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Chapter 14 The World System and Colonialism The world system and relations among countries within it have been shaped by capitalist world economy Capitalist world economy: world system committed to production for sale exchange with the object of maximizing profits Capital: wealth invested with the intent of producing profit Emergence of the World System: By the 15 Century, Europeans profited from transoceanic trade oriented economy - People worldwide had entered Europe’s extracted silver and gold, conquered natives, and colonized their lands - Previously, rural people produced mainly for their own needs World System Theory: discernible social system, based on wealth and power differentials, extends beyond countries Immanuel Wallerstein: Countries within modern world system occupy 3 positions: Core: dominant position, nations with an advanced system of production Semi periphery: industrialized nations that fill and intermediate position between core and periphery Periphery: the world’s least privileged and powerful nations Industrial Revolution: historic transformation (in Europe, after 1750) of traditional into modern societies through industrialization of their economies - European industrialization developed from a domestic system of manufacture Causes of the Industrial Revolution: - Began with cotton products, iron, and pottery - Widely used goods whose manufacture could be broken down into simply routines - Began in England, Not France - France did not have to transform its manufacturing systems to increase production, because it had a larger labor force - Britain’s population began to increase dramatically with industrialization - Demographic explosion fueled consumption and fostered innovation - Drew on advantages in natural resources - Nation’s cultural values and religion contributed to its industrialization o Initially, industrialization in England raised overall standard of living o Factory owners soon began to recruit cheap labor from among poorest populations o Social ills worsened with growth of factory towns and industrial cities Industrial Stratification - Karl Marx and Max Weber- focused on stratification systems associated with industrialization - Marx saw socioeconomic stratification as a sharp division between two opposed classes - Bourgeoisie: owned the means of production - Working class (proletariat: people who had to sell their labor to survive) - Proletarianization: the separation of workers from the means of production Marx: Class consciousness: recognition of collective interests and a personal identification with one’s economic group - Viewed classes as powerful collective forces that could mobilize human energies to influence history - Lenski: argued that social equality tends to increase in advanced industrial societies - Proliferation of middle –class occupations creates opportunities for social mobility Differences in income and wealth set off richest from poorest Americas is widening - Great Recession of December 2007- June 2009 increased inequality - Weber: faulted Karl Marx for an overly simple and exclusively economic view – wealth, power, and prestige are separate components of social ranking and tend to be correlated. - Social identities based on ethnicity, religion, race, and nationality and other attributes can take priority over class Colonialism: Imperialism: policy of extending rule of one nation or empire over others Colonialism: political, social, economic, and cultural domination of a territory and its people by a foreign power for an extended period of time European Colonialism- 2 Phases - The age of discovery- 1492-1850 - 1850 to just after the end of world war II - Dominated by Britain and France British Colonialism - British Empire covered one-fifth of the world’s land surface and ruled one-fourth of its population - First-phase- concentrated in the New World- Western Africa- India - Closed with American Revolution - Justified colonial efforts by what Kipling called the “white man’s burden” - Began to fall after WW II French Colonialism - Driven by state, church, and armed forces rather than by business interests - First phase (early 1600’s) – Canada, Louisiana Territory,, the Caribbean and parts of India - Second phase (1870- WW II) North Africa and Indochina - Ideological legitimization for French colonialism was mission civils trice - Spread French culture, language, and religion throughout colonies - Two-forms- colonial rule Indirect rule: practice of governing through native political structures and leaders Direct rule: practice of imposing new government upon native populations Colonialism and Identity: - Whole countries, along with social groups and divisions within them, were colonial inventions - 100’s of ethnic groups and “tribes” in Africa and Colonial Constructions Post-Colonial Justices: - Study of interactions between European nations of colonized societies - Farmer colonies- divided - Settler countries: large numbers of colonists and sparser native populations Non-settler post-colonies: large native populations and a small number of Europeans - Mixed post colonies: sizable native and European populations Development: - Intervention philosophy ideological justification for outsider’s to guide local peoples is specific directions - Economic development plans also have intervention philosophies - Intervention philosophy may pit assumed wisdom of first world planner against purported conservatism, ignorance or “obsolescence” of “inferior” local people Neoliberalism: governments should not regulate private enterprise, free market forces should rule Adam Smith: free trade is best way for a nation’s economy to develop - No restrictions should be placed on manufacturing, no barrios to commerce, and no tariffs - Prevailed in U.S. till President Roosevelt’s 1930 deal - Fall of Communism (1989-1991) saw a revival of economic liberalism - In exchange for leans , post socialist and developing government must accept neoliberal premise that deregulation leads to economic growth “Second World”: - Refers to former Warsaw pact nations - Includes former Soviet Union nations and the socialist and one- socialist, countries of Eastern Europe and Asia Communism: - Small c: social system in which property is owned by community and in which people work for a common good - Large c: political movement and doctrine seeking to overthrow Capitalism and establish form of communism such as that which prevailed in the Soviet Union 1917-1991 - Today- 5 o China o Cuba o Laos o North Korea o Vietnam - 1985- 23 - Many communist states were totalitarian and demanded total submission of individual to the state - Communist party monopolized power - Relations with party were highly concentrated and strictly disciplined - State owned means of production - Cultivated a sense of belonging to an international movement - States- once had “planned economies” were now following a neoliberal agenda  Democratization  Marketization Post socialist Traditions: - Neoliberal economists- assumed dismantling Soviet Unions planned economy would raise GDP and living standards - Gains in productivity – did not happen - Corruption ensued Industrialization: continues today - New jobs - Mass production - Use of fossil fuels