POL410H1 Lecture Notes - Lecture 4: Cash Crop, Structural Adjustment, Neoliberalism

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Published on 20 Aug 2012
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POL410 Lecture 4
Liberalism has not stayed the same over decades.
Neoliberalism there is some sort of shift in the 1970s, this is when the project really
changed, shifted away from modernization and overhauled itself. Didn’t take
Marxist critiques into to much account, fundamentally restricting of agrarian
relations. Markets were global and not ending at borders, what legitimate role of the
state is. Has a research core, shifts and responses.
Develpomentalism nation state relationship, de ruralize
Liberalism fend off a socialist revolution, to show them that markets were good
and help the people
Arguments that argue the death of the soviet union proves that liberalism is the best
Bates:
Structural adjustment policies
-bates fundamental problem, intervention
-markets are already there and if just left to do their work will be efficient
-government intervention is bad
-corruption only happens when there is an incentive for corruption
-markets only work when incentive structures are there for people to take part,
wrong incentives were there, incentives weren’t there for higher production
-anything that is not governed by the price mechanism, supply and demand in the
market should be taken away
-state aligning with elites and takes money away which is bad
-co-ops were looted by the state, co-ops became the place to get money
-focus on individual rationality
-just in the food and cash crop sector we see so many ways in which bates says that
sates are getting in the way of markets
-poor got cheap food and subsidies
-rich get help in setting up companies
-need to foster development, shift resources from rural areas into the cities
-evolutionary thought (criticism leaves out power), class analysis and has really
extended liberalisms ability to deal with these critics, integrates power, he’s against
it but he is saying political interests are getting in the way of the market, doesn’t
care if people are following the same path, looking and market equilibrium, state is a
key actor but it shouldn’t be
-individuals should be the deal and operate in the market, class social stuff gets in
the way
-developmentalism was expensive, skimming off the top of peasants while
subsidizing the peasants
-peasants should go the market and get market prices, eliminate tariffs and
subsidies
Araghi
-destructions of national economies
natural resources were being privatized, big state industries are starting to be
privatized, markets do a more efficient job
-unemployment insurance, health care, private companies can do this
-people died because of structural adjustment, you need cash to pay for resources
-opportunity for bates is to compete in markets, in a market you have all this choice
that freedom is choice, freedom is freedom to get to the market and participate in
the market
Neoliberalism changed at the end of the 1980s, they added what they call a human
face to structural adjustment
SAPPS,
Sen is about opportunity, freedom
-we see a bit of a shift to the language of incentives to opportunities and
inefficiencies to freedom, freedom of markets is basis for freedom of individuals
social loss, maybe markets cant provide schools, think about efficiency though, if the
state does it there is social loss, someone else can do it
-rhetorical shift, talk about freedom and opportunities
-greater efficiency is equated with greater opportunity and equity
-if markets are free then we all have the same opportunities
-ignores that class factors in, markets are not open to anyone
states still struggle to provide health care and education
NGOS were brought in as the non state human face to provide these services, are not
supposed to be corrupt
NGOs are accountable to sponsors, not the people they’re helping
-theres an interest in keeping the problem alive, if they don’t have a problem to fix
they wont have a reason for their work
-for every good NGOs there are 2000 fly by ones (bad)
3rd reading
-there is a lack of social contract, state is supposed to protect citizens, in Latin
American cases this never happened, there is no consent
-you need legitimacy
-the big groups in your country have to buy in

Document Summary

Liberalism has not stayed the same over decades. Neoliberalism there is some sort of shift in the 1970s, this is when the project really changed, shifted away from modernization and overhauled itself. Marxist critiques into to much account, fundamentally restricting of agrarian relations. Markets were global and not ending at borders, what legitimate role of the state is. Liberalism fend off a socialist revolution, to show them that markets were good and help the people. Arguments that argue the death of the soviet union proves that liberalism is the best. Markets are already there and if just left to do their work will be efficient. Corruption only happens when there is an incentive for corruption. Markets only work when incentive structures are there for people to take part, wrong incentives were there, incentives weren"t there for higher production. Anything that is not governed by the price mechanism, supply and demand in the market should be taken away.