POL101 Readings Semester 2

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Political Science
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POL101Y1
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Sarah Finkelstein

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POLITICAL SCIENCE SUMMARY PACKAGE 2011-2012 (SEMESTER 2) Completed through collective action of your peers. <3 Big thanks to everyone who contributed. This wouldn’t have been done without you! Everything is placed in chronological order for convenience sake, and some readings have multiple summaries because they were a bit trickier than others. Overall, Sean and Minh both really hope that this helps you with your studying. Thank you once again and good luck to everyone! (: January 9 , 2012 Continental Divide: The Values and Institutions of the United States and Canada. Seymour Martin Lipset Summarized by: Francisco Gomes Nationalism and Conflicts Jan. 9, 2011 Revolution and Counterrevolution -USA and Canada are opposites. One is proud of overthrowing an oppressive state, and creating a new government for its citizens. The other is proud of maintaining the legacy of it‟s mother country. -Creating a government that allows citizens to make political decisions and stressing individualism is what makes USA exceptional. Maintaining a monarchy while creating free institutions made Canada different. -The core values of each country is what separates them. USA is whig and Canada is Tory. -Whig is libertarian and emphasizes distrust of state, equality and populism. Reinforced by voluntary and congregational religion. Tory is accepting of strong state, respecting of authority and obeying. Endorsed by hierarchical organized religion. -Canada has become more individualistic and less accepting of the elites since the Revolution. And the USA has allowed it‟s government to deal in economic and social issues and welfare. -Charter of Rights and Freedoms also brings Canada closer to USA, although it places less emphasis on individual and maintains supremacy of parliament. -Canada is still more respectful of authority, more involved in private life of citizens and more supportive of group rights. -USA has strengthened it s government and introduced welfare. It has somewhat moved away from individualism and placed emphasis on equality for groups. It still has one of the weakest welfare sets and least number of labour parties. Free Trade and Cultural Distinctiveness -Free trade treaty between Canada and US has divided Canadians. Some fear it will eliminate their culture and maybe even their country as a separate state. However Americans make no sense of such concerns. -Political union would mean having to deal with the difference between two governments. Canada‟s parliament government with disciplined parties and U.S. system of divided powers and no discipline. -Canada‟s value system resembles a british and french value system. It‟s less materialistic and culturally superior to US. Organizing Principles - Two countries are different in basic principles. Canada is more class-aware, more elitist, law-abiding, focused on the collective, statist and more group-oriented than the US. - This change was brought by the American Revolution and the split of British North America. It was then reinforced by the media, politics, religion and socioeconomic structures. - Americans placed emphasis on individualism and achievements to motivate revolution. US rejected alliances to Britain, elitism, nobility, etc. It was purely bourgeoise. - Canada exists because French-speaking and English-speaking Canadians fought against the liberal revolutions in US and France. They wanted to create a conservative and monarchical society and wanted to protect minorities. - US secluded itself from any british influenced and ideologically committed itself to a weak state with little military power. Perspectives on American Revolution - Canada and US according to Louis Hartz were settled mostly by middle-class which meant they lacked aristocracy and peasantry which twisted their political views. Original liberal ideas from Europe became the conservative ideas of new countries. - Canada was formed as a counterrevolutionary monarchical society that valued hierarchy, religion, authority and deference to leaders. Canadian Identity - All colonies that later became Canada had considerable political autonomy - Canadians believe unlimited popular rule make it harder for minorities, who are left in the hand of popular rule. This is the cause for political intolerance in USA. Elitism is necessary to maintain balance between popular rule and minority rights. Conclusion - Differences between USA and Canada can be traced back to American revolution 2. American Ideology - Being Canadian means being part of a community, but being American means committing to an ideology. - USA still does not have a socialist or Tory party. Country is still dominated by individualistic values. - American government is an example of how founding fathers distrusted the state. The government is divided and conflicted and has very little power compared to parliament governments where cabinets have unchecked power. - USA has checks and balances and different terms of office for both houses of govt. - In Canada the state is seen as necessary for citizens to survive. - Due to importance of laws and rights, lawyers have been important instruments in bring about change because they can maneuver around these laws. Meritocracy - U.S. political culture is reinforced by it‟s unique class structure and religious system - Defined by equality of respect and equality of opportunity - Originated from the fact US is a setter society with revolutionary ideology - Americans did not believe in elitism, no one had to pay „respect‟ to elites - Meritocracy in US was defined by more market freedom, individual ownership of land, higher wage structure supported by traditional liberal ecology - Hard work and ambition were seen as qualities of a moral man Ideology - The american „gospel‟ is characterized by four principles: antistatism, individualism, populism and egalitarianism. - the antistatism in US is a major source is why socialism is still weak Individualism - the belief of collective is major negative image of socialists. If a revolution is to happen in the US it will be most likely an anarchist not a socialist revolution Populism - populism is the belief that the will of the people should dominate elites and that public choice is superior to professional choice - populism is much stronger in US than Canada because of the extended use of referenda in US. - almost all major figures in law enforcement are elected, not appointed - americans almost always make a poor showing at the polls compared to Canadians. 50% to 75% in recent years - This is due to in part to the institutionalization of populism - the frequency in which americans are required to vote, the prolonged campaigns, and the focus on individuals instead of parties discourage voters - americans are derisive and critical of their politicians and the government Liberalism - In US conservatism is associated with suspicion of government - conservatism focuses on individual rights and ignores the rights and obligations of the collective Conclusion - Canada and US vary along the lines of their historical traditions although Canada is now like the US in an economical aspect. - US continues to disregard welfare and other active roles for government, they prefer individual efforts to collective efforts in welfare programs. They are world leading in charity work - Americans focus on non class forms of group rights, while canadians put emphasis on group rights and concern for equality of results - Americans focus on individual success and equality of opportunity - US is an exceptional country. Although one of the most developed it has a huge disparity of incomes due to its almost non-existent welfare programs. It has a very large number of people in poverty. 3. Canadian Identity - Canada still debates its national identity to this day - Canada developed as the part of British North American that did not want a revolution - While US developed around a revolutionary ideology, Canada had not developed such ideologies although they had a strong Tory presence - They became independent only due to the fact that Britain aimed to give up responsibility for their territories while maintaining them as part of UK. - Emphasis on order in Canada and liberty in US has had major consequences - US still resists authority, demands rights and prefers weak govts - Canadians complained much less and felt the need for a strong paternal government - Canadians are law-abiding, deferant, cautious, prudent, elitist, moralistic, tolerant of other races Canadian Independence - the Canadian link to UK can be seen by it‟s decision to declare war every time UK declares war - Until recently canadians were ruled by the British North America Act - Canadians do not chant oath of allegiance to flag or salute it Counterrevolution Continued - Many present day variations between two countries still stem from Revolution - Literature in North American makes sure the underline the different origins between the two - American tradition places more emphasis on separation of church and state than Canada does Structural influences - Greater emphasis on state and communitarianism in Canada, and individualism and laissez faire in US. These values have been reinforced by the contrasts in political systems, geography and population basis. - In politics, Canada has a parliamentary system where the Cabinet (executive) can lead over the House of Commons, while in US the executive have to deal with both houses of Congress - Presence of larger and more powerful neighbour in the south has made Canadians call on state for economic independence - Difference in crime rates, slums and cleanliness in cities in both countries reflect the variations between the two National Image - American revolution provides a clear image of how american came into being and what it means to be american - Canada has evolved gradually and slowly so its defining aspect is tradition and convention - Canadians define themselves as what they‟re not: Americans. They are the oldest un- americans without a touch of anti-americanism - Conception of what Canadians thought was good about Canada and bad about US influenced their values and behaviours - The stressing of high culture in Canadian schooling, as opposed to practical subjects, influenced the content of education - However both countries followed the western norm of greater acceptance of welfare, egalitarianism, decline in religious commitment, smaller nuclear families, increase in educational attainment, greater role for government, continued economic growth, higher standard of living, more leisure, increased longevity, growing urbanization, and a shift to tertiary and information industries. - differences between western countries are slowly disappearing due to the diffusion of values, comparable economic changes, and development of rapid transportation and communication Lipset: Continental Divide By: Alex Le Heeralal Revolution & Counterrevolution  *****CANADA & USA DIFFER IN ORGANIZING PRINCIPLES  CDA rooted in history while USA is rooted in ideology –Winston Churchill  Canada, nationality is related to community, can’t become un-English, USA those who reject American values are un-American  ***************There is a cultural difference between CDA & USA; culture as defined by Geertz ―culture is a historically transmitted pattern of meanings embodied in symbols, a system of inherited conceptions expressed in symbolic forms by means of which men communicate, perpetuate , and develop their knowledge about the attitudes toward life‖  The American Revolution produced two nations: Canada & USA  USA celebrates severing ties with UK, triumph of the people and the creation of a new government.  CDA commemorates/recognizes its roots in UK as a colony and attempt to preserve it through gov’t with power derived from the monarchy and the church (Canada as a constitutional monarchy) Historic Schools of Thought  USA {Whig Libertarian; distrust of the state, emphasis on egalitarianism, populism, all backed by a strong religious tradition  CDA {Tory Conservative; accept the need for strong state, respect for authority, backed by hierarchically organized religions ----------------------------------------------  Canada was formed as a counterrevolutionary monarchical society that valued hierarchy in class relations and religion and authority and deference (passivity) in politics; essentially very traditional and held true to UK’s ideals  USA for revolution in hopes of attaining political and religious ideals that emphasized liberty, saw danger in concentrated gov’t power (hence separation of powers with the legislative and the executive systems), populism (―the people‖ against ―the elite‖) and equality of opportunity and of social relations; essentially rejected the old ideals from the UK  ―American Creed‖ antistatism, individualism, populism, egalitarianism  Anti-statism= against having a state with too much power, Individualism= concern for rights of the individual over the community, populism= ―the people‖ against ―the elite‖, egalitarianism= equality  **Egalitarianism according to Lincoln was the ―American political religion‖— American independence based on equality, would later lead to abolishment of slavery  Canada is more class-aware, elitist, law-abiding, statist and collectivity/group oriented  Canadian Charter of Rights and US Declaration of Independence similar in protecting the rights of the individual + acceptance of judicial supremacy  USA may have separated Church from the State, but the country itself had a history of a stronger sense of Calvinistic Puritanism than the UK and its other colonies.  Methodist & Baptist denominations and doctrines lead to Arminian belief which emphasized the personal attainment of grace embodied in ―doctrines of free-will, grace, and unlimited hope for the conversion of all men‖ –this gave hope and faith to the American people in their country through religion especially; emphasized that righteousness would be rewarded on earth and in heaven (in a way, similar to Protestant Ethic; strive for the good life on earth, work hard, give self to god, attain good life in heaven)  MeritocracyUSA economy had market freedom, individual ownership of land, higher wage-income structure, with a laissez-faire policy (no gov’t intervention)  USA prefers little to no gov’t intervention because of their conservative tradition in distrust for the state; what the state could give, the state could also take away and so the working man was left to fend for himself. Americans also highly oppose taxes for this reason  CDA saw that monarchy promised the best form of ―guaranteed liberty and freedom‖ –John Conway. Canadians believed that US saw more political intolerance (repression of minority opinion). Canada also saw less of ―moral entrepreneurs‖ who would advocate for a cause by appealing to people’s emotions, sometimes causing an uproar in political intolerance (demagogism)  CDA & USA also differ in terms of state dis/trust; US citizens anti-statist less likely to call on the gov’t to intervene economically whereas CDN citizens who are statist have direct gov’t involvement in the economy  USA prefers small governmental units over large ones and have the separation of powers to ensure that the gov’t’s power isn’t too powerful (like what they saw historically under their rule from the UK)  Growth in power, in USA, for the state means loss of freedom for the people  CDA the state was needed to help citizens survive the land and climate.  In USA only the law is sovereign, USA seen as stateless as if the state had no power; lawyers primarily brought about social change; differs in Canada where people lobby the gov’t and the gov’t brings about social change  USA emphasizes equality of opportunity whereas CDA emphasises equality of outcome  USA opposes socialism so much that it would sooner be anarchic  USA has uses more populism via referenda than Canada with the exception of the Quebec Referendum where Quebec voted directly either for or against QB separatist movement  Canadian political parties are stronger and elections/campaigns are more focused on parties than the individuals. In USA, it is the opposite; weak parties, with more of a focus on individuals running for office—ironically populism in USA = less voter turn out in comparison to Canada  ******Canada is concerned with group rights and equality of outcome vs. USA concerned with rights of the individual and equality of opportunity  Although USA is the wealthiest country in the world, it has the highest amount of its population living in poverty; ranks last among 10 countries (Canada included) in terms of equality of income distribution—with this inequality comes differences in crime rate, number of slums (higher number in USA than Canada)  Although Canada is a constitutional monarchy, it still gained independence as a nation; BNA Act in 1867 and patriation of the constitution in 1982 (TRUE independence from Britain)  Canada demands a STRONG state; differences in USA & Canadian attitudes— USA more pushy, Canada is more laid back—but these differences come from contrasts in political systems, geography and population  Canada has a parliamentary system with The House of Commons & Cabinet (executive) that can push the HC around whereas USA has presidential divided powers where executive must negotiate with the house of Congress  In the end, both moved towards greater acceptance of communitarian welfare and egalitarian objectives, decline in religious commitments, smaller nuclear families, an increase in educational attainment, greater standard of living, continued economic growth, growing urbanization and growth in technological and informational fields  USA found freedom in the Revolution, Canada found freedom in ―evolution in allegiance, tradition and convention‖  Canadians define themselves as ―Un-Americans‖  USA identity is about the American dream, USA celebrates the history/mythology is created for itself; the revolution, the Declaration of Independence, and Civil War in which they freed the slaves Us and Them: The Enduring Power of Ethnic Nationalism Jerry Z. Muller Summarized by: Minh To There is an enduring power of ethnic nationalism, and Muller sees this as a source of conflict The Americans view ethnonationalism discomforting, and this is a product of culture Immigrants usually come to the United States and try to adapt to the culture Those who have lived in nations for very long periods of time, as well as their ancestors may turn their political beliefs into an ethnic form Nationalism = Conflict Ethnonationalism has shaped the world and plays a powerful role in modern thinking There are two ways of thinking about national identity 1) All the people who live within a state’s border are an essential part of it. This belief ignores people’s ethnicity, race or religion. Most people of America believe in this ideology. (This is a liberal point of view) 2) Nations are defined by a shared heritage, such as a common language, faith and a common ethnic ancestry. Most people of Europe believe in this ideology. (This is a ethnonationalist point of view) Ethnonationalism created bonds between the individual and the government, but it weakens individual traditional bonds, such as the family, guild, and the church Military competition demanded for resources and economic growth Economic growth depended on mass literacy, as the economy continuously demanded for more educated and intelligent workers, so those who wanted to move up had to be literate. However some groups were more privileged than others due to their lineage and economic and political welfare. The demand for literacy induced conflict over language and communal opportunities, as some were luckier than others. The Nazi regime attempted to reorder the ethnic group, and what they believed to be correct. The extermination of the Jews because the Nazis felt that they were inferior After defeat of the Nazis, you should start to see ethnonationalism to die, but it did not. It persisted throughout the world Germans were expelled from non-German countries, because the other nations felt that ALL Germans were evil Even the liberal leaders believe that the expulsion of “undesired” people was required. This shows how powerful ethnonationalism persisted. Liberal leaders are generally supposed to be fair and egalitarian, but even they fell under the spell of ethnonationalism Deportation was very common in Europe in the post-WWII era Ethnonationalism has also had unifying factors, as it created peace and unification within the European nations Ethnonationalism is predicted to be seen in nations that are modernzing Ethnonationalism will remain for many years to come, Muller predicts So in the end, what is Ethnonationalism? It is the belief that one’s ethnic group or that of a nation is more superior to others. Ex. If you’re French, an enthnonationalist French person would believe that France and the French are superior to others. January 16, 2012 Rwanda in Retrospect A Hard Look At Intervention Foreign Affairs 79.1 (Jan-Feb 2000): Pg94 Summarized by: Francis Scherer Two Basic Principals that have been the general consensus of Washington Policy makers are: o First, U.S. ground troops generally should not be used in humanitarian interventions during ongoing civil wars. o Second, an exception should be made for cases of genocide, especially where intervention can succeed at low cost. - It is thought that at the beginning of the conflict that resulted in genocide, if sum 5000 US troops were deployed it may have prevented the conflict from even occurring in April of 1994 - The hard truth is that even if a large force was deployed at the first reports of the attempted genocide not even half the ultimate victims would have been saved Prelude to Genocide - Tutsi were the dominant political party, a group that once made up apx 17% of the population - Other groups were the Hutu and the Twa, pre conflict they all lived intermingled - 1959 the Hutu in a violent struggle seized power and the remaining Tutsi fled to neighboring states - Within the Hutu there was more division: geographic separation of the Central and South being one party (the PARMEHUTU, the party that assumed power first) and the other in the North West. - During the first Decade of power the Tutsi made many attempts to regain power resulting in the massacring of the domestic Tutsi people at the hands of the Hutu - 1973 the Northwest led by Juvenal Habyarimana assumed power. This assumption of power although disapproved upon by the central and southern Hutu and the Tutsi at large, was able to maintain peace for the 15years that followed. - October 1990, this peace began to unravel - Rwanda Patriotic Army (RPA) Rwanda Patriotic Front (RPF) - The skilled and experienced RPF along side the RPA were able to create inroads against Habyarimana, These inroads along with pressure from the international community were able to persuade Habyarimana to share power in the Arusha accords in August of 1993 - After this conflict the UN stepped in with the formation of the U.N Assistance mission for Rwanada (UNAMIR) - Extremist on both sides were dissatisfied (Shocking…) and civil unrest was starting to become evident starting with political corruption th - On april 6 1994 Habyarimana’s plane was shot down (mysteriously) and this resulted in the GENOCIDE plan being put into motion immediately - The next day there was hostel acts of violence towards the Tutsi people forcing them out of their homes and into common gathering areas (churches, schools, hospitals etc…) - In the beginning the Hutu were poorly armed and more easily fended off with simple means - A blockade was put in place to prevent the Tutsi from fleeing - The speed of the genocide could be the fastest in recorded history with in the first 2 weeks (by April 21) the majority of the Tutsi gathering sites were destroyed along with the residents of the sites - 2 factors that retarded the pace of the Genocide: o 1. The Hutu generally regressed from large scale massacres when there was the presence of international observers o 2. Tutsi led rebels were able to generally prevent large scale massacres at certain prefects of the Hutu, that and most of the Tutsi in the Northwest population fled in the early stages of unrest th - By April 29 the genocide was almost completed - Over the next two and a half months the remaining Tutsi people were slowly exterminated until the rebels military victory and the belated French-led intervention - In the end more then ¾ of the Tutsi population was killed The Knowledge Gap - The US viewed the conflict in Rwanda as of little strategic value thus placing little importance in intervening in the civil conflict - As a result of little importance placed on the conflict its is suggested that president Clinton could not have known about the genocide until apx April 20 th - There are 5 aspects that lead to this lack of proper and accurate communication with the international community: o 1. Violence was depicted by the media as a two sided civil war (that the Tutsi were winning) instead of an attempted extermination of a people o 2. The reports on the violence were that the conflict was diminishing when it was actually accelerating (all these false reports were most likely a result of most if not all foreigners had left by this point including journalists) o 3. The initial death reports were grossly under estimated and did not imply genocide implications o 4. Most of the reporting was done on Kigali which is a small city and failed to provide light on the situation on a broad scale. This is a result of the Hutu’s concealment and the evacuation of foreigners from the countryside. Not until April 25 did the foreign media begin to accurately report the actual events taking place and the possibility of genocide. o 5. Not until the end of the second week was there ‘credible reports from knowledgeable observers’ that prospected genocide. th - It took until May 4 for anyone (being the Pope) to label the events as genocide The Military Scene - At the time of Habyarimana's death the military situation was limited. Few militias of Hutu or Tutsi had any real artillery or motorized vehicles. A hollow shell of force. - UNAMIR’s presence was limited to 2,500 peace keeping soldiers that were limited to the Capital Kigali and the demilitarized zones - On the first day of battle ten Belgian peacekeepers were executed trying to protect the prime minister of the opposition. - In just 3 months the rebels capture most of the country until announcing a cease fire on July 18 th - Starting in late April reports of genocide were starting to reach the outside world. This spurred public out-cry and the insentive for the UN to beef up its UNAMIR to what was called ‘UNAMIR II’ however the UN was unable to secure enough troops and thus the security council authorized the French to lead their own intervention ‘Operation Turquoise’ Potential US Intervention - 3 levels of military Intervention analysis: o 1. Maximum: Use of any force required to halt conflict immediately o 2. Moderate: halts large scale killings and without deploying troops to areas of ongoing civil war in order to reduce US military casualties o 3. Minimal: Air power only - 40 days is the approximate time it would take to set up the Max size US force inside Rwanda after the orders to do so were given - Advanced units would only have take 4 days to be operational - There is speculation that as soon as there was the presence of the US force in Rwanda that the genocide would have ceased - Moderate Intervention in this case is speculated to have been capable of saving roughly as many lives as max A Western Failure Of Will - The claim of the Human Rights Watch: believed that the mere threat of the Western intervention would have put a halt to the killings - There are reports that the UN had Three months advanced notice on the genocide and could have deployed raids on weapons caches. The so called ‘genocide fax’ of Jan 11 , 1994. Where extremist planned to provoke a civil war. - The evacuation of foreign nationals is thought to have be able to contribute to the restoration of order in Kigali if executed properly - If there was order in Kigali it is thought that there would have been no genocide at all - If UNAMIR had been reinforced in the weeks leading up to the outbreak of war, under the influence of the possibility proposed by the ‘genocide fax’ that actual genocide may have been adverted - - In summation, there was a desire for more US quality troops to be deployed into Rwanda and Kigali, however it was a costly procedure and a timely one that was acted upon to late. Lessons - Intervention is not a substitution for Prevention - Tragically international and diplomatic efforts in Rwanda prior to the genocide we not only ill conceived but counter productive as well - Policy makers need to be more apt at predicting/anticipating foreign actors see the warring signs - Not to threaten and convince rulers to submit power based on economic sanction or bombing. If this is done there needs to be a closer watch and a higher alert to civil unrest in that country to follow - There is a need for better on ground intelligence to alert powers (the US) in order to save time and quickly respond in times of crisis POL101 How the West Got Rich January 23, 2012 “The Protestant Ethic and Spirit of Capitalism Chapters 1,2 and 5” By: Weber Summarized by: Chris Somos-Stroutzas CHAPTER 1- Religious Affiliation and Social Stratification  Business leaders and owners of capital, as well as skilled labor, and technically and commercially trained personnel of modern enterprises, are overwhelmingly Protestant.  Weber argues that this phenomenon may be explained in terms of historical circumstances; however, he believes that to a certain extent it appears to be the result of religious affiliation.  The majority economically developed towns, with lots of natural resources, went over to Protestantism; this led to the benefit of Protestants in the struggle for economic existence.  The emancipation from economic traditionalism appears to be a factor, which would greatly strengthen the tendency to doubt the sanctity of tradition.  Weber states that the rule of the Catholic Church was a lot more tolerated by the people in his time that were of modern economic character, and it was born by the turn of the 15th century. - He states that for most people, including himself, the rule of Calvinism would be unbearable from ecclesiastical control of the individual that could possibly exist.  Historical argument: The Protestants’ greater participation in modern economic life may have been understood as a result of the great material wealth they inherited.  The percentage of Catholics among the students and graduates of higher educational institutions in general lagged behind in proportion to the total population and Protestants.  More young than Protestant that Catholic men engaged in factory work, because Protestants were attracted to a larger extent into the factories in order to fill the upper ranks skilled labor and administrative positions.  According to Weber, Protestants, both as majority and minority, showed a special tendency to develop economic rationalism that cannot be observed to the same extent among Catholics.  WEBER’S MAIN POINT: The principle of explanation of this difference must be sought in the permanent intrinsic character of their religious beliefs, and not only in their temporary external historic-political situations.  Superficial analysis: -Catholicism: the greater other-worldliness of Catholicism, the ascetic character of its highest ideals, must have brought up its adherents to a greater indifference toward the good things of this world. - Protestantism: it is used a criticism of the ascetic ideas of Catholicism; while the Catholics answer with the accusation that materialism results from the secularization of all ideals through Protestantism. “The Protestant prefers to eat well, the Catholic to sleep undisturbed.”  Protestants in Germany, according to Weber, were absorbed in worldly economic life, and their upper ranks were most indifferent to religion Similar to the circumstances in France, where Catholics were in the lower ranks and greatly interested in the enjoyment of life/protestants were in the higher ranks and were hostile to religion.  Their traits are characteristic of many of the most important Churches and sects in the history of Protestantism. This was especially true for Calvinism (has shown traits of piety and capitalistic business sense).  Gothein  calls the Calvinistic diaspora the seedbed of capitalistic economy.  But not all the Protestant denominations seem to have had an equally strong influence in this direction. - Ex: Calvinism, even in Germany, seems to have promoted the development of capitalism, much more than Lutheranism. - Ex: Quakers and Mennonites- Connection of a religious way of life with the most intensive development of business acumen among those sects whose otherworldliness is proverbial as their wealth. - Ex: Pietists- combination of intense piety with just as strong of a development of business acumen.  The spirit of hard work, which is often ascribed to Protestantism, is not to be understood as the joy of living nor in any other sense connected with the Enlightenment.  The old Protestantism of Luther, Calvin, Knox, Voet had precious little to do with what today is called progress.  Certain expressions of the old protestant spirit and modern capitalistic culture is to be found in its purely religious characteristics, and not alleged materialistic or anti-ascetic joy of living. CHAPTER 2- The Spirit of Capitalism  In this chapter, Weber mostly gives historical examples of the differences between traditional and modern capitalist societies, and he also illustrates how the ethos of modern capitalism are irrational.  The spirit of capitalism, according to Weber, is not so much a historical concept, as it is a religious one.  It is very difficult to define the Spirit of capitalism; it must be gradually put together out of the individual parts, which are taken from historical reality to make it up.  For the purpose of this study, it is important to note that other standpoints would, for this as for every historical phenomenon, yield other characteristics as the essential ones.  In this case, there cannot be a clear conceptual definition of the term, but only a provisional description.  What is here preached is not simply a means of making one's way in the world, but a peculiar ethic. - The infraction of its rules is treated not as foolishness but as forgetfulness of duties. - This ethos, or ethic, is what is of interest to Weber.  Although Capitalism was present in, for example, China (it lacked the ethos/ethic Weber is interested in), he specifies that he is studying the spirit of modern capitalism-Which is found in American and Western capitalism.  Benjamin Franklin (a major capitalist)  virtues, like honesty, are only in so far virtues as they are actually useful to individuals. It is a conclusion, which is inevitable for strict utilitarianism.  Franklin ascribes his utility of virtue to divine revelation that will lead him to righteousness. Franklin’s ethic/ Protestant ethic: make more and more money, without enjoying life/ devoid of eudemonistic admixture. - Making money is thought of purely as an end in itself (in terms of happiness). - Man is dominated by making money; economic acquisition is no longer subordinated to man as the means for the satisfaction of his material needs. This reversal of what we should call the natural relationship, so irrational from a naive point of view, is evidently as definitely a leading principle of capitalism as it is foreign to all peoples not under capitalistic influence. - It expresses a type of feeling that is closely related with certain religious ideas, like the Calvinist ideals.  The conception, that an individual feels a certain obligation towards his/her professional occupation, has not only under capitalistic conditions. - Weber’s historical explanation of the spirit of capitalism is that capitalism educates and selects the economic subjects that it needs through a process of economic survival of the fittest.  According to Weber, the spirit of capitalism was present before capitalism itself.  Weber distinguishes the spirit of capitalism from those who submitted to capitalism without reserve as an uncontrolled impulse. - Ex. At all periods of history, wherever it was possible, there has been ruthless acquisition bound to no ethical norms whatever (like war and piracy).  Pre-capitalist society rational utilization of capital in a permanent enterprise and the rational capitalistic organization of labor had not yet become dominant forces in the determination of economic activity.  The most important opponent capitalism has had to go up against was traditionalism. -See examples of traditionalism, in terms of employment wages) on page 7,8 and 9  According to Weber’s theory: labor must be performed as if it were an absolute end in itself, a calling. But such an attitude is by no means a product of nature. It cannot be evoked by low wages or high ones alone, but can only be the product of a long and arduous process of education.  The chances of overcoming traditionalism are greatest on account of the religious upbringing.  The rising strata of lower industrial middle class represented the spirit of capitalism and not the commercial aristocracy.  The management, for instance, of a bank, a wholesale export business, a large retail establishment, or of a large putting-out enterprise dealing with goods produced in homes, is certainly only possible in the form of a capitalistic enterprise; however, they may also be carried out by a traditionalistic spirit.  Traditionalistic business one considers the spirit which animated the entrepreneur: the traditional manner of life, the traditional rate of profit, the traditional amount of work, the traditional manner of regulating the relationships with labor, and the essentially traditional circle of customers and the manner of attracting new ones. All these dominated the conduct of the business, were at the basis of the ethos of this group of businessmen. - The idyllic state collapsed under the pressure of a bitter competitive struggle, respectable fortunes were made, and not lent out at interest, but always reinvested in the business. This was due to the spirit of MODERN capitalism.  One is tempted to think that these personal moral qualities have not the slightest relation to any ethical maxims, to say nothing of religious ideas, but that the essential relation between them is negative.  That is in fact the only possible motivation, but it at the same time expresses what is, seen from the viewpoint of personal happiness, so irrational about this sort of life, where a man exists for the sake of his business, instead of the reverse.  The pre-capitalists would find modern capitalists to be totally irrational because they make life work their sole purpose, without enjoying any of their wealth.  The conception of money-making as an end in itself, to which people were bound, as a calling, was contrary to the ethical feelings of whole epochs.  According to Weber, it might seem that the development of the spirit of capitalism is best understood as part of the development of rationalism as a whole, and could be deduced from the fundamental position of rationalism on the basic problems of life. In the process Protestantism would only have to be considered in so far as it had formed a stage prior to the development of a purely rationalistic philosophy. - But it evident that such a simple way of putting the question will not work, simply because of the fact that the history of rationalism shows a development which by no means follows parallel lines in the various departments of life.  Weber is interested in the origin of the irrational element that lies in this spirit of capitalism, as in every conception of a calling. CHAPTER 5- Asceticism and the Spirit of Capitalism  For Weber, Calvinism is the most consistent religious basis, out of all the Protestant movements, for the idea in question.  Baxter (Puritan Ethic): The moral objection is to relaxation in the security of possession, the enjoyment of wealth with the consequence of idleness and the temptations of the flesh, above all of distraction from the pursuit of a righteous life. - Because possession involves this danger of relaxation that it is objectionable at all.  Waste of time is thus the first and in principle the deadliest of sins. - Even the wealthy must work, even though they do not need the money. - God’s Providence, according to Protestantism, has prepared a calling, in which a person should profess and labor in.  According to Weber’s research, scholars such as Aquinas, stated that various social dimensions such different social strata and the division of labor were all a part of God’s plan and it was up to each individual to live out the roles assigned to them.  A man without a calling lacks the systematic, methodical character that is demanded by worldly asceticism.  In the Puritan concept of the calling the emphasis is always placed on this methodical character of worldly asceticism, not on the acceptance of the lot that God has irretrievably assigned to man (as seen in Lutheranism).  Quaker Ethic: also holds that a man's life in his calling is an exercise in ascetic virtue, a proof of his state of grace through his conscientiousness, which is expressed in the care and method with which he pursues his calling. - What God demands is not labor in itself, but rational labor in a calling.  According to Puritan belief, it is not bad if a person answer to more than one calling (if it is useful), now is it bad if they change their calling (if it is not thoughtless and made for a pursuing a calling more pleasing to God). Also, if God shows you a way to make more profit, and you deny it, God will get angry.  Wealth is thus bad ethically only in so far as it is a temptation to idleness and sinful enjoyment of life, and its acquisition is bad only when it is with the purpose of later living merrily and without care. - Even begging is considered a sin.  The emphasis on the ascetic importance of a fixed calling provided an ethical justification of the modern specialized division of labor.  Calvinism: conception of the absolute sovereign majesty, of God, beyond all human comprehension. Puritanism: it combined the certainty, which, though incidental for Calvin, came to be of great importance for them, that God would bless His own in this life and also in the material sense.  Basically, what Weber does for a couple of pages is that he shows how contemporaries writers have drawn the business-oriented ethics of the Puritans from the Bible’s scripture.  The Jews stood on the side of the politically and speculatively oriented adventurous capitalism; their ethos was, in a word, that of pariah-capitalism. But Puritanism carried the ethos of the rational organization of capital and labor. It took over from the Jewish ethic only what was adapted to this purpose.  The feudal and monarchical forces protected the pleasure seekers against the rising middle-class morality - The anti-authoritarian ascetic conventicles, just as today capitalistic society tends to protect those willing to work against the class morality of the proletariat and the anti-authoritarian trade union.  Enjoyment (such as sports for recreation, because Weber argue that sports can serve a purpose for health) which leads away both from work in a calling and from religion was as such the enemy of rational asceticism.  An education in science and technology was often not looked down upon, however, one in fine arts (in most cases) was. I.  The idea of a man's duty to his possessions, to which he subordinates himself as an obedient steward, was rooted from the belief that they should hold them undiminished for the glory of God and increase them by restless effort. - Found a basis in Protestantism - Restricted consumption and enjoyment.  They approved the rational and utilitarian uses of wealth, which were willed by God for the needs of the individual and the community. - They did not wish to impose mortification on the man of wealth, but the use of his means for necessary and practical things.  The ‘evil’ in possessions is the temptation that they hold.  The restraints that were imposed upon the consumption of wealth naturally served to increase it by making possible the productive investment of capital.  The influence of the Puritan outlook extended, under all circumstances was that it favored the development of a rational bourgeois economic life.  In many cases, these Puritanical ideals tended to give way under excessive pressure from the temptations of wealth.  The whole history of monasticism is in a certain sense the history of a continual struggle with the problem of the secularizing influence of wealth. The same is true on a grand scale of the worldly asceticism of Puritanism.  Wesley  Presented a historical dilemma, the more economic development increased, the less interest their was in the pursuit of a pious life.  Bourgeois economic ethic had grew “With the consciousness of standing in the fullness of God's grace and being visibly blessed by Him, the bourgeois business man, as long as he remained within the bounds of formal correctness, as long as his moral conduct was spotless and the use to which he put his wealth was not objectionable, could follow his pecuniary interests as he would and feel that he was fulfilling a duty in doing so.”  Calvin himself had made statement that only when the mass of laborers and craftsmen, were poor did they remain obedient to God.  The treatment of labor as a calling became as characteristic of the modern worker as the corresponding attitude toward acquisition of the businessman.  Calvinism opposed organic social organization in the fiscal-monopolistic form, especially in the conceptions of Laud, this alliance of Church and State with the monopolists on the basis of a Christian, social ethical foundation.  The Puritans repudiated all connection with the large-scale capitalistic courtiers and projectors as an ethically suspicious class. On the other hand, they took pride in their own superior middle- class business morality.  Since asceticism undertook to remodel the world and to work out its ideals in the world, material goods have gained an increasing and finally an inexorable power over the lives of men as at no previous period in history. - Weber The spirit of religious asceticism has escaped from the cage.  In this essay, there’s only been an attempt to trace the fact and the direction of its influence to people’s motives in one, though a very important point. - But Weber argues that it would also further be necessary to investigate how Protestant Asceticism was in turn influenced in its development and its character by the totality of social conditions, especially economic.  Weber concludes by saying that it is not his aim to substitute for a one-sided materialistic an equally one-sided spiritualistic causal interpretation of culture and of history. - Each, he says, is equally possible, but each, if it does not serve as the preparation, but as the conclusion of an investigation, accomplish equally little in the interest of historical truth. WEBER- THE PROTESTANT WORK ETHIC CHAPTER 1: Summarized by: Hadear Shaheen  Makes the argument that those of higher socio-economic status are “ overwhelmingly protestant” business leaders, owners of capital, those who practice higher grades of skilled labor, positions of ownership, management of economic life  Endeavours to provide a spiritualistic causal interpretation of culture and history from an economic perspective  Result affiliation is a result of economic circumstances  “emancipation from economic traditionalism”  Modern labour has an ascetic character  Ascetic: Characterized by severe self-discipline and abstention from all forms of indulgence, typically for religious reasons.  Economic Traditionalism: built on time-tested modes of exchange and commerce, such as agriculture and direct trade with community members and neighbors. According to EconomyWatch.com, 400 million people still use traditional economic systems, as opposed to contemporary systems such as the market economic system  Economic transformation is more rapid in protestant regions  How do we go about assessing the differences between protestant/ catholic economic advancement and success? By assessing the permanent intrinsic character of their religious beliefs and not only in their historico-political situations THE CATHOLIC CHURCH AND AUTHROITY  Control of the catholic church: “ very lax, at times, scarcely perceptible in practices CONTRIBUTING FACTORS TO ECONOMIC ADVANCEMENT  Inheritance  Education- weber identifies differences in the levels of education provided to catholic/ protestant children by their parents, protestants climbing higher in the academic ladders than catholics  “ catholics prefer the kind of training to which the humanistic gymnasium affords” – too few catholics are engaged in the capitalistic enterprise  “The type of education favoured by the religious atmosphere of the home and parental communities determine the choice of occupation and through it, the professional career” PURITANS ( protestants) CATHOLICS  Risk  Security  Interested in the enjoyment of life  Survival, sustenance vs. surplus  Reach higher ranks of education than  Paradise vs. wordly gains catholics do  Idea of interest that is prevalent within the  “ absorbed in worldly economic life” protestant ideology is viewed as a form of  Materialism usury with catholics and is therefore  Wealth is only dangerous as far as it immoral and unethical promotes the temptation of idleness and  Deem the acquisition of wealth as the “ sinful enjoyment of life” dangerous, never-ending temptations, the pursuit to wealth is senseless compared to  Impulsive enjoyment of life leads one to the pursuit of reaching the kingdom of god deviate from the responsibilities of work in their calling and therefore distances them from god  Hazardous to spend money on anything that does not serve the glory of god on earth  Acquisition of wealth and goods is not only legal, but seen as directly willed by god  Condemnation of the [pursuit of riches for one’s own sake ]= bad  The attainment of wealth as a fruit of labour = good PROTESTANTS:  The promotion of trade  Sir William Petty “ Calvinistic diaspora the seedbed of the capitalistic economy”  Calvinism most strongly promotes the development of capitalistic enterprise  Throughout history, despite animosity toward the protestants, they were regarded as essential to industry and economic growth Montesquieu on England and the Protestants: ( The English) “ had progressed the farthest of all peoples of the world in three important things: in piety, in commerce, and in freedom” Weber suggests that there is a correlation between their piety ( religious convictions) and the freedom of their political institutions CHAPTER 2: WEBER- THE SPIRIT OF CAPITALISM:  Attempts to offer not a conceptual definition, but a provisional definition of what is meant by the spirit of capitalism The Spirit of ( Western) Capitalism & obstacles  Interest  Good credit ( assured by honesty)  Punctuality and justice in financial dealings  Frugality  Consciousness of income in relation to expenses  All the above are useful because they ensure economic wellbeing  Strict avoidance of spontaneous enjoyment of life – rejects idea of hedonism  Acquisition of more and more capital, money  We all have “ callings” that we must pursue  Increase the productivity and efficiency of human labor  Acquisitive instinct – obstacle 1  A developed sense of responsibility concerning labour – the feeling of obligation to one’s job  Labour must be performed as if it were an absolute end in itself, a calling, without regards to comfort, gain – obstacle 2, as this idea is not a product of nature—this mindset can only be gained through a long socialization process, ( economic) education, it cannot merely be motivated by the prospect of higher wages etc.  “attitude which seeks profit rationally and systematically”  The principle of rationalization: those who do not follow suit ( comply with modern capitalistic practices) go out of business  Competition  Earning, not consuming  Dedication to business  “the ability to free oneself from tradition, a sort of liberal enlightenment, seems likely to be the most suitable basis for such a business man’s success”  Avoidance of unnecessary expenditure  Save vs. spend  Devotion to the calling of making money – money making as a goal in and of itself  “ labor for the provision of humanity with material goods”--- one of the most important purposes of protestants’ life work ECONOMIC TRADITIONALISM  The economy of needs  Working only enough to sustain yourself  Manner of life, rate of profit, amount of work  Survival and sustenance  Leisure  Spend vs. save  Remember, when discussing the spirit of capitalism, this article is limited to western capitalism, it must not be forgotten that capitalism existed in China, India, Babylon etc.  Goal: increase in capital  the earning of money, so long as it is done legally is the product of virtue and proficiency in a certain calling  Economic survival of the fittest  Argues that the spirit of capitalism existed before capitalistic order  The spirit of capitalism was meant by hostile forces  Capitalism can only operate when business people are honest and labourers are disciplined— the people must submit to such manners or operation for a successful capitalist system to flourish—protestants saw this as a natural impulse as opposed to a policy to abide by Pre Capitalistic Labor, Traditionalism and Obstacles to modern Capitalism  Traditionalism: See Piece Rates example—I.E a man by nature doesn’t wish to earn more and more, he just wishes to earn enough to sustain himself, to live as he is accustomed to live, however, Protestantism is about the pursuit of surplus  Pieter de la cour “ people only work because and so long as they are poor”  “ the presence of a surplus population which it can hire cheaply in the labour market is a necessity for the development of capitalism”  Satisfaction of needs vs. acquisition  Acquisition: the struggle for profit free from the limits set by needs  Traditionalism: the economy of needs  Germany: those who express the spirit of capitalism tend to be hostile to the [catholic] church  Providing for themselves and their families on earth vs. paradise  “ whoever does not adapt his manner of life to the conditions of capitalistic success must go under, or at least, cannot rise”  Correlates the development of capitalism to the development of rationalism as a whole CHAPTER 5: ASCETICISM AND THE SPIRIT OF CAPITALISM: WORK, PIETY AND THE PURSUIT OF A CALLING:  Possession of wealth can connote idleness  On earth man must “ do the works of him who sent him, as long as it is not his day yet”  Glorify god on earth through work, via pursuing your calling  Work is seen as the active performance of the will of god on earth  Baxter’s principle of work: “continually repeated, often almost passionate preaching of hard, continuous bodily or mental labour”  “ he who will not work, will not eat”  Even those who are wealthy should not cease to work. Work and pursuing one’s calling is not solely for the purpose of the acquisition of wealth, but for the purpose of fulfilling god’s will on earth  The division of labour, the separation of classes is a direct result of divine will – the division of labour also allows for improvement in production and thus serves the common good—utilitarian aspect of Protestantism  A man’s life in his calling is proof of grace through his conscientiousness- economic activity is nearly part in parcel of an individual’s character  What god demands is not labour itself, but rational labour in its calling – the calling has to be pleasing to god ( i.e an activity that allows you to be the most efficient and productive on earth) PURITANISM:  Rational organization of capital and labour  All activities ( even sports) had to be accompanied by a degree of rationality- Puritanism is about purpose, that all activities in one’ life have to somehow contribute to their productivity/ efficiency in their calling  “ … the religious valuation of restless, continuous, systematic work in a wordly calling, is the highest means to asceticism and at the same time, the surest and most evident proof of rebirth and genuine faith”  The accumulation of capital through the ascetic compulsion to save PURITANISM AND THE ECONOMY:  The secularization of the influence of wealth  “The power of religious ascetism provides a businessman with sober, conscientious, unusually industrious workmen who cling to their work as to a life purpose willed by god”  Religious devotion= productivity of labor  Treatment of labour as a calling becomes characteristic of the modern worker th  The above is what sir William petty attributes the economic success of Holland in the 17 century to  Middle class life and asceticism go hand in hand  Asceticism and modern economic order  Since asceticism undertook to remodel the world and to work outfits ideals in the world, material goods have gained an increasing and finally an inexorable power over the lives of men as at no previous period in history  the pursuit of wealth, stripped of its religious and ethical meaning, tends to become associated with purely mundane passions” PROTESTANTISM AND SINNING  Greatest sin is the waste of time, lack of productivity  loss of time through sociability, idle talk, luxury, more sleep than necessary  “ every hour lost is lost to labour for the glory of god”  January 30, 2012 Barbie and the World Economy LA Times, September 22, 1996 Summarized by: Janelle Lozano  Article traces production path from Mideast oil field to the toy store and significance of trade  It’s meant to highlight the inequitable distribution of the world economy  China is mostly exporting cheap labor but there is much more than just that to take into consideration when seeing the label “Made in China.” For example: values, energies, labor and nationalism are failed to be incorporated when a product is labeled from China.  “the traditional model for calculating trade relations is no longer valid” – Appadurai  An efficient market, calls for efficient productivity and a global division of which state is comparatively advantaged  People only want to buy quality products  This is why different parts of the Barbie doll are being produced in different nations across world. (e.g. Taiwan produces Barbie’s body, Japan her nylon hair & U.S. supplies cardboard packaging)  The division of labor between these Asian countries has contributed to China’s increase in wealth and trade but exploits their citizens and stunt’s their development  China values the production of their exports rather than the consequences of their national, racial and ethnic disparities.  It is assumed the China makes more than the United States through it’s exports but this claim is false. Mattel’s profit is in fact three time’s China gets from each Barbie.  However, China depends on the United States because without them there would be a limited market for people who will go to China for the products they produce  The ‘Barbie Doll’ is only made profitable and in demand because of the way the Chinese government intervenes to keep their labor cheap  All machinery and tools, including the plastic mold used to produce toys are imported from different countries like Japan and Europe. In reference to Barbie, mostly all materials used are shipped in.  Majority of the time, China only supplies factory space, the labor and electricity.  75% of products exported are “processed products” where raw materials are shipped from different countries.  The wages of China’s toy maker ranges from $30-$40 a month  A typical Barbie requires many different jobs to manufacture it including 15 separate paint stations. This is why it is significant to China to turn to cheap work force for the labor  On average, workers are usually between 18 to 23 from the Sichuan province and will become a labor worker in a factory for two to five years.  In this case, because of the work needed from the citizens, some rural areas are allowed two children instead of China’s general “one-child” family policy.  To summarize, China would not be in it’s position right now (in regards to global trade) if it weren’t for their comparative advantage their government created and their cheap exploitation of labor. Without the two, the United States, along with the other countries would have to look elsewhere for a better Country that will be more beneficial to their trade market. Political and cosmopolitical economy – Friedrich List: Summarized by: Samantha Quan  Before Quesnay and other French economists, there was only a practice of political economy in which state officials, administrators and authors who wrote about administration only cared about the situation in the states that they were living in and not that of the whole world.  Quesnay imagined the merchants of all nations forming one commercial republic -Cosmopolitical economy: the science that teaches how the entire human race may attain prosperity -Political economy: science which limits its teaching to the inquiry of how a given nation can obtain (under the existing conditions of the world) prosperity, civilization and power, by means of agriculture, industry and commerce  Adam Smith supports the cosmopolitical idea of freedom in commerce but he doesn’t consider the reality of the world -unlike Quesnay, Smith does not consider true political economy, which is what individual nations must do to achieve their own economic goals.  Adam Smith’s “The Nature And Causes Of The Wealth Of Nations”, speaks only of the various systems of political economy as a means of stating their inefficiencies and in promoting cosmopolitical economy. -perpetual state of peace is what is attained in his writings of a cosmopolitical economy -dislikes state intervention in achieving public prosperity, thinks that all that is needed is fair administration, bearable taxation and peace  J.B. Says in a way agrees with Smith and contemplates a universal republic in commercial intercourse -he says that having someone to regulate trade is considered private economy and not public economy but the former has intentions for the good of whole nations, and so it constitutes as public economy  List says that Says recognizes national economy or political economy under the name economie publique, but he doesn’t specifically elaborate on political economy that much –Says also only mentions it as possessing a cosmopolitical nature that stands for the interests of all nations -Says neglects to consider the separate national interests of individual states -List states that Says has coined the wrong terminology for his descriptions of political economy -Says neglects major points which causes him to overlook crucial flaws in his definition  Thomas Cooper agrees with Smith by saying that nations are just the creation of humans and in reality, are non-existent  True political economy or national economy: coming from the idea and nature of the nation, teaches how a given nation in the present state of the world and its own special national can maintain and improve on its own economical conditions  Cosmopolitical economy: originates from the assumption that all nations of the world form one society that lives in perpetual peace -In what was stated by Smith, Says, Cooper and others, a universal union will promote everlasting peace, which in turn justifies free trade -individuals are free to trade with whomever they want without any restictions * but List says that this is only ideal and not realistic due to the nature of nationalities and their present conditions. *furthermore, this type of world doesn’t even exist  List says that there has to be a political union in which perpetual peace is achieved before there can be a commercial union -but in reality, the idea of general free trade in a universal republic would most likely be that in which weaker states are subjected to the whims of more powerful ones.  The type of free trade envisioned by Smith and others, can only happen if almost all of the countries in the world have the same economic, political, and social levels and advantages. -national economy teaches nations how to do this Classic Mercantilism:  Economics is not separated from its political context but is instead considered an important means in enhancing state power.  Classical mercantilism has many strands and does not a unified theory  Hamilton and List don’t represent the golden age of mercantilism but they defend the core principles of mercantilism against the emerging liberal critique  Hamilton is most concerned with national economic development -His “Report On manufactures” lists his suggestions of public credit and a central bank to boost the economy of the US -He uses classic mercantilist arguments to support the growth of manufacturing -recognizes importance of agriculture but thinks that industry provides the dynamism to American economy, which will lessen the nation’s vulnerability to external forces -domestic market is a more reliable foundation upon which to build -national security is best served by a self-reliant and complex national economy *arguments center around the avoidance of economic dependence, which corresponds with earlier mercantilist thought -state must take active role in developing a manufacturing economy -government intervention can solve domestic obstacles such as inexperience and capital shortages -state must protect domestic industries and companies -Hamilton states that Smith’s vision is unrealistic, he then further suggests protectionist methods to increase American manufacturing interests *Yet Hamilton’s desire for a positive balance of trade and inflow of specie are not ends in themselves but results of a strong manufacturing economy  Hamilton draws on early mercantilist views(self-reliance and national security) but changes others (significance of trade surplus) -his economic policy views are similar to those of nations that haven’t fully developed in the twentieth century  Friedrich list operates more on a theoretical level -he talks about the invalidity of liberal conceptions -mentions that Smith and others have neglected the key point that the world is riven with pointed national interests, which conflict with the cosmopolitical view of stability and peace -the nation is the key unit of political-economic analysis (early mercantilism) -contends that protectionism is the key method for strengthening the economies of developing nations Political and Cosmopolitical Economy: Friedrich List Summarized by: Dilshad Jahan Cosmoplitical Economy- no government intervention in market economy/business. The idea is that, the world can gain prosperity and peace through all nations working together. According to cosmopolitic view, government intervention is uncessary and rather sets a limitation for the nation to obtain prosperity and power. He refers to Adam Smith (cosmopolitician): the nation needs nothing but minimal administrative order to maintain peace. There are three categories of economic interests which exist in a nation: private economy (interest of a family), public economy (interest of nation as whole or in relation to other nations) and political economy (interest of all naitons). List mainly extends more into Political Economy. One of the first advocates of “Free Trade”, Thomas Cooper suggests that the term “nation” holds no meaning, so the main idea of this article becomes clear that the necessity of unity of all human races is important to establish a successful “international free trade” which will allow every nation to obtain an equal distribution of economy. The more an individual, country or community obtains freedom in market field, the more they will gain wealth and the more in prosperity. List’s ideology of developed nation is through gaining self-sovereignty, one can learn to develop themselves and realize their own interests to be united with other developed nation and it becomes possible then to practice free trade. However, if everyone gains the ultimate financial goal and industrial society replaces human with machineries then it almost seems like the ultimate prosperity and peace List and Adam and Cooper talked of through self-sovereign or independent nation, it does not seem right. On the other hand, when a nation like Briton is enjoying the wealth produced by many other countries (asia, africa, Australia, etc) because it is an independent nation- who has the right to expand its power, it contradicts with cosmopolitic view under the political science: excluding foreign goods from local markets or using premiums; as Britain holds power over many countries, technically other nations are not independent and subjected to England. Imperialism as a Special Stage of Capitalism: V.I. Lenin Imperialism: the policy of extending one’s power or authority of government over foreign countries. It is characteristics of capitalism or in other words the practice of monopoly (transition from small capital to higher stage). There are two ways imperialism can take place: financial capital (bank capitalist with manufacturer’s capital) and territorial power. To understand the full meaning of imperialism five factors need be considered: 1. High production and capital led to possession of high stages of economic life 2. Combine bank capital with industrial capital 3. Distinction between export capital and export commodities. 4. Form of major capitalists who enjoys the major powers of monopoly 5. Territorial division among greater capitalists As lenin justifies his theory on imperialism through a comparison with Kautsky’s view: it is an advanced industrial capitalism that attaches big agrarians. This explanation is one sided and rather biased. He argues that, imperialism more has to do with Financial Capital that strives to obtain power over agriculture and high developed industries. Imperialism occurs because: a) Territorial division in this world encourages one to seek for more new divisions b) The conflict between major powers to obtain the ultimate authority The main characteristics of imperialism are that: 1. Completion of imperialists 2. Control over the merchants According to Kautsky’s explanation imperialism can take place without force or violence. However, Calwar proves this wrong. he organizes 5 big capitalist: central Europe, great Britain, Russia, Eastern Asia, and America. From this Germany, Great Britain and America are the major powers who struggle to fight for its hegemonic power. Imperialism always linked with violence and forces: various culture, economy and political conditions lead to this rivalry stage which proves Kautsky’s idea wrong. Not only that the great powers are struggling because new imperialists are emerging it puts all nations in competition to gain the ultimate dominance of all nations (which is related to cosmopolitic view, how nation’s main interest is to expand its wealth to gain prosperity till it can’t reach anymore). Classical Mercantilism: Hamilton: government intervention is necessary for the invisible hands of market. His ideas are surrounded around the nation economic development. It is important to grow the manufacturing to increase nation’s wealth. It’s worth realizing that it’s up to the nation to develop its status and organize its land that could be used in every productive ways. Moreover, a state policy can guide oneself to gain greater profit in market field those results in public prosperity. The manufacturing establishes different factors in the society: 1. Division of labour 2. Use of advanced and modified machinery 3. Additional employments- creates opportunities for minorities 4. Engaging locals in advancing or creating technologies 5. Creates mass diversified talents 6. Creation of new Enterprises 7. Creating and securing domestic surpluses It becomes important to secure and promote the manufacturing companies in domestic level as these are the ones which bring wealth to the nation. the main argument of point simply said it in this quote: “the interest of nations to diversify the industrious pursuits of the individuals who compose them—that the establishment of manufactures is calculated not only to increase the general stock of useful and productive labour; but even to imporove the state of agriculture in particular, certainly to advance the interest of those who are engaged in it” (pg41). Although in reality countries like United States struggles to gain commodities from other countries those limites them to manufacture or improve their agriculture; yes without government inetvention, industries can grow but soon will face these sorts of obstacles like U.S.A (such as: international relations). so to compete with other long established companies or to overcome struggles by the new investors, government policies can aid these manufacturers through premiums, grants, and other aids to help establish themselves; price increase on foreign goods, undersell domestic products, national grants on exported commodities, are some of the strategies that highlights the importants of government. The most essential goals of a nation is to obtain: wealth, independence and security that would help them to achieve all national supplies. Here are some of the government services created to secure domestic goods and increase the productivity: 1. To sell goods in cheap price 2. “PROHIBITION OF RIVAL ARTICLES” (didn’t know how else to explain in own words :$) 3. Securing cheap and massive supply for national workmen 4. Bounties for whole production of manufacturer or the industry and involves expenses 5. Premiums- generous gift but for specific work/tasks 6. Tax on developed industries 7. Withholding materials of manufacturings: a. Productive sources of revenue b. Raw materials that could be shaped or used in any way c. Production of country to furnish a cheap and plentiful supply to the national manufacturers 8. New inventions are encouraged 9. Policies to prevent from frauds or any criminal act 10. Easy access to raw materials 11. Easy facilities for transfer of commodities “PUBLIC MUST SUPPLY THE DEFICIENCY OF PRIVATE RESOURCES” where it lacks voluntary patriotism within a nation! Report on manufactures – Alexander Hamilton Summarized by: Samantha Quan  Hamilton says that American’s lack of success regarding external trade might be the incentive to start expanding domestically -which might help in promoting national independence and safety  Hamilton includes arguments made by others who are against government intervention is that business should be left to run its own course because it will automatically find its path and produce greater results  Hamilton includes arguments by others who are against the manufacturing industry. -Some argue that the manufacturing industry will benefit some people while others are at a disadvantage -people are better off working in agriculture because foreign countries can make even better products in the manufacturing industry -we can exchange our agricultural goods with the manufactured goods made by foreign industries -the argument is that the most certain source of national supply is agriculture  Hamilton disagrees with the above arguments because he thinks that agriculture can’t be considered the most certain method of producing profit. -he says that the manufacturing industry can help the agricultural industry by advancing it -but he doesn’t say that the manufacturing industry is better than the agricultural industry -manufacturing industry can help with the division of labour and produce effective or greater results  Hamilton lists the benefits of the manufacturing industry: 1) The division of labor -specialized occupations which can increase the total mass and revenue of a country -result in a more productive industry 2) Extension of the use of machinery -investment in machinery can help make products that are otherwise usually imported from foreign countries 3) employing other classes of the community that are usually not involved in business -provide extra man power -increase labour force 4) Promoting of emigration from foreign countries -larger job market will attract people from abroad and in turn increase labour force and industry 5) Furnishing greater scopes for the diversity of talents and dispositions, which discriminate men from each other -allowing people to be specialized and do what they are good at, which can produce great results in different areas 6) Affording a more ample and various field for enterprise -to cherish and stimulate the activity of the human mind by multiplying the objects of enterprise 7) Creating and generating more interest and demand for domestic market -accomplish this by promoting manufacturing industry -each country should produce what they are good at  Hamilton states that government intervention must take place to bring about effective change in an economic system because people are naturally reluctant to change -without government intervention, change might come much more slowly than expected  In order to have free trade, nations have to be on the same economic level and their products will have to have the same quality and price, which is very difficult and most likely impossible -this is very hard to achieve without government aid  Industries will also have to deal with the challenges of starting a new industry and any taxes on exports or imports bestowed by other governments -the role of government aid is very important here  By increasing domestic markets, domestic products will gradually become cheaper compared to foreign products (in which taxes apply)  Increasing industries along with agriculture will produce greater profits than to just focus on agriculture alone  The independence and security of a country seem to be materially connected with the prosperity of manufactures  All nations should aspire to have the essentials of national supply: substitence, habitation, clothing, defence  Principles for ensuring the economic welfare of a nation: 1) Protecting duties - or duties on foreign articles which are rivals to domestic ones intended to be encouraged -putting heavier duties on foreign products will enhance sales on domestic products of the same type 2) Prohibitions on rival articles or duties that are the same as prohibitions -ensure the success of domestic manufacture 3) Prohibition of the exportation of manufactures -desire to secure cheap resources that may not be native to a certain country 4) Pecuniary bounties -putting taxes on importing products 5) Premiums 6) The exemption of the materials of manufactures from duty 7) Drawbacks of the duties which are imposed on manufactures -normally, duties on materials of manufactures is usually discouraged -but there are exceptions 1) the material is used frequently, a fit and productive source of revenue 2) material can be used to make a new product 3) material is cheap because it is native to a certain country and can be supplied to other national manufacturers 8) Encouraging new inventions and discoveries 9) Fair regulations for the inspection of manufactured products -prevent fraud, preserve quality and reputation 10)Efficient money transactions from place to place 11)Facilitating of transportation of products February 6, 2012 Imperialism as a special stage of capitalism – Lenin: Summarized by: Samantha Quan  Imperialism emerged as the development and direct continuation of capitalism in general  Capitalism only became imperialist only during a very high level of development when its fundamental attributes turned into its opposites, when a period of transition from capitalism to a higher economic and social form also began to be revealed  Imperialism emerging from capitalism is to monopoly emerging from free competition  The main factor in the process of capitalist imperialism is the substitution of capitalist monopolies into capitalist free competition -free competition is another fundamental attribute of capitalism and of commodity production generally -but this did not happen because free competition then turned into monopoly  Monopoly is the opposite of free competition -large industries eliminating smaller ones -concentration of production and capital -monopoly came out of free competition and exists over and alongside it, which causes a lot of friction and problems  Monopoly is the transition from capitalism to a higher system  Imperialism is the monopoly stage of capitalism  Monopoly has caused the world to be completely divided up, causing the presence of economic and social elite  Definition of imperialism based on 5 essential features: 1) Concentration of production and capital that developed to such a high degree that it created monopolies which play a decisive role in economic life 2) Merging of bank capital with industrial capital, creates financial oligarchy 3) Export of capital becomes very important compared to the export of commodities 4) Creation of international capitalist monopolies that share the world among themselves 5) Territorial division of the world among international capitalist monopolies is now complete  Imperialism is a stage of development in capitalism in which the world is divided among big monopolies and capital has become very important  Kautsky disagrees with this definition of imperialism because he thinks that imperialism must not be considered a step in the process of capitalism, rather a policy -he thinks that this would mean that imperialism is a naturally necessary step towards capitalism -he thinks that imperialism should be defined as a product of a highly developed industrial capitalist nation in which it is the nation that strives to control more regions regardless of which other nation already controls it (annexation)  Lenin thinks that Kautsky’s definition is one-sided and incomplete -only considers nationality -only considers industrial capital  Lenin states that Kautsky’s definition is inaccurate because the characteristic feature of imperialism is not industrial capital but finance capital  With the example of France in 1880 onwards, the rise in finance capital and decrease in industrial capital created an annexationist policy  Characteristic of imperialism is that it not only wants to control agrarian regions but also industrial ones -the world is already divided up and what this means is that some nations will want to acquire any kind of territory -it also helps establish hegemonic rivalry (just to conquer more territory)  Kautsky’s definition is un-Marxian because he refers to contradictory elements as the same thing (economics vs political theory) -definition is more bourgeois reformist -later thoughts on “ultra-imperialism” departs more from Marxism  Lenin argues that Kautsky’s belief in gradual “ultra-imperialism” will only cause more problems in world economy instead of lessening them  R.Calwer: Introduction To World Economics -world divided into 5 regions of influence: Central Europe, Great Britain, Russia, Eastern Asia, America -3 highly developed capitalist states with 2 barely capitally developed ones * This is the counter-argument to Kautsky’s “peaceful ultra-imperialism” because this shows the economic and political disparity among the regions. *Finance capital is only increasing the differences between rich and poor countries. -These differences can cause countries to resort to violence as a solution  Struggle of world imperialism is becoming more acute as more overseas nations and colonies are growing rapidly under capitalism  Lenin thinks that disparities such as spheres of influence, development of productive forces, accumulation of capital and division of colonies, that occur under capitalism can only be resolved through violence. February 6, 2012 Feb 6 Reading: “Predatory, Developmental and Other Apparatuses" -- Evans “Predatory, Developmental and Other Apparatuses" --Evans Summarized by: Dalia Hashim Argument: the connection between differences in preformance is related to differences in state structure. Conclusion: the efficacy of the developmental state depends on a meritocratic bureaucracy with a strong sense of corporate identity and a dense set of institutionalized links to private elites. Intro: - the new villain in the corporate world is the state bureaucrat strangling entrepreneurship and burdening him with useless rents. - this change in 'villains' happened mainly due to the re-rise of the neoutalitarian state. Also due to the logic that the state is an impediment to development. - Analysis of such articles: 1. they begin by showing the arguments for the inclusion of gov in the ways of the market. 2. moves on to show that in 3rd world countries the involvement of state has been an impediment and cause of non- development. - Evans note: states come in all shapes and sizes you can't simply compare them. states might be exploitative of the market at times however, the degree varies thus the cause cannot be decided from a simple comparison. - Predatory states: states that exploit the surplus of the market and do not reinvest it thus inhibiting development. ex: Zaire - Developmental States: ones that promote development by reinvesting surplus and encouraging entrepeneurial behaviour. they might at times be rent seeking but not to the extent that impedes development. Ex: Japan and EA - Intermediary states: balance between predatory and developmental activities is not clear-cut but varies over time and depends on what kind of activities are attempted. ex: Brazil - using this spectrum it can be categorized what type of structure the state follows that corresponds with its position on the spectrum. - this is more practical than categorizing the state as inherently antidevelopmental institution. THE STATE AS A NEXUS OF EXCHANGE (considering neo-totalitarian arguments) - neoclassical: state is imp but only to protecting institutions and enforcing contracts. - neoutalitarianists decided that the negative effect of the state was too large and thus decided to apply the rules of indiv market optimization to the state itself. - public choice was the main theory that generated the power of the neoutalititarian argument however that vision lacked consideration for people's stupidity, traditional attitutedes or lack of expertise instead asummes rational maximization on behalf of the state. - incumbets provide political supporters w incentives in return for their support and this relation is the essence of the state. - this relationship is self reinforcing those in it are likely to become 'bigger' and have more power. as a result economic efficiency and dynamism will decrease. - as the involvement of the state is less this relationship is cut short and prospects for economic growth can be enhanced. - in turn the state could use prizes for those who willingly participate (put money) in the national defence. - evans: neoutalitarionism captures the esance of corruption and its dominance in 3rd wor
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