Political economy is the relationship between political and economic interests. This is a two-way relationship. Political power facilitates influence in the sharing of public resources and in public policies that have a bearing on private wealth. The economic status of individuals determines their specific positions in politics. Political economy influences development in different ways, creating an environment for economic activities to take place.
For example, does the government provide enough schools and healthcare centres? Is there adequate social security for people who cannot make an income from the labour market? Political economy plays an important role in such matters and it is important that we think of these questions in our consideration of human and social development in a society.
We study different traditions of political economy, development outcomes as related to political economy (inequality and economic growth) and governance. We hope this course will help you intervene or contribute to political practice in an informed manner.