Published in Student Struggle (Vol. 43, No. 2, May 2012, pp.

19-21)

Economics Textbooks as Commodities

Alex M. Thomas
*

Knowledge is an important asset of any society. But, it must be preserved and new

knowledge carefully produced, lest it becomes a liability. The case of economics worldwide

seems to once again point in this direction – that of the dis al s ie e . Textbooks,

lectures, journal articles, group discussions and internet resources aid the process of

dissemination and production of new economic knowledge. Textbooks have come to occupy

a large role in this process. One of the definitions of a textbook provided by the Oxford

English Dictionary is that of a manual of instruction in any science or branch of study, esp. a

work recognized as an authority. To what extent can we consider these textbooks to be an

authority? Are the accounts of these textbooks contextualised in the classroom by drawing

on specific characteristics of the Indian economy which might be at variance with some or

most of the propositions? In the following paragraphs, we briefly outline the existing nature

of the use of e o o i s te t ooks i I dia u i ersities a d olleges, the politi s ehi d

the production and use of these textbooks and end with some possible solutions.

Textbooks of economics are produced at a rapid pace, which is supposed to be

indicative of a faster accumulation and dissemination of knowledge. However, textbooks of

e o o i s easil fit i to Mar s defi itio of a o odit in Volume I of Capital: A

commodity is, in the first place, an object outside us, a thing that by its properties satisfies

human wants of some sort or another. The nature of such wants, whether, for instance,

the spri g fro the sto a h or fro fa , akes o differe e. To put it bluntly, an

increased production of textbooks need not arise from increased knowledge production. It

is o o k o ledge that the a t for these te t ooks are largel produ ed i the

institutions of learning themselves, in the way of recommended syllabi and curriculum.

Again, it is not surprising that these recommendations closely try to follo hat the Top

U i ersities i the World for E o o i s do. Our University Grants Commission (UGC) in its

curriculum recommendations submitted in 2001 expects teachers and students to use

Sa uelso s Economics a d Varia s Intermediate Microeconomics in BA Economics, which

teach one approach to economics – the marginalist or neoclassical approach. This per se

might not be a cause for concern. However, if only such textbooks are relied upon, the

Published in Student Struggle (Vol. 43, No. 2, May 2012, pp. 19-21)

evolution of microeconomics as a response to the sharp criticisms of Marx or the distinct

approaches available currently (Classical economics, Marxian economics and Post-Keynesian

economics to name a few) in the study of economic phenomena go unnoticed.

Unfortunately, these approaches are often taught as defunct theories with no

contemporary function. It is undoubtedly true that the mainstream does not care much

about the above mentioned alternate modes of analysing an economy. But we are well

aware that knowledge grows best in the presence of disagreements and dissatisfactions.

The case where objections and controversies are carefully omitted (as is usual in the

pri iples a d fou datio s te t ooks does ot i a a refle t a settled e o o i

science, but it reflects the unwillingness of the authors involved in their production to

consider and accept non- ai strea approa hes to lear i g e o o i s. Ma ki s

Principles of Economics is an excellent case in point.

The free spirit and thinking associated with knowledge has been supplanted by a sort

of textbook fetishism, wherein knowledge, primarily produced in the West is transmitted as

universal knowledge. The dominance of the West in mass textbook production and in selling

glorious dreams of excellent graduate education is nothing new. But, with the rapid demand

of textbooks by Indian universities and colleges, the debates and discussions characteristic

of ideal systems of knowledge production are withering away and empty otio s of rigour ,

dis ipli e , pri iples a d fou datio s are taki g its pla e. This process is further

i te sified due to the d i dli g i terest sho the Top U i ersities i the World for

E o o i s to ards e o omic history and history of economic thought. Together, they

ake the struggle of escape from habitual modes of thought and expression Ke es, i his

Preface to The General Theory) all the more difficult. It is worth reiterating the fact that

progress in economics (and other social sciences) does not follow a linear path. One needs

only to look at the renewed, albeit spasmodic, interest generated by the not-so-infrequent

crises for the economics of Marx and Keynes.

Economic knowledge therefore increasingly seems to become a liability, when

economists mistake theory for reality. It is not abstract knowledge which is at stake here,

but livelihoods of people who are affected by multiple policies based on such arrogant

pri iples . Economics, as Adam Smith and other classical economists always maintained, is

Published in Student Struggle (Vol. 43, No. 2, May 2012, pp. 19-21)

a policy science with far-reaching effects on the incomes and employment of the populace.

Some of these concerns are visible in the manner in which current policies respond to

inflation, fiscal responsibilities, employment guarantee programmes, right to food, GM

seeds, etc. It is not difficult to discern that it is the earlier mentioned te t ook pri iples

which actually inform the economists and policy makers when we read some of their

recommendations on these issues.

To sum up, we, as students need to be highly critical about the content of textbooks.

They are expert devices at indoctrination. Engaging closely with economic or any other

knowledge form is also about recognising its limits or scope. One should be wary of a

te t ook hi h tea hes pri iples or fou datio s hi h appear o trar to our

surrounding realities. Equally important is the need to ascribe a greater role for the history

of economic thought, for it makes clear how economic theory has been formed often to

support or to discredit a particular policy or even an entire political ideology. Moreover,

they also alert us to the possibility of analysing the same economic questions using

different, often called heterodox, approaches.

*Alex M. Thomas is a PhD candidate in economics at the University of Sydney. His research

interests comprise classical economics, Indian economy and history of economic thought.

COMMENTARY

Title of the article: Economic Textbooks as Commodities

Sources of the article: Student Stugle

Date the article was published: May 2012

Date the commentary was written: March 2023
Word count of the commentary: 1023
Unit of the syllabus to which the article relates: Microeconomics
Key concept being used: Market equilibrium, supply and demand, externality

Commentary

Just like working on a business eld for personal needs, writing a book is like selling a
product from an economic point of view. A product will sell well if it can meet market demand
which is always uctuating with the times. The product can also be an innovation that was
never requested by the market, but has a signi cant impact. Until nally, the market began to
make requests that made the product a general demand in the market. In addition, innovative
products can also open up new opportunities for producers to increase economic value in an
area.

Is writing a book, a product that will always give birth to an innovation. Unlike making
electronic media, software, and so on, writing a book is not too demanding of existing
technological resources. Even with a small capital, writing a book can open up opportunities
to get the maximum pro t. Based on that, many people who understand business
immediately write a book. Be it a scienti c work, ctional story, research, to the author's own
autobiography in telling his life story. Besides that, by writing a book, the author can
contribute to the life of the surrounding community, in addition to participating in increasing
pro ts to meet personal needs.

Human needs are unlimited and varied, while the tools and means to meet those needs are
limited. This kind of situation can lead to scarcity and the emergence of very basic economic
problems such as what, how, and for whom goods are produced. Along with the increase in
economic activity, companies are required to develop their technology, but on the other hand,
this has resulted in a reduction in workforce that is not in line with their capabilities. For this
reason, you need to study this learning with the aim that you can solve these problems with
the right economic system. Therefore, economics books are one of the most popular
commodities

Economic text book Economic E-book

ni
The diagram has two panels, one for the economic text book and economic e-book. The
vertical axis represents the price of text book, while the horizontal axis represents the quantity
of textbook.

Panel 1 - Economic textbook:

The supply curve (S) is upward-sloping and represents the marginal private cost (MPC) of
producing the Economic textbook. The demand curve (D) is downward-sloping and
represents the marginal private bene t (MPB) of purchasing the economic textbook. The
intersection of S and D represents the market equilibrium (E) for the economic textbook.

The marginal social cost (MSC) curve is above the MPC curve, re ecting the negative
externality of excessive use of trees caused by economic textbook. The marginal social
bene t (MSB) curve is above the MPB curve, re ecting the positive externality of reduced
excessive use of trees and increased the desire of people to read by making it easier to get it
and can read it anywhere. The intersection of MSC and MSB represents the socially optimal
quantity (Qso) of textbook, which issues less than the market equilibrium quantity (Qe).

Panel 2 - Economic E-book:

The supply curve (S') is upward-sloping and represents the MPC of producing econonomic
ebook. The demand curve (D') is downward-sloping and represents the MPB of purchasing
economic ebook. The intersection of S' and D' represents the market equilibrium (E') for
economic ebook.

The MSC curve is above the MPC curve, re ecting the negative externality of excessive use
of trees. The MSB curve is below the MPB curve, re ecting the negative impact of excessive
use of trees and increased the desire of people to read by making it easier to get it and can
read it anywhere. The intersection of MSC and MSB represents the socially optimal quantity
(Qso') of book, which is less than the market equilibrium quantity (Qe').

Overall, the diagram illustrates how the economic ebook, with its lower operating costs,
reduced use of trees, and increased peoples desire to read book, can potentially lead to a
more e cient and socially optimal freight industry compared to textbook.