U/AED/13814/GV
SEKITTO IVAN 21/U/AED/10961/PD
ISABIRYE CHRISTOPHER 21/U/AED/10000/PD
TURINAWE ERIAB 21/U/AED/13859/GV
NAMUSUUBO IRENE 21/U/AEE/16189/PE
NANSIKOMBI MARTHA 21/U/AED/10663/PD

TASK

1) In political economy ,several procedures arises due to the complex interaction between and
economic forces .Discuss
2) Clearly explain the meaning of the following as applied in political economy.
a) The end justifies the means.
b) The means justifies end.
c) Effective but poor.
d) The poor are not poor.
In political economy ,numerous paradoxes emerge from the intricate interplay between political and
economic forces ,challenging tradition assumptions and highlighting the complexity of socio economic
systems .these paradoxes often reveal unexpected outcomes and dilemmas that policymakers and
societies must navigate .let’s explore some examples to illustrate this concept;

 Paradox of thrift
 This paradox suggests that individual attempts to save more during an economic downturn can
lead to a decrease in overall spending ,further reducing economic growth .In political
economy ,policy makers face the dilemma of promoting both saving for the future security and
consumer spending to stimulate the economy for example during a recession encouraging
saving to build personal financial resilience may inadvertently worsen the economic situation if
widespread thriftiness dampens aggregate demand
 Phillips curve
 The curve depicts an inverse relationship between inflation and unemployment ,indicating that
policy makers face a tradeoff between controlling inflation and reducing unemployment .In
political economy ,government often grapple with the challenge of maintaining price stability
while ensuring full employment .for example implementing expansionary monetary policies to
lower unemployment may lead to increased inflation ,requiring a delicate balance between
these competing objectives
 Tragedy of the commons
 The tragedy of the commons refers to the depletion of shared resources due to individual self
interest , highlighting the conflict between private benefit and the common good . In political
economy ,issues such as environmental degradation and over exploitation of natural resources
exemplify this paradox for stance unregulated fishing practice by individuals actors can lead to
the collapse of the fish stock in shared water s ,necessitating collective actions and policy
intervention to prevent the depletion of vital resources
 Regulatory capture
 Regulatory capture occurs when regulatory agencies ,tasked with overseeing industries or
sectors, become influenced or the controlled by the entities they are supposed to regulate .In
political economy ,this paradox highlights the challenge of maintaining effective oversight and
preventing undue influence on policy making .for example ,industries lobbying regulators to
shape policies in their favor can undermine the intended objectives of regulations aimed at
protecting consumers or promoting fair competition.

These examples demonstrate how the interactions between political and economic forces can give rise
to paradoxical situations that demand nuanced solutions and careful considerations of competing
interests and acknowledging and navigating these paradoxes ,policy makers can strive to create more
robust and sustainable economic systems that benefit society as a whole.
2 (a)“The end justifies the means “

In political economics, the concept of’’ the end justifies the means’’ refers to the idea that achieving a
desirable outcome or goal justifies the methods used to attain it, even if those methods are morally
questionable or controversial. This principle is often associated with consequentiality ethical theories,
which focus on the consequences of actions rather than the actions themselves.

Application in political economics

In the realm of political economics, this principle can be interpreted in various ways .

 Policy implementation. Governments may justify certain economic policies or measures

based on their potential to achieve positive outcomes such as economic growth, job
creation, or poverty reduction. Even if these policies involve short term sacrifices or
negative consequences for certain groups, proponents argue that the long term benefits
justify the means.
 Regular decisions: regulatory bodies and policymakers may make decisions that
prioritize economic efficiency or market stability over other consideration such as social
equity or environmental protection. The rationale behind such decisions is often that
the overall economic welfare of society will be enhanced, justifying any negative
impacts on specific stakeholders.
 Negotiations and Diplomacy: in international relations and trade negotiations, countries
may adopt aggressive tactics or make concessions that perceived as ethically
questionable in order to secure favorable trade deals or strategic advantages.
Proponents of this approach argue that the ultimate goal of enhancing national
economic interests justifies the means employed in negotiations

ETHICAL CONSIDERATIONS

On the other hand, critics argue that prioritizing the end over the means can lead to unethical
behavior and undermine democratic principles. Utilitarianism, a moral theory that focuses on
maximizing overall happiness or utility, also touches upon this debate. Proponents of
utilitarianism might argue that if the end result benefits the majority, then the means used to
achieve it are justified.

POLITICAL REALITIES

In practice, political leaders often face dilemmas where they weigh the consequences of their
actions against their desired out comes. Example, in times of war or crisis, governments may
resort to extreme measures such as censorship or surveillance in the name of national security.
The Justifications for these actions often hinges on whether they are deemed necessary for
achieving a greater good.

b) The means justifies the end in political economics.

In political economics, “the concept of the means justifies the end” is a contentious and
complex issue that has been debated by scholars ,policy makers and individuals alike .this phase
suggests that the methods or actions taken to achieve a particular goal are justified if the
outcome is deemed favorable or beneficial .However ,this notion raises ethical ,moral and
practical questions about the tradeoff between achieving desired outcomes and the means
used to attain them.

This phrase of the” means justifies the end” emphasizes that the methods or actions taken to
achieve a goal are more important than the outcome itself. In political economics this could
manifest in situations where the process of decision making ,transparency ,accountability in
economic policies are more valued over the ultimate economic results for
instance ,government might prioritize democratic decision making processes and stakeholders
engagement in economics policy formulation even if it leads to slower economic growth .

In conclusion, the idea that “the means justifies the end” in political economics is complex and
multifaceted issue that requires careful considerations of ethical ,and practical
implications .while there may be situations where extreme measures are deemed necessary for
achieving certain goals, it is essential to balance these actions with ethical principles and
democratic values to ensure a just and sustainable society.

C) Effective but poor in political economics

In the realm of political economics “,the term effective but poor” can be interpreted in various
ways .one common interpretation is related to policies or strategies that are successful in
achieving certain goals or outcomes but may not necessarily lead to overall economic
prosperity or well being for all members of the society.

When discussing” effectiveness” in political economics ,it often refers to the ability of
policies ,regulations ,interventions to achieve their intended objectives .for stance ,a
government may implement apolicy to reduce unemployment rates ,and if this policy
successfully leads to a decrease in unemployment figures ,it can be considered effective in that
specific goal

In other hand being “poor” in political economics could imply shortcomings or limitations in
terms of broader economic development ,distribution of wealth ,social welfare ,or sustainable
growth .A policy that focuses solely on short term gains without considering long term
consequences or that benefits a specific group while neglecting others could be deemed as
poor in political economics

Political economists have identified several factors contributing to poverty ,to mention but a
few;

 Structural barriers : these refer to institutional and societal structures that perpetuate
poverty such as limited access to education ,healthcare ,and employment opportunities
 Economic policies such as deregulation and privatization have been criticized for
exacerbated income inequality and contributing to poverty
 Conflict and instability: political instability and armed conflict can lead to
displacement ,loss of livelihoods ,and increased poverty.
 Globalization: the process of globalization has led to increased competition among
countries, which can result in job losses and reduced wages in developing nations .

Addressing poverty, several approaches have been proposed to address it ,including:

 Redistributing policies: governments may implement policies aimed at redistributing

wealth, such as progressive taxation and social safety nets.
 Investment in human capital : investing in education ,healthcare ,and infrastructure can
help reduce poverty by increasing productivity and economic growth .
 Structural reforms : Addressing structural barriers to opportunity ,such as corruption
and lack access to financial services ,can contribute to reducing poverty .

In conclusion ,being effective but poor in political economics highlights the complexity of
balancing short term successes with long term sustainability and equitable outcomes .it
underscores the importance of designing policies that not only achieve their objectives but also
contribute to the overall well being and prosperity of society

d) “The poor are not poor “

This statement challenges conventional definition of poverty by suggesting that being
economically poor does not necessarily equate to being deprived in other aspects of life
such as social connections, cultural richness or personal fulfillment .In political
economy ,this perspective highlights the multidimensional nature of poverty and the
limitations of purely economic measures in capturing the well being of individuals or
communities .for example ,a community may have limited financial resources but
posses strong social bonds ,and a sense of community that enriches their lives despite
economic challenges In other words this notion challenges the conventional definition
of poverty by emphasing non monetary factors that contribute to well being .In political
economy ,its highlighting the limitation of solely measuring poverty based on income
levels .