Relation between Political science and Economics

They are closely related. All economic activities are carried on within the state and
all political activities are related to state and government.

Political movements can be influenced by economic causes and economic

upheavals can be prevailed by political instability.

As main subject, political science is the state, concerning subject of economics are
tariff laws, labor legislation, national planning and government ownership, etc.,
which are under the state laws.

Economic achievement can be possible by good administration and political

performance in a political system.

The burning question of present day politics is government control of industries,

the relations of the state to industries, its attitude towards labor and capital and etc.

All economic questions are intertwined in the political issue.

Difference between political science and economics

• Economics is concerned with things while political science concerns with

people, one deals with prices and other with values and virtues.
• Political science is normative science while economics is mostly positive
science.

Read this essay to learn about the Contribution of Political Science to

Economics and Vice-versa!

Political Science is the science of political relations, political interactions and

political institutions. Economics is the science of money, wealth, material
resources, economic relations and economic institutions.

Both are social sciences. Both are related and interdependent disciplines. Each
affects the other. Each borrows as well lends information, data and knowledge to
the other.

Contribution of Political Science to Economics:

(1) Stable Government is a condition of Economic Development:

The nature, scope and progress of economic development depend upon the stability
of government. Instable government weakens the economic system.

(2) Politics determines Economic Goals:

The government of a state i.e. the political system selects and defines economic
goals which are to be secured for the people. All economic planning is done by the
government of the state. Political leaders determine economic goals and policy and
the economic experts help them.

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(3) Political Ideology determines the Economic System:

The political ideology of the power-holders always conditions the economic

system. The economic system has to work in the environment generated by
political relations. Economics has to closely follow political relations, goals and
policies which are studied by Political Science.

(4) State solves Economic Problems:

No doubt economic problems affect the political system of the society, yet it is the
political system which formulates and implements public policies which are
considered essential for solving economic problems.

(5) Budget—the back bone of Economy is a Political Instrument:

Budget always determines the economic policy and economic health of the state.
Budget is prepared by the government. Budget-making and Budget-passing are
political exercises and these are the determinants of the economy of a state.
Economics is guided by Politics and Economics always takes the help of Political
Science for securing right economic policies and goals.

Thus, Political Science and Economics are two highly and closely related
interdependent social sciences. The two cannot be separated. Their boundaries
overlap and cross.