Politics, Work and the Economy Chapter Outline Politics Work and the Economy Polling Question Have you registered to vote? a. b. c. Yes No Not eligible Polling Question Did you vote in the last election? a. b. c. Yes No Not eligible Power Power is the ability to control others, even against their will. Having more power than others gives you the ability to get more valued things sooner. Having less power than others means you get fewer valued things later. Authority: is the use of legitimate power and force is unnecessary The State State: institutions responsible for formulating and carrying out a country’s laws and public policies Civil Society: private sphere of social life Political parties: compete for control of government elections Lobbies: advise politicians about members’ interests The State, cont. Mass media: keep an eye on the state Public opinion: expressed in polls Social movements: collective attempts to exercise power by stepping outside the rules of electoral politics and engaging in petition-writing campaigns Democracies: where citizens in civil society exercised high degree of control over the state Institutions of State and Civil Society Functionalist View of Politics Democracies promote social stability by providing all citizens with efficient means of achieving their goals Pluralism: theory that power is widely dispersed and no group is disproportionately influential and decisions are reached through negotiations Conflict Critique of Functionalism Elite theory: in reality, small groups (“elites”) occupy the command posts of democratic society’s most influential institutions make the important decisions that profoundly affect all members of society Intensity of political influence increases as one ascends class hierarchy Polling Question The people running this country don't really care what happens to you. a. b. c. d. e. Strongly agree Agree somewhat Unsure Disagree somewhat Strongly disagree Liberal vs. Conservative Liberal: “left wingers” who favor extensive government involvement in the economy and a strong “social safety net” of health and welfare benefits to help the less fortunate members of society Conservative: “right wingers” who favor a small role in government in the economy and a small welfare state War War is a non-electoral means of achieving political goals Most often countries go to war with themselves for state control, not with other countries 2004-2007 U.S.-Iraq war killed 170,000 people 1998-2004 civil war in Democratic Republic of the Congo numbered in the millions Global Trends in Violent Crimes INSERT FIGURE 12.2 HERE (PG. 288) War, cont. Factors that determine the risk of war: Economic inequality: poor countries more likely to experience war Government instability: countries neither democratic or autocratic are highest risk Terrorism American law defines terrorism as “premeditated, politically motivated violence against noncombatant targets including unarmed or offduty military personnel by subnational groups or clandestine agents” Broader definition examines how one side may call terror a legitimate resistance to occupation or oppression Polling Question Terrorism is more likely to take place in the wealthy nations. a. b. c. d. e. Strongly agree Agree somewhat Unsure Disagree somewhat Strongly disagree Work and the Economy The economy is the institution that organizes the production, distribution, and exchange of goods and services. The primary sector includes farming, fishing, logging, and mining. In the secondary sector, raw materials are turned into finished goods; manufacturing takes place. In the tertiary sector, services are bought and sold. Three Sectors of the Economy Each sector of economy rose to dominance for different period in history Agricultural Revolution: use of the plow substantially increased productivity Industrial Revolution: manufacturing, trade and commerce developed markets Postindustrial Revolution: service jobs have become dominant Productivity The amount of goods or services produced for every hour worked. Markets Social relations that regulate the exchange of goods and services. In a market, the prices of goods and services are established by how plentiful they are (supply) and how much they are wanted (demand). Division of Labor The division of labor refers to the specialization of work tasks. The more specialized the work tasks in a society, the greater the division of labor. The Quality of Work Bad jobs don’t pay much and require the performance of routine tasks under close supervision. Good jobs offer secure employment, opportunities for promotion, health insurance, and other fringe benefits. Deskilling Thesis The process by which work tasks are broken into simple routines requiring little training. Usually accompanied by the use of machinery to replace labor and increased management control over workers. Critique of Deskilling Thesis Deskilling underestimates the continuing importance of skilled labor Technological innovations kill off entire job categories but they create entire new industries with many good jobs Twenty Jobs with Largest Expected Growth INSERT TABLE 12.2 HERE (PG. 293) Primary Labor Market Composed disproportionately of highly skilled or well educated white males. They are employed in large corporations that enjoy high levels of capital investment. Employment is relatively secure, earnings are high and fringe benefits are generous. Secondary Labor Market Contains disproportionately large number of women and members of racial minorities. Employees tend to be unskilled and lack higher education. Employment is insecure, earnings are low and fringe benefits are meager. From the Primary to the Secondary Labor Market Free Markets In a free market, labor supply and demand regulate wage levels and other benefits. If supply is high and demand is low, wages fall. If demand is high and supply is low, wages rise. Regulated Markets The primary labor market is a more regulated market. Wage levels and benefits are established not just by the forces of supply and demand but also by the power of workers and professionals. Capitalism: Two Features 1. Private ownership of property. • Individuals and corporations own the means of producing goods and services and are free to buy and sell property. 2. Competition in the pursuit of profit. • Producers compete to offer consumers goods and services at the lowest price. Communism: Two Features Public ownership of property. 2. Government planning. 1. • Five-year state plans establish production quotas, prices, and other aspects of economic activity. Democratic Socialism: Two Features 1. Public ownership of certain basic industries. • Most property is privately owned, and competition in the pursuit of profit is the main motive for business activity, just as in capitalist societies. 2. Government intervention in the market. Three Types of Economic Systems INSERT CONCEPT SUMMARY 12.1 HERE (PG. 297) Corporations Legal entities that can enter into contracts and own property. They are taxed at a lower rate than individuals and owners are normally not liable for the corporation’s debt or any harm it may cause the public. Exercise disproportionate economic and political influence by forming oligopolies, conglomerates, and interlocking directorates. Conglomerates Conglomerates are large corporations that operate in several industries at the same time. Globalization American-owned multinational corporations have benefited from globalization insofar as moving some of their operations to low-wage countries has improved profitability Well-paying manufacturing jobs have become less numerous in the U.S., displaced by outsourcing 1. Power is: a. b. c. d. governed in its use by norms and the statuses of the social organizations that wield it regarded by subjects as valid and justified the ability to control others, even against their will all of these choices Answer: c Power is the ability to control others, even against their will. 2. A civil society is composed of: a. legislative, executive, and judiciary branches plus the bureaucratic institutions of the state b. autocratic, authoritarian, and democratic institutions of the state c. political parties, lobbies, the mass media, public opinion, and social movements d. all of these choices Answer: c A civil society is composed of: political parties, lobbies, the mass media, public opinion, and social movements. 3. Which of the following theories holds that small groups occupying the command posts of America’s most influential institutions make the important decisions that affect all members of society? a. b. c. d. elite theory state-centered theory power resource theory pluralist theory Answer: a Elite theory holds that small groups occupying the command posts of America’s most influential institutions make the important decisions that affect all members of society. 4. Which of the following theories holds that power is widely dispersed in society and that, as a result, no single group enjoys disproportionate influence in the political process? a. elite theory b. state-centered theory c. power resource theory d. pluralist theory e. democratic theory Answer: d Pluralist theory holds that power is widely dispersed in society and that, as a result, no single group enjoys disproportionate influence in the political process? 5. Which of the following types of governments places a country at the highest risk of societal or civil war? a. b. c. d. democratic government autocratic government intermediate types of government (partly democratic, partly autocratic) totalitarian government Answer: c Intermediate types of government (partly democratic, partly autocratic) places a country at the highest risk of societal or civil war. 6. The economy is the institution that organizes the: a. b. c. d. production of goods and services distribution of goods and services exchange of goods and services all of these choices Answer: d The economy is the institution that organizes the production, distribution and exchange of goods and services. 7. Braverman's deskilling thesis involves which of the following elements? a. b. c. d. reliance on part-time labor the breakdown of complex tasks into simple routines the replacement of human labor with machines wherever possible the breakdown of complex tasks into simple routines, and the replacement of human labor with machines wherever possible Answer: d Braverman's deskilling thesis involves the breakdown of complex tasks into simple routines, and the replacement of human labor with machines wherever possible. 8. In the secondary labor market, workers tend to be: a. b. c. d. highly skilled or well-educated male and white employed in industries with high levels of capital investment none of these choices Answer: d In the secondary labor market, workers don’t tend to be: highly skilled or well-educated, male and white or employed in industries with high levels of capital investment. 9. Which of the following economic systems is characterized by public ownership of certain basic industries and vigorous intervention in the market on the part of government to redistribute income? a. b. c. d. capitalism democratic socialism corporatism communism Answer: b. Democratic socialism is characterized by public ownership of certain basic industries and vigorous intervention in the market on the part of government to redistribute income? 10. Which of the following economic systems is characterized by public ownership of property and government planning? a. capitalism b. communism c. corporatism d. democratic socialism e. none of these choices Answer: b Communism is characterized by public ownership of property and government planning. 11. Which of the following are strategies corporations use to exercise economic and political influence? a. b. c. d. the formation of oligopolies the formation of conglomerates the establishment of interlocking directorates all of these choices Answer: d The following are strategies corporations use to exercise economic and political influence: the formation of oligopolies, the formation of conglomerates and the establishment of interlocking directorates.