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ECONOMIC THEORY AND REALITY

Economic Theory and Reality Economic science in its infancy, raised the national economic reality intertwined with social issues, in fact, to the classics of economics, economic activity is an instance that occurs through social relations, and establishing rules and conventions under which the institutions have to ensure its perpetuation. All this through a framework of law, of course. It is clear that, as conceived by the pioneers of this scientific discipline, economic transactions between individuals were colored by the interests that they sought to support and validate the viewpoint of private property and commerce between vendors and demanders (market). These interests identified with groups or social classes came as giving the economic division between the interactants, realized that the exchange or sharing of economic interaction between individuals (social relations). This is the normative criterion of economic science, which was identified as political economy, which was inevitably fraught with value judgments (humanism). Thus, born as a social science discipline, where Man is the subject of interest, and things (call money, savings, GDP, etc..), Only a simple predicate in the study.Science was one aspect of the life of man, of his activities for a living, perpetuate, establish your comfort, among other aspirations. The science was objective, yet human, and qualifying rules, had moral-though it sounds unscientific to speak. The economic ascent of Man, the most knowledge about the nature and development of techniques, of which it uses to gauge the resources that are the basis of their subsistence and the maturation of the capitalist economic system has meant that the original optical and reverse confusion. Economic science has turned its efforts to the study of economic transactions, leaving his original concern about the Man. Economic relations are no longer seen as social relations but as relations between things! No matter the qualitative aspect, but its quantification. Now to be confused with the media.This is born of economic theory (which has been called bourgeois economic theory), since then with a fund that is named “positive” and more evident that the study of economic reality “as is” and not “as it should being. Thus, when one reads a text of modern Western economy the first thing noticed is that the interest is focused on the study of things such as GDP, investment, money, goods or satisfactions, etc., but no longer in Men. Now the subject of study are the things and people appear as predicates of these vile. Economic theory is applied to political economy, and with it social problems are lost in a new economistic logic. “Commodity fetishism” (to quote Karl Marx), in its version of scientific meaning. Economic science is devoid of social content.Issues involving such social considerations such as income distribution, development, welfare, among others, become abstract categories or empty, which can only be understood through the interests of one social class: the bourgeoisie. It is during the postwar period that the fight between the two streams of social science (political economy and economic theory) will be held materialized in two economic systems that bifurcated the world into Western and Eastern world, or countries conformation predominantement and capitalist vs.