Economics in the early renaissance Research Paper

Economics in the early renaissance - Research Paper Example The economic development at the time portrayed the economy as a cohesive structure with numerous facets all of which function independently albeit in unison to enhance the economic growth of the entire society. The numerous sectors in the early renaissance economies thrived on peaceful economies coupled with systematic integration with other neighboring economies in order to expand their economies. Specific dynasties and think tanks such as Aristotle and Plato contributed fundamental economic ideas that fostered the development of the economies as I discuss in the easy below. In the research of the early renaissance economy, I research the theories fostered by numerous classical and neoclassical economists such as Adam Smith and David Ricardo. Effective taxation refers to a system of taxation in which the government demands a fair share of the citizens’ earning thus leaving the citizens with an adequate amount to foster the economic growth of the countries. At a time that the church played an important role in te formulation and implementation of policies, taxation was a fundamental issue since the royal dynasties often collaborated with the church to defraud the people. However, in order for the countries to register economic growth, the leadership had to implement effective policies that would enhance effective taxation, a system that would curb exploitation and enhance the appropriate utilization of the expenditure. Among the early cities worse governments exhibited effective management of resources was Florence. Florence was a small inland cit y in Italy that unlike other inland cities became economic success. Among the reasons for Florence’s success was the use of the resources in enhancing the liquidity of the economy. The Medici circulated the money in the economy through increased public spending thus resulting in the thriving of arts among other sectors of the economy. This way, the government raised the purchasing power