GPHY 228 Study Guide - Midterm Guide: Gross Domestic Product, Foreign Direct Investment, Capital Accumulation
Document Summary
With industrial workers playing a minute role within tightly controlled factories, becoming divorced from the products of their labour: agglomeration economies. A set of advantages that for firms that are derived from the concentration of other firms in the same location- ex. Availability of skilled labour, proximity to a large number of customers: branch plants. Undertaking basic production activities, but controlled from outside. It is based on private ownership of the means of production. It is associated with need for most people to sell their labor power to employers in order to earn a wage. It is a historically specific mode of production. Roots in early modern europe in the 16th and 17th centuries. First water-powered cotton spinning factory in england 1771: capital switching. Capital is moved between sectors of the economy and regions, in response to changing investment opportunities. Capital is often transferred from regions with declining sectors to new industrial spaces : capital accumulation.
