1. Economics and Liberating Theory Unlike mainstream economists, political economists have always tried to situate the study of economics within the broader project of understanding how society functions. However, during the second half of the twentieth century dissatisfaction with the traditional political economy theory of social change known | 1 Economics and Liberating Theory Unlike mainstream economists political economists have always tried to situate the study of economics within the broader project of understanding how society functions. However during the second half of the twentieth century dissatisfaction with the traditional political economy theory of social change known as historical materialism increased to the point where many modern political economists and social activists no longer espouse it and most who still call themselves historical materialists have modified their theory considerably to accommodate insights about the importance of gender relations race relations and the human factor in understanding social stability and social change. The liberating theory presented briefly in this chapter attempts to transcend historical materialism without throwing out the baby with the bath water. It incorporates insights from feminism national liberation and antiracist movements and anarchism as well as from mainstream psychology sociology and evolutionary biology where useful. Liberating theory attempts to understand the relationships between economic political kinship and cultural activities and the forces behind social stability and social change in a way that neither over nor underestimates the importance of economic dynamics and neither over nor underestimates the importance of human agency compared to social PEOPLE AND SOCIETY People usually define and fulfill their needs and desires in cooperation with others - which makes us a social species. Because each of us assesses our options and chooses from among them based on our 1. For a fuller treatment see Liberating Theory South End Press 1986 by Michael Albert Leslie Cagan Noam Chomsky Robin Hahnel Mel King Lydia Sargent and Holly Sklar. 1 2 The ABCs of Political Economy evaluation of their consequences we are also a self-conscious species. Finally in seeking to meet the needs we identify today we choose to act in ways that .
