Lecture 1 Readings
- industrialization refers to the technical aspects of the accumulation and processing of a
- an industrial society is one in which inanimate sources of energy such as coal
or electricity fuel a production that uses technology to process raw material.
- capitalism is a term used to describe key aspects of the economic and social organiza-
tion of the productive enterprise.
- a capitalist system of production is one in which a relatively small number of in-
dividuals own and control the means for creating foods and services, while the
majority have no direct ownership stake in the economy and are paid a wage to
work for those who do.
- theoretical writings of Karl Marx, Durkheim, Weber, explain the causes and conse-
quences of capitalist development.
THE ORIGINS OF INDUSTRIAL CAPITALISM
- capitalism and industrialization dramatically re-shaped the structure of european soci-
ety, economically, socially, and spatially. these changes have different pace and pattern
in each country.
- emergence of capitalism in europe consisted of 2 basic periods
- mercantile / commercial capitalism (1500s)
- industrial capitalism (somewhat later)
- industrial capitalism also changed the gender-based division of labour.
- it became more pronounced with the rise of it, as it became the preserve of
THE GREAT TRANSFORMATION
- factory production dominated capitalist societies.
- formed new wage-labour force.
- manufacturing surpass agriculture in its annual output.
- the great transformation cause growth, increased capital and labour markets.
- rapid growth of cities, emergence of modern nation-state, forms of government
are directly linked to these economic changes. - way of work organized were different, workers received wages in the amount of
time/workload done. there were job requirements that they had to meet.
- process of industrialization in canada lagged behind that in britain and US.
- canada’s role was to supply raw materials rather than to produced finished goods that
would compete with work markets.
- canada focused on traditional activities, selling timber, fur etc.
WORK IN PRE-INDUSTRIAL CANADA
- shortages (agriculture) in europe lead to increase immigrants to canada.
THE INDUSTRIAL ERA
- by 1840s, canada is still largely agrarian even though they had the 2 key ingredients
- available workforce
- transportation infrastructure
- canada’s first factories were set up in nova scotia.
- though manufacturing became centralized in ontario and quebec, leading to the
deindustrialization of the maritimes.
- US built factories up in toronto, montreal etc. to avoid canadian tariffs on goods import-
ed from the US. this began a pattern of direct UF foreign investment in canada that con-
- economic changes from this brought rapid urban growth and accompanying social
problems. worker exploitation was widespread, as labour laws and unions were still
- low pay, long hours, unsafe ad unhealthy conditions
DECLINE OF CRAFTWORK
- traditionally, skilled craftworkers had advantages of being able to determine their own
working conditions, hire their own apprentices and frequently set their pay.
- this declined as canada moved in the industrial era.
- due to the desire to compete with US, they were conscious of the increased productivi-
ty in american factories through new technology and modern systems of management. - hence craft jobs were divided into many simple tasks which can be performed
by lower skilled workers.
- mechanization cut costs and increased productivity.
- crisis of the craftmen
- the use of immigrants as workers arise as employers think they are unlikely to revolt,
also would work a lot for little pay, also knowing they could rely on military to control un-
- although countries differ in timing, pace, form of industrialization, there still appear to
be come similar underlying dynamics and processes.
- industrialized countries are highly urbanized
- production takes place on the large scale, with complex technologies
- workplace tends to be organized bureaucratically
- citizens are relatively well educated.
- the logic of industrialism thesis, is a deterministic and linear argument about the in-
evitability of industrial technology. it suggests that it is a powerful that any country would
come to it as a result.
KARL MARX ON WORKER EXPLOITATION AND CLASS CONFLICT
- calls the overall system of economic activity within a society a mode of production
- identified the major components as means of production. (technology, capital invest-
ments, raw materials)
- social relations of production (relationships between the major social groups or class
involved in production)
- focused on the manner which ruling class controlled and exploited the working class.
- class conflict was central to marx theory of social change.
- 2 main classes in capitalism
- capital class bourgeoisie - owns the means of production
- working class proletariat - exchange labour for wages
- petite bourgeoisie - independent producers and small business owners, which
will be diminished by ruling class
- argued that capitalism would be replaced by a socialist mode of production. - catalyst would be revolutionary class conflict in which working class will destroy
the institutions of capitalism and replace them with socialist society because on
collective ownership of the means of production.
- conflicts between the 2 classes will be based on:
- capitalist profit motive will cause conflict between the 2 classes
- worker-owner relationship let to workers losing control over their work causes
- hence working class will promote a oppose.
- conflict perspective.
ADAM SMITH: COMPETITION NOT CONFLICT
- key principle of capitalism is
- competition among individuals and enterprises, each trying to improve their own
position, led to growth and creation of wealth.
- posits that profit motive was the driving force of capitalism.
DIVERSE PERSPECTIVES ON THE DIVISION OF LABOUR
- division of labour refers to how tasks are organized and distributed among workers.
- through economic development, roles became more specialized other than gen-
der and age.
- adam smith sees this as key to capitalism’s success.
- by subdividing tasks, less skills were required for any individual worker, which
- central feature of craftwork was the degree to which one individual was involved
in all aspects of creation of a product. this results in pride and self-fulfillment.
due to subdividing of tasks, there were boring jobs which many craftworkers re-
- Marx’s perspective of division of labour was a means to create more profit from the la-
boring of the working class.
- this also proves that division of labour cause an extreme fragmentation of labour
- durkheim noted that industrial societies contained diverse populations in terms of race,
ethnicity, religion, occupation and education.
- saw the division of labor as a source of social cohesion that reduced this potential for
conflict with the diverse population. - individuals and small groups engaged in different tasks will allow them to recog-
nize their mutual interdependence. in turn this would generate tolerance and so-
MAX WEBER ON BUREAUCRATIC ORGANIZATIONS
- Weber suggests there is a major change along with capitalist industrialization, bureau-
- western societies became more rational, visible in bureaucratic organization of
- information relationships among small groups of workers, workers and employ-
ers were replaced with formal, in large bureaucratic organization.
- employers set rules and regulations to control workers behavior and work rate.
- Although weber believed that it was an concern of the loss of personal work re-
lationships, it was outweigh by the productivity efficiency.
- industrial capitalism was a system of rationally organized economic activities
- bureaucracies provided the most appropriate organizational framework for such
- Weber’s ideal type bureaucracy was a precise division of labour within a hierarchy of
- each job has its own duties and is connected through a chain of command.
uses rewards and punishment to keep control.
- promotion within the bureaucratic work organization is based on competence,
performance skills and certifications (education).
- rationality, impersonality and formal contractual relationships defined bureaucratic
THE MANAGERIAL REVOLUTION
- predicted a new era of reduced conflict and greater harmony in the workplace.
- held that managers who were salaried workers and not owners, would look be-
yond profits when making decisions.