SOC227H5 Lecture Notes - Service Economy, International Trade, Invisible Hand
Document Summary
3 sector hypothesis: pre industrialized economy, industrial economy, service economy. The economy"s advancement is based on the work distribution: how many people are doing what types of jobs. As the economy develops, work distribution changes. Start of globalization and 1st wave of colonialism. Most trade was in primary sector (agriculture) Minimal divisional labour (the deeper the divisional labour, the more alienated people become) One person did everything: increase in intelligence, high skilled jobs, high quality work since one. Slaves and peasants worked for aristocrats person was specialized in everything about the product. However this also meant low productivity level because one person alone can only do so much. Adam smith (liberal thinker) diminished borders and started free trade. Economy should run itself because government messes it up. Expansion of cities, start of factories = high productivity level, high divisional labour. Factories= people stated working together in one space.
