Why Is Karl Polanyi's Distinction Between Formal and Substantive Economics

question 40

Multiple Choice

Why is Karl Polanyi's distinction between formal and substantive economics important?

• A) it explains why states control economies in Europe
• B) it distinguishes between primitive and capitalist economic systems
• C) it recognizes that economies involve both how people think and the actual transactions they engage in
• D) it laid the groundwork for the rise of Marxist theory in anthropology

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Definitions:

Foreign Corporation

A business entity that is registered in a country or jurisdiction different from where it primarily conducts its operations.

Supervisory Board

A group elected to oversee the management of an organization and make significant decisions on its behalf.

Corporate Structure

The organizational framework of a company, detailing the roles, responsibilities, and hierarchy within the organization.

Management

the process of directing, controlling, and coordinating the operations and resources of an organization or project.