Franco’s Spain: Autarky and the 1959 Stabilization Plan
Franco’s Dictatorship and Autarky in Spain
Between 1939 and 1975, following the conclusion of the Civil War, Spain experienced one of the longest dictatorships in Europe, ending only with the natural death of the dictator, Francisco Franco. Autarky was the economic system of post-Spanish Civil War Spain, which took place between 1939 and 1959. Ideologically, it was a mixture of totalitarian nationalism and a totalitarian vision of Catholicism, known as National-Catholicism.
Economic Stages of Autarky
Regarding
Read MoreMicroeconomics and Macroeconomics: Key Concepts and Variables
Microeconomics and Macroeconomics
Microeconomics studies decision-making by economic agents and the relationships between offerors and applicants in its context (the market). Macroeconomics is the part of economics that studies the functioning of a country in its economic sense and analyzes the economic problems from a global perspective.
Economic Variables
The overall result of the economic actors is reflected in large houses named macroeconomic variables. The set of economic variables are collected
Read MoreUnderstanding Economics: Principles, Production, and Business
Economy: Understanding Scarcity and Resource Allocation
Economics is the science that studies the allocation of scarce resources to multiple needs. The economy seeks to find the best allocation of resources (which are limited) to needs (which are infinite), given that the election process involves postponing the satisfaction of certain needs.
Economic Rationality
Economic rationality refers to the behavioral assumptions under which decisions are made in the economy. It assumes that individuals pursue
Read MoreFiscal and Monetary Policies: Key Concepts and Definitions
Keynesian vs. Classical Economics
Keynesians reject the assumption that the economy is free to reach full employment of productive resources. They recommend state intervention through monetary and fiscal policies.
Classical economists rely on the free play of market forces and believe that government intervention should be reduced to a minimum.
Fiscal Policy
Fiscal policy refers to government decisions on the level of public spending and taxes.
Transfers are payments for which those who receive them
Read MoreUnderstanding Economic Activity and Macroeconomics
Introduction
In one area, there are the following facts:
- It generated large quantities of goods and services.
- The company has cash resources to spend.
- We need to know these resources are spent on.
Applied Economics – Measuring Economic Activity: It is all those operations to produce goods and services using labor and capital to do some intermediate inputs into a production process in order to obtain outputs.
Measuring Economic Activity
To measure economic activity, we need to define, for an understanding
Read MoreBusiness Finance and Operations: A Comprehensive Analysis
Working Capital and Financial Analysis
Working capital is a key aspect of a company’s economic structure. It forces us to consider whether the company has a safety fund to enable us to meet short-term obligations. It’s calculated as:
Current Assets – Current Liabilities = Working Capital
Financial analysis reflects the balance held by the company. For a positive financial situation, the result must be positive. There are four possibilities:
- Total equilibrium: Maximum financial stability. No debts.
- Financial