Political Economy View on the Model of Economic Growth

Abstract

The observable negative processes in the market economy, that are connected with the increasing social tension and the occasionally degrading  standards of living, demand a new outlook on the aims of economic policy as an alternative to neoliberal ideology. It is necessary to create new values to measure the social economic progress as opposed to quantitative indices of economic growth. It is especially essential with developing countries that can create a more effective economy relying on new values in their economic policy, while not undermining the fundamental principles of the market. Such policy should use another indicator as its aim and measure of the progress of economic development, and that is the wellbeing in its many forms. The article gives a brief summary political economy view on the issue.