Page 43 - Msingi Afrika Magazine Issue 6

ECONOMY
economy” is common.
Cultural Economics: which
explains the relation of culture
to economic outcome. This
includes how much culture
matters to economic outcomes
and what its relation is to institu- ity places severe constraints
tions. This includes econom-
ics of the arts and literature,
religion, social norms, social
capital and social networks.
Behavioral Economics: which
deals with behavioral econom-
ics and behavioral finance.
These two are closely related
fields that have evolved to be
a separate branch of economic
and financial analysis which
applies scientific research on
human and social, cognitive
and emotional factors to better
understand economic decisions
by, say, consumers, borrowers,
investors, and how they affect
market prices, returns and the
allocation of resources. The
field is primarily concerned
with the bounds of rationality
of economic agents. Behav-
ioral models typically integrate
insights from psychology with
neo-classical economic theory.
Behavioral finance is another
similar field of knowledge that
evolved during 1970s.
Social Economics: which is
concerned with the relationship
between economic activity and
social life. It uses methods from
sociology, economics, history,
psychology, etc. In many cas-
es, socio-economists focus on
the social impact of some sort
of economic change. Social
effects can be wide-ranging
in size, anywhere from local
effects on a small community
to changes to an entire society.
The upshot of these consider-
ations is that economic policies
should be based on community.
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Characteristics of the
Afrinomics Theory
Afrinomics Theory maintains
that any harmful action against
another individual is a threat to
the whole society; a restriction
on individual’s economic activ-
on the economic welfare of
the whole society; if the indi-
vidual prospers, so too does
his extended family and the
community; an individual could
prosper so long as his pursuit
of prosperity does not harm or
in conflict with the interests of
the community; the society’s
interests have to be paramount;
unless an individual’s pursuit of
prosperity conflicts with soci-
ety’s interests, the State must
intervene.
It is rooted in social order, natu- modern, free and democratic
ral order, and the cosmic order.
It is about the principles of com- It seeks to create a new society
munal ownership of the means
of production in which kinship
and family groups participate in
economic activity.
It is opposed to capitalism, and
equally opposed to doctrinaire
socialism which seeks to build
society on a philosophy of inev-
itable conflict between man by
man (seeks a third path).
It is underpinned by the African
maxim: “I am because we are”
in which the “we” connotes the
community, the “I” connotes the
individual or personhood. To the
African, the “we” means his/her
heal . restore . rebirth . Afrika
extended family or lineage.
It is a morally charged econom-
ic system that seeks to increase
the welfare of the global com-
munity which simultaneously
increases the market for eco-
nomic goods and services.
It is a transformed and liberated
state of mind, with a capacity
to transform an individual, an
organization and the society.
It is an economic system of
equality and respect for human
dignity; sharing of the resourc-
es, which are produced by peo-
ple’s efforts; work by everyone
and exploitation by none.
It seeks to move our society
forward to a higher and recon-
ciled form of society, in which
the quintessence of the human
purposes reasserts itself in a
economic context.
that is humane, just and harmo-
nious.
It seeks to put an emphasis
on any marginalized culture in
the economic evolution of the
sub-Saharan Africa.
Its seeks to serve humanity to
the fullest by committing itself
to Ubuntu, as a global ethic, to
understanding one another, to
socially beneficial, peace-foster-
ing, and nature-friendly ways of
economic life.
It believes that everything in
the universe (even a stone)
is endowed with some kind of
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