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de Soto vs. Ferguson
Opposing Economic Theories
Compare and contrast the views of Hernando de Soto with those of Niall Ferguson on the importance of being able to mortgage your home in establishing wealth and prosperity.
Hernando de Soto and Niall Ferguson take very different approaches when explaining the current world economic systems. De Soto takes an approach that favors the advancement of markets and the infrastructure that makes these markets possible. He argues that much of the poverty in the world today is due to the lack of laws and regulations that allow for markets to happen. If poor people had access to the capitalism system then they could prosper from the system that they have formerly been alienated from. Value, de Soto claims, comes from the system of law that allows people to be able to trust each other and the system itself. Ferguson takes a more pessimistic view towards markets and the current system of capitalism. He makes many predictions in his works that all predict more economic issues that will plague modern economies. Ferguson takes a more historical approach to the view of money and how it is used and how it accumulates. He takes...
These two individuals have polar opposite views on money and capital.
De Soto
De Soto frames the world's economic problems into different "mysteries." The mystery surrounding missing information deals with the fact that in third world countries most of the actually business transactions occur do not get recorded, taxed, or even known to have exist. These transaction are considered to "extralegal" and do not contribute to the formal economy. The extralegal system isn't part of the mainstream system of trade yet most of it acts as if it was in the formal economic system. However, these extralegal transactions are actually larger than the official economies in many countries. The mystery involving capital deals with the notion that capital, in order to be properly accounted for, should be documented rigorously and thoroughly standardized.
In modern countries there are systems to verify ownership of capital. For example, if you own a house you will have a deed that is recorded in a government building somewhere to prove your ownership claim. If you own a car then you will…
Ponce De Leon Time Line Ponce de Leon is born in a rural village in Southern Spain to an aristocratic family. He was the great grandson of Vermudo Nunez. (Nobleman, 2004) Early to Late 1480s: At an early age, Ponce de Leon became a member of the royal court by serving as an aide to Pedro Nunez de Guzman. He was a Knight Commander in the Order of Calatrava. This was a papal-based
This reveals an important connection between capitalism and participatory governments, and a look at how De Soto views the relationship between democracy and capitalism further demonstrates how countries, and especially developing countries, can more effectively grow and protect capital. Naturally, De Soto views democracy and capitalism as two forces existing in a symbiotic relationship, but only when the political and economic systems are integrated at the same level. This means
nature of inequality between the north and south, he has to understand the role of technology in the international system. Someone who would say such a thing overlooks the fact that it's not the amount of technology that counts, but how you use it that matters. In the wealthiest western nations, the use of technology has been actively directed by well-regulated capital lending mechanisms. These financial instruments allow inventors,
Urbanization, Slum Formation and Land Reform: A Case Study of Papua New Guinea Urbanization, Slum Formation and Land Reform: Papua New Guinea Global Urbanization, Slum Formation, and the Persistence of Slums Urbanization is a phenomenon affecting each and every country of the world. In this text, I hypothesize that Papua New Guinea ought to fix its land policies so as to properly manage urbanization. One of the country's cities, Port Moresby, has been
Pizarro Francisco Pizarro: The Conqueror of the Inca Empire The Inca Empire was a vast tract of territories that stretched up and down the western seaboard of South America. It was connected by roads through the Andes Mountains to the capital of Cuzco in Peru. Pizarro and his men made friends with natives in these territories who were tired of the civil war between the ruling brothers of the Inca Empire. With
Then, in 1861, Mississippi became the second state to secede from the Union. With approximately 80,000 Mississippians serving in the Confederate Army, the Emancipation Proclamation in 1863 and Robert E. Lee's surrender on April 9th, 1865, ending the Civil War, were dramatic events for the state ("Chronological History"). These events changed the state politically and socially. In 1868, Mississippi's first bi-racial constitutional convention was formed. Deemed the 'Black and Tan'