Johnny Ch Lok

New Economic Environment Development Johnny Ch Lok

Our societies are experiencing new economic social development stage from old economic social development stage. What are the economists' opinions or view points concern how and why our societies are experiencing new economic social change. What can influence to our social changes from new economic development. I shall attempt to apply some economic theories to explain why some economic theories are not be accepted to our nowadays new economic social development as below: Firstly, the invisible hand theory changes, it is not be accepted to our nowadays new economic socical development need absolutely. It indicates that the wealth of nations marshels the theories of self interest first written about in the theory of moral sentiments into a way of looking at how societies prosper. Smith believed that real wealth was the sum of the annual produce of the land and labour of the whole country and that prosperity was based on increasing that. He focused on the concept of natural liberty, the idea that people can deploy their resources in competition with others. This process would identify which activities were most worth doing. For example, if mining produced higher returns than the average of other activities than capital would naturally swing towards that area and away from lessproductive areas. It is are good example for old economic invisible hand theory. However, our societies are changing. Smith's opinions toward the mining industry that produces the greatest value, so each worker aims for the job that will make him or her the most money. In this case, as Smith put it, this worker " neither intends to promote the public interest, not knows how much hs is promoting it". He intends only his own gain, and he is in this led by an invisible hand to promote and which was no part of his intention. But, nowadays societies, any labours will needs to intend to help their organizations to promote the public interest, he or she needs to know how much she/she is promoting it. For this mining company example, the mining worker needs to know whether their mining tasks value is how much, when they are seeking the mining land can have how much market value for their organizations. It can gain how much profit. Because if their mining company can have high mining land value to help them to produce the good quality of mines products to sell, then they can help themselves organizations to earn high profit indirectly. Consequently, these mining worker individual wage may also be also influenced to raise. Hence, these mining workers' value is depended on whether their mining tasks can bring how much mining land value to let their mining company to sell in order to earn high or less miningsale income in this global competitive mining market. Hence, new economy theory explains that the invisible hand means that any labor will also need to concern or intent to promote the public interest for themselves employers, instead of doing the job to earn income, because when they can help their employers to promote the public interest to achieve higher social value interest to themselves organizations, then their employers can earn more profit when sale growth is influenced to raise by promoting the higher public interest. Consequently, nowadays our societies, any company's labours' wages may also be influenced to raised by their promoting interest ( invisible hand method).?New digital entertainment music and movie demand and supply theory explains why this market is serious high competition