History of Economic Theory is an idea in advance of capitalism that must be tracked through the history of economic thought from the ancient Greek era until the present era. Aristotle was the first time I think about economic transactions and distinguish between them which is “natural” or “unnatural”. Transactions related to the satisfaction of natural needs and the accumulation of wealth are limited in number by the desired destination. Un-natural transactions aimed at gathering the wealth that is potentially unlimited. He explained that the boundless wealth unnatural because it becomes the end in itself rather than as a means toward the other end of the fulfillment of needs. Examples of this transaction dati mentioned are monetary and retail trade which he mocked as “unnatural” and even immoral. This view would later be praised by many Christian writers in the Middle Ages.

Aristotle also defended private property which he will be able to give someone the opportunity to do good deeds and give charity and altruism that are part of the “golden road” and “good life a la Aristotle.

Chanakya (c. 350-275 BC) is the next figure. He is often dubbed as the Indian Machiavelli. He is professor of political science at the University of Takshashila ancient India and later became Prime Minister of the Mauryan empire, led by Chandragupta Maurya. He wrote a work entitled Arthashastra (Science get the material) which can be regarded as a precursor of Machiavelli’s The Prince. Many of the problems discussed in the works that are still relevant today, including a discussion of how your concept of efficient management and solid, as well as ethical issues in economics. Chanakya also focuses on welfare issues such as redistribution of wealth to the poor and the collective ethics that can bind the community together. » Read more: History of Economic Theory