Accumulation of capital cannot sustain itself internally
Enclave economy:
Foreign capital invested in a third world country to extract raw material
Leaves the country’s economy untouched except to give employment to a few local workers and to provide taxes to the state
State’s natural resources depleted
Second form of dependency:
Local capitalists class controls a cycle of accumulation based on producing export products
The cycle depends on foreign markets, but the profits accrue to the local capitalists, building up a powerful class of rich ownership
This class tends to behave in a manner consistent with the interests of rich industrialized countries
Third form of dependency:
Penetration of national economies by MNCs
Capital is provided externally, but production is for local markets
The cycle depends on local labor and local markets, they take out much of the surplus as profits
Class struggle as a source of social change
Economic Liberalism:
The south is lagging behind the industrialized north, but it’s not significant compared to the total economic growth
Most efficient for maximizing capital accumulation and economic growth
Believes in positive gain, mercantilism, and neoliberalism, concentration of wealth
Promotion of economic freedom and limited government intervention
Wants an open world economy where there’ free trade and free capital flow
World System:
Class divisions are regionalized
South extract raw materials, work that uses much labor and little capital with low wages
Industrialized regions manufacture goods, work that uses more capital, requires more skilled labor, and pas workers higher wages
Core: regions for manufacturing
Periphery: Regions for extraction
Semiperiphery: Area in which some manufacturing occurs and some capital concentrates, though not as advanced as cores
The core uses its power to concentrate surplus from the periphery
Capitalist World Economy
The industrialized West exports more than it imports in machinery, chemicals, and heavy manufactured goods
Having exportable natural resources would seem a big plus for an economy, but the problems of basing economic growth on resource exports have been called the resource curse
What are the main similarities and difference between the various theories of wealth accumulation?
Similarities
The south is lagging behind the industrialized north
World System and the Dependency Theory believe that the North acquire their wealth by exploiting the south
The south, most often disadvantaged, does not have the power to arise from their current situations
Differences
Economic Liberalism: The creation of wealth in the north doesn’t conflict with the creation of wealth in the south.
World System: The North gains their wealth by exposing the peripheral regions
Dependency Theory: The accumulation of capital
There are a few main similarities and differences between the various theories of wealth accumulation: Economic Liberalism, World System, and the Dependency Theory. Firstly, the south is lagging behind the industrialized north is agreed upon. Even though the World System and the Dependency Theory believe that the North acquire their wealth by exploiting the south, it is for different reasons. Economic liberalism believes that the creation of wealth in the north does not conflict with the creation of wealth in the south. The World System theory believes that the North gains their wealth by exposing the peripheral regions. The Dependency Theory believes in the accumulation of capital.
Which theory (or theories) the video implicitly employs to explain the causes of wealth accumulation and poverty.
The theory the video implicitly employs to explain the causes of wealth and accumulation and poverty is the world-system theory. The video includes the different classes: the core countries such as United States, and the United Kingdom, periphery countries such as Africa, and semiperiphery countries such as Taiwan and most of Eastern Europe. The video explains that the causes of wealth and accumulation and poverty is due to raw material extractions from the periphery countries which is then exported to the core countries. Meanwhile, the semiperiphery countries act as the barrier between the core and the periphery since it gives the periphery countries an opportunity to rise out of poverty. This is why this video uses the World System theory.
The positive effects of trade be maximized while minimizing the negative effects can be minimized when all countries have a say. For instance, the WTO membership should be represented by countries. However, it not very likely to happen because rich countries that currently have all the power wouldn't give away their power. Their power comes from keeping the negative impacts of trade on other countries. The weaker countries can hardy fight back when they have significantly less resources.
World trade regimes are based more on dominance instead of reciprocity. The richer countries control the poor countries through international organizations. The WTO eliminates tariffs, which destroys domestic baby industries that needs protection. It is extremely unfair, farmers are getting paid for their work and they are living under the poverty line. The WTO membership is purchased, which means that richer countries with more money to buy memberships can have more votes. Also, richer countries don't need to follow WTO rules and ruling when it suits their interest because other economies are often more dependent to them as they are to other countries. They will not be affected by the punishment.
Today, Easter Island is famous for its massive heads statues scattered around its coast. These statues were the cause of the end of the civilization of the inhabitants of Easter Island- the Rapa Nui people. The Rapa Nui people cleared countless trees to build their society. They used the slash and burn farming method which involves in the cutting and burning of huge of trees in the forest to create more fertile fields that can produce more food. They cut down trees to build shelters and canoes. They built a significant amount of massive statues that they believed embodies the spirits of their ancestors. To transport these statues across the island, they used trunks as rollers and levers, these trunks needs to be frequently replaced. Their population increased drastically, within 800 years, their population growth to 20000. To sustain this rate of population growth, more food needs to be produced, which means burning more forests and cutting even more trees. Within a century, half of the bird species and most of the shellfish species are extinct. When they find out that they ran out of most of their resources, it was too late for them to escape from the island because there are no more wood to built canoes. Desperately attempting to survive, the islanders started to practice cannibalism. Shortly after, the civilization ended and all the Rapa Nui people died. This is a lesson from history, when resource depletion led to a civilization's downfall. But if we take a closer look to the current international society’s management of natural resources we will find out that it is extremely similar to that of the Rapa Nui people on Easter Island. We are facing problems of over fishing, mineral depletion, and oil depletion...etc. The increasing demand for resources is cause by the growing population and the growing per capita consumption rate.
This info-graphic gives us information on the global over-fishing. Our fish stock has dropped 90 percent since 1950, 80 percents of the world’s fishing is exploited, 30 percent of the fish stock has already collapsed. 1.2 billion people depend on fish as their main source of proteins. At this rate of consumption, fishery is not sustainable. According to the United Nations, world fishery is expected to collapse in 2050.
This chart from the British Geological Survey shows the proved world reserve of some important natural resources and the projection on how long they will last us. We can see from the chart that most natural resources will be depleted within 50 years. It is true, that some metals such as aluminum and lead are highly recyclable, and that more mineral reserves can be discovered in the future. It is true that our resources might last us a few decades longer than the projection shows. However, it is a fact that we are consuming most of our resources faster than they are created. This means that we will eventually deplete these resources, it is just a matter of time. It should be noted that even though the international society’s management of natural resources is extremely similar to that of the Rapa Nui, we will not extinct because of the lack of resources because some of us will be capable to live without the resources that we are depleting. However, our population might face a major decrease as food production will drop drastically without resources such as oil. The majority of people will need to shift to a more agricultural based lifestyle and live a more frugal lifestyle that doesn't rely on those resources as much.
A wealthiest country is a country in which its citizens can meet their basic needs, human rights and live relatively better material lives. People’s basic includes food, water, shelter, security, health services…etc. People’s rights include rights to education, rights to equality, and rights to freedom of belief, religion, speech, and information...etc. A relatively better material life means that citizens generally have more money than citizens from other countries.
The Gender inequality Index is taken into consideration because gender inequality indicates that half of the population (women) doesn’t have the rights to equality. Very often, women are also denied from their other human rights such as the rights to education and rights to own property. In a lot of countries, women are often abused and discriminated against. Some of them can't even reach their basic needs like food and medical services. Countries where gender inequality index are high do not fit the definition of the wealthiest country.
Instead of using GDP per capita, this index uses GNP per capita as an indication of national wealth. GDP defines production based on geographic location whereas GNP defines production based on the location of ownership. GNP per capita is a better indication of national wealth because it shows the ownership of production, which directly indicates how much wealth a country has. Income Gini coefficient is used to measure the distribution of wealth within a county. In countries where the GNP is higher and the distribution of wealth is more equal, citizens are generally richer. This enables them to live relatively better material lives. Press freedom is an indication of freedom of speech which is a human right. WHO Ranking of Health Systems ranks health care systems in different countries. A good health care system ensures that people can meet their basic need to medical services. Crime Index Rate is used to indicate security, which is very important to a person's life. Crime rate is usually interrelated to other social issues such as poverty, inequality, discrimination, lack of access to education......etc. Based on these indices, Norway is the wealthiest country in the world where its citizens can meet their basic needs, human rights and live relatively better material lives. Norway has the highest GNP, the second lowest Gini Coefficient, the third lowest gender inequality index value, the second lowest Press Freedom Index value, the 11th best health care system, the third smallest crime rate, and the highest UNDP Education Index value.
To help nations work together to improve the lives of poor people, to conquer hunger, disease and illiteracy, and to encourage respect for each other’s rights and freedoms;
The United Nations is an intergovernmental organization founded in 1945 by 51 countries after World War II. It has been criticized for being ineffective in dealing with a lot of international issues. To evaluate the United Nation's effectiveness, we need to look at what it is created for.
Collective Security
The first priority of the United Nations is collective security. Even though there are multiple ongoing interstate and civil wars, they only remain in parts of the world. Major conflicts of interest and ideas that can potentially lead to war are often resolved through diplomacy. The United nations keeps peace with 120,000 peacekeepers in 16 operations. There has not been hegemonic wars or total wars between major nations, at least World War III hasn't happened yet. In that sense, the United Nations is quite effective in maintaining collective security.
Locations of ongoing conflicts worldwide, October 2014
The Security Council
The United Nations is criticized for being ineffective in dealing with humanitarian crisis in time because Security Resolutions are often vetoed. . The 5 permanent members of the United Nations Security Council- China, France, Russia, the United Kingdom, and the United States have the power to veto Security Council resolutions. Russia has vetoed various resolutions to stall or stop actions taken from the international society. Also, according to the UN Charter, there are only two circumstances in which the use of force can be authorized. The first one is when a state is invaded, and the second one is when a state face an imminent threat. The United Nations can not legally use force to stop crisis against crimes against humanity that is connivance or committed by governments.
Another complaint about the Security Council is it's memberships. The permanent members of the Security Council are the victors of World War II. But things have changed in the pass decades, some permanent members no longer have the top economy and political power. Three members in the security council are European countries(U.K, Russia, France), one member is an Asian Country (China), One member is an American Country (U.S.A). European members are the majority while European economic and political power has declined significantly in the pass decade. Germany, with the biggest economy and therefore political power in Europe is not a permanent member because it it loss World War II. Japan, similarly, as one of the strongest political and economic power in Asia is not a permanent member in the Security Council because it loss World War II.
In terms of representation, the distribution of membership doesn't represent different regional interest and ideas. An entire continent- Africa is missing from the permanent memberships. Even though there is one membership in Asia, it doesn't sufficiently represent interest and ideas of Asian countries. Asia is the Earth's largest(30 % of land area) and most populous continent(60% of the World's population). There are very diverseethnic groups, cultures, economics, and government systems in Asia.These voices can hardly be represented with only one membership. There are no permanent members from the Middle East. The only representation in Asia- China has only few allies in Asia that shares similar ideology and interest, thereby it doesn't represents much of Asia's interest and ideas.
There are multiple flaws that can be found in the system of the UN Security Council, and these flaws can hardly be improved because the P5 members will very likely veto any changes that will take away or decrease it's power and influence in the UN. It is a fact that many things in the Security Council are not ideal. However, it is the best possible way to have states work together on security issues without starting a war. For countries to give the United Nations power, they will want to ensure that they can keep the final decisions so that UN actions doesn't threatens their own interests. We learned from the 2001 War in Afghanistan that even without the authorization of the Security Council, states with enough power go to war without being stopped by the international society. It is true that the United Nations didn't stop stop the US from going to war, but realistically, neither can any other power. To conclude on the evaluation on the effectiveness of the Security Council, it is as effective as it practically can be.
Improving the lives of poor people
The United Nations: 1. Provides food to 90 million people in 80 countries 2. Vaccinates 58 per cent of the world's children, saving 3 million lives a year; 3. Assists over 38.7 million refugees and people fleeing war, famine or persecution; 4. Fights poverty, helping improve the health and well-being of 420 million rural poor; 5. Protects and promotes human rights on site and through some 80 treaties/declarations; 6. Mobilizes USD 22 billion in humanitarian aid to help people affected by emergencies; 7. Promotes maternal health, saving the lives of 30 million women a year. These data are very self evident, world hunger, diseases and human rights violations has decreased largely since the UN's creation.
The fact that World War III has not happened is the best evidence to prove that the United Nations is very effective in maintaining collective security. It helps countries to resolve conflicts diplomacy. The Security Council, though having a few flaws, is as effective as it practically can be. In improving the lives of the poor, the United Nations is very effective, world hunger, diseases, and human rights violations have largely decreased since it's creation. Based on the following reasons, the United Nations is a very effective institution.
Structural violence is a form of violence where some social groups are harmed in favor of another. Most common structural violence are elitism, ethnocentrism, classism, racism, sexism, adultism, nationalism, heterosexism, ageism, and discrimination based on dis/ability. Elitism is the belief that certain members of a group who has superiority in intellect, social status, or financial resources deserve favored treatment. Ethnocentrism is judging other cultures by the values and standards of one's own culture. Classism is differential treatment based on social class, people are judged by their social class. In classism, the upper classes are benefited at the expense of the lower classes. Racism is the prejudice and discrimination based on race. Sexism is the discrimination and prejudice based on sex. Adults are the prejudice and discrimination towards young people. Heterosexism is the belief that heterosexuals are superior in contrast to homosexuals; it is linked strongly with discrimination against LGBTQ. Ageism is the discrimination and prejudice towards seniors. Discrimination based on disability is the discrimination towards people with disabilities in favor of those who don’t.
I believe that any sort of structural violence are all pernicious because people suffer from them everyday just for being who they are. But if I have to choose one I would choose sexism. Most victims of sexism are women, which is half of our population.
The question of which part of the world will control most of the power and money in the future has been a popular topic of discussion for a while, since China starts to become industrialized. Some people believe that power and money are shifting from the west to the east, and China will become the richest and most powerful state in the world. Other believe that both power and money will remain in the west, and the United States of America will remain on top of the uni-polar system. However, this blog post will compare and contrast Sean Starrs's and Tom Engelhardt's argumentson why the United States of America will remain on top of the uni-polar system, and explain why the international system of the 21st century will be uni-polar. Sean Starrs pointed out that even though China's GDP might become higher than the U.S.A's GDP, most of the top Chinese companies' income comes comes from producing products for U.S companies. Which means that most of the profit from selling those products will go to U.S companies. He argues that it is the wrong way to determine national power by simply looking at it's national account. Averagely over 85 percent of the top 100 U.S. transnational companies' shares are owned by Americans. He believes that the U.S has become globalized instead of declining. Tom Engelhardt believes that even though US's power is declining, they don't face other powers that are strong enough to threaten it's position. He points out that even though money continues to flow to the U.S, they only go the the richest people. Poor people will get even poorer, rich people will become richer, middle class will virtually be non-existence. This will cause a lot of social problems in it's domestic level. Even though Sean Starrs and Tom Engelhardt both agree that we wouldn't be seeing the United States losing it's hegemony position too soon, they have different views on how the U.S's power will be like in the future. Sean Starrs believes that it's power hasn't declined, it went globalized. Tom Engelhardt believes that it's power truly declined, but it will maintain in it's hegemony position since there is no other powers strong enough to threaten it's position.
I believe that the international system of the 21st century will be uni-polar, and the next century will still be dominated by the United States. I believe that the degree of globalization of a country largely determines it's success. Globalization enables companies to find the cheapest way to produce their products, and sell it to the entire world, thus creating more profit. The United States has clearly success in globalization, and it will maintain in it's hegemony position in the uni-polar system.
Dominance can exist in schools. When any school faculty holds onto too much power, student’s opinions or needs might be ignored. If the school faculty who has the power is makes great decisions, is opened to hear students opinions, and is willing to take care of student’s needs, it can bring great collective interest. If not, the world would become chaotic and vicious. When students are selling second hand books to others, the buyer may want to buy the books at a cheaper price and the seller doesn’t want to sell the book for too cheap. Reciprocity is involved when they start to bargain a price that they could both accept. For the collective good, the buyer gets the textbook she/he needs for a cheaper price, and the seller gets to change textbooks she/he doesn’t need into money. Typhoon Haiyans in the Philippines last year caused the death of nearly 6000 people, injured countless people and destroyed countless houses. But within a month, at least 150,000 people are provided emergency, shelter, medical attention and other assistances. These help that the victims of the typhoon received are provided by people who cared about them for the identity of being human beings.