Chapter 13Politics, Work and

the Economy

Chapter Outline

• Politics• Power and Authority• Theories of Democracy• Pluralist Theory• Elite Theory• The Elitist Critique of Pluralism• Power Resource Theory• State-Centered Theory• Politics by Other Means

Chapter Outline

• Work and the Economy• Economic Systems• The Corporation• The Future of Work and the Economy

The Tobacco War

• In the spring of 1998, Congress was ready to pass a bill that would cost the tobacco companies $516 billion in damages.

• The bill would also raise tobacco taxes by $1.10 a pack, limit cigarette advertising and give Washington powers to regulate the tobacco industry.

The Tobacco War

• Documents released in a series of lawsuits against the tobacco industry revealed that tobacco companies were:– targeting teenagers in their ads– manipulating ammonia levels in

tobacco to maximize nicotine addiction

– misrepresenting it all in public.

The Tobacco War

• The tobacco industry:– mobilized allies to contact Congress

and express outrage at the bill– tripled the budget for tobacco

industry lobbyists – wined, dined, and cajoled members of

Congress to vote against the bill– put out a $40 million national

advertising blitz.

Power and Authority

• Power is the ability to control others, even against their will.

• Having more power than others gives you the ability to get more valued things sooner.

• Having less power than others means you get fewer valued things later.

• The use of power sometimes involves force.

Weber’s Three Types of Authority

1. Traditional - Rulers inherit authority through family or clan ties.

2. Legal-rational authority - authority is derived from respect for the law.

3. Charismatic authority - charismatic individuals claim to be inspired by a god or some higher principle that transcends other forms of authority.

Institutions of State and Civil Society

Democracies

• Citizens choose representatives in regular, competitive elections and enjoy the freedoms and constitutional protections that make political participation and competition meaningful.– 46% of countries were democratic in

2004, up from 29% in 1973. – The United States, Brazil, Germany,

Japan, India, Australia, and South Africa are all democracies.

Democracies

• In modern democracies, citizens do not control the state directly.

• Political parties compete for control of government in regular elections.

• Special-interest groups and business associations form lobbies.

Democracies

• The mass media keep a watchful and critical eye on the state.

• Public opinion refers to the values and attitudes of the adult population.

• When dissatisfaction with normal politics is widespread, protest sometimes takes the form of social movements.

Pluralists theory

• Different classes, religious groups, ethnic and racial communities compete for state control, but none dominate consistently.

• Most often, politics involves negotiation between competing groups.

• Because no one group is always able to control the political agenda, democracy is guaranteed.

Elite Theory

• Elites - small groups that occupy the command a society’s most influential institutions, including corporations, the executive branch of government, and the military.

• The people who control these institutions make decisions that everyone in society.

• They do so without regard for elections or public opinion.

Power Resource Theorists

• Focuses on how long-term variations in the distribution of power affect the fortunes of parties and policies.

• Organization is a source of power.– Change in the distribution of power

between major classes partly accounts for the fortunes of different political parties and different laws and policies.

Political Activities Undertaken by Rich and Poor

Americans

Polling Question

• Have you registered to vote?A. YesB. NoC. Not eligible

The Political Unity of Big Business

Sociological Theories of Democracy Compared

TheoryHow is Power distributed?

Pluralist Dispersed

Elitist Concentrated

Power Resource Concentrated

State-Centered Concentrated

Sociological Theories of Democracy Compared

TheoryWho are the main power holders?

Pluralist Various groups

Elitist Elites

Power Resource Upper class

State-Centered State officials

Sociological Theories of Democracy Compared

TheoryOn What is Their power based?

Pluralist Holding political office

ElitistControlling major

institutions

Power ResourceOwning substantial

capital

State-Centered Holding political office

Sociological Theories of Democracy Compared

TheoryWhat is the main basis

of public policy?

Pluralist Will of all citizens

Elitist Interests of major elites.

Power ResourceBalance of power between

classes

State-CenteredInfluence of state

structures

Sociological Theories of Democracy Compared

Theory

Do lower classes have much influence on

politics?

Pluralist Yes

Elitist No

Power Resource Sometimes

State-Centered Sometimes

Polling Question

• How would you characterize your political views?

A. Far leftB. LiberalC. Middle-of-the-roadD. ConservativeE. Far right

War

• Recorded history shows war killed roughly 1 billion soldiers and 2 billion civilians.

• The 20th century represents 2.6% of the time since the beginning of recorded war history but accounts for roughly 3.3% of the world’s war deaths, military and civilian.

• Some 100 million people died in 20th-century wars.

Global Trends in Violent Conflict, 1946-2002

Casualties Resulting from International Terrorist Attacks,

1991–2003

Reasons for Change in Form of Collective Violence

1. The number of countries in the world doubled as colonies became independent states.

2. The U.S., the Soviet Union, Cuba, and China subsidized and sent arms to opponents of regimes against them.

3. Rebels took advantage of international communication and travel to establish support communities abroad and export heroin, cocaine, dirty money, etc.

Work and the Economy

• The economy is the institution that organizes the production, distribution, and exchange of goods and services.

• The primary sector includes farming, fishing, logging, and mining.

• In the secondary sector, raw materials are turned into finished goods; manufacturing takes place.

• In the tertiary sector, services are bought and sold.

Three revolutions

• Agricultural revolution• Industrial revolution • Revolution in services

Civilian Employmentby Economic Sector,

United States, 1960–2002

Braverman: Deskilling Thesis

• Capitalists organize work to maximize profits and work becomes deskilled over time. – Break complex tasks into simple

routines.– Replace labor with machines where

possible. – Exert control over workers to make

sure they do their jobs efficiently.

Expected Job Growth, Top 20 Occupations, United States,

1998–2008

1. Systems analyst 2. Retail salespersons 3. All other sales and related 4. Cashiers5. General managers, top

executives6. Truck drivers

Expected Job Growth, Top 20 Occupations, United States,

1998–2008

7. Office clerks

8. Registered nurses9. Computer support specialists10.Personal care and home health

aides11.Teacher assistants

Expected Job Growth, Top 20 Occupations, United States,

1998–2008

12.Janitors, cleaners, maids, house-keepers

13.Nursing aides, orderlies, attendants

14.Computer engineers15.Teacher, secondary school

Expected Job Growth, Top 20 Occupations, United States,

1998–2008

16.Office and administrative support supervisors and managers

17.All other managers and administrators18.Receptionists and information clerks19.Waiters and waitresses20.Security guards

Polling Question

• With which of these statements about the environment and the economy do you most agree with?A. Protecting the environment should

be given priority even at the risk of slowing down economic growth.

B. Economic priority should be given even if the environment suffers to some extent.

C. No opinion

Primary Labor Market

• Composed disproportionately of highly skilled or well educated white males.

• They are employed in large corporations that enjoy high levels of capital investment.

• Employment is relatively secure, earnings are high and fringe benefits are generous.

Secondary Labor Market

• Contains disproportionately large number of women and members of racial minorities.

• Employees tend to be unskilled and lack higher education.

• Employment is insecure, earnings are low and fringe benefits are meager.

Barriers to the Primary Labor Market

• Three social barriers make the primary labor market difficult to penetrate.1. There are few entry-level positions

in the primary labor market. 2. Workers often lack informal

networks linking them to good job openings.

3. Workers usually lack the required training and certification for jobs in the primary labor market.

Free versus Regulated Markets

• In a free market, labor supply and demand regulate wage levels and other benefits. – If supply is high and demand is

low, wages fall. If demand is high and supply is low, wages rise.

Free versus Regulated Markets

• In contrast, the primary labor market is a more regulated market.– Wage levels and other benefits are

established not just by the forces of supply and demand but also by the power of workers and professionals.

Value of the Federal Minimum Wage, (in 1998

dollars)

Capitalism

Two distinct features:1. Private ownership of property.

Individuals and corporations own the means of producing goods and services and are free to buy and sell property.

2. Competition in the pursuit of profit. Producers compete to offer consumers goods and services at the lowest price.

Communism

Two distinct features.1. Public ownership of property.2. Government planning.

Five-year state plans establish production quotas, prices, and other aspects of economic activity.

Democratic Socialism

Two distinct features 1. Public ownership of certain basic

industries. Most property is privately owned, and competition in the pursuit of profit is the main motive for business activity, just as in capitalist societies.

2. Government intervention in the market.

Corporations

• Legal entities that can enter into contracts and own property.

• They are taxed at a lower rate than individuals and owners are normally not liable for the corporation’s debt or any harm it may cause the public.

• Exercise disproportionate economic and political influence by forming oligopolies, conglomerates, and interlocking directorates.

% Increase in U.S. Labor Force by Race and

Hispanic Origin

Quick Quiz

1. Power is:a. governed in its use by norms

and the statuses of the social organizations that wield it

b. regarded by subjects as valid and justified

c. the ability to control others, even against their will

d. all of these choices

Answer: c

• Power is the ability to control others, even against their will.

2. Which of the following is not a type of authority according to Weber?a. traditional authorityb. charismatic authorityc. revolutionary authorityd. legal-rational authoritye. none of these choices (all of

these choices are types of authority according to Weber)

Answer : c

• Revolutionary authority is not a type of authority according to Weber.

3. Which of the following theories holds that power is widely dispersed in society and that, as a result, no single group enjoys disproportionate influence in the political process?a. elite theoryb. state-centered theoryc. power resource theoryd. pluralist theorye. democratic theory

Answer : d

• Pluralist theory holds that power is widely dispersed in society and that, as a result, no single group enjoys disproportionate influence in the political process?

4. Which of the following theories holds that small groups occupying the command posts of America's most influential institutions make the important decisions that affect all members of society?a. elite theoryb. state-centered theoryc. power resource theoryd. pluralist theorye. democratic theory

Answer : a

• Elite theory holds that small groups occupying the command posts of America's most influential institutions make the important decisions that affect all members of society.

5. The economy is the institution that organizes the:a. production of goods and

servicesb. distribution of goods and

servicesc. exchange of goods and servicesd. all of these choices

Answer: d

• The economy is the institution that organizes the production, distribution and exchange of goods and services.

6. Braverman's deskilling thesis involves which of the following elements?a. reliance on part-time laborb. the breakdown of complex tasks into

simple routinesc. the replacement of human labor

with machines wherever possibled. the breakdown of complex tasks into

simple routines, and the replacement of human labor with machines wherever possible

Answer: d

• Braverman's deskilling thesis involves the breakdown of complex tasks into simple routines, and the replacement of human labor with machines wherever possible.

7. Which of the following is not a reason why primary labor markets are difficult to penetrate?a. Often, there are few entry-level

positions in the primary labor market.

b. People in secondary labor markets tend to work in large corporations with well-defined internal labor markets.

c. People in secondary labor markets tend to lack informal job networks.

Answer: b

• The fact that people in secondary labor markets tend to work in large corporations with well-defined internal labor markets is not a reason why primary labor markets are difficult to penetrate?

8. Which of the following economic systems is characterized by public ownership of property and government planning?a. capitalismb. communismc. corporatismd. democratic socialisme. none of these choices

Answer: b

• Communism is characterized by public ownership of property and government planning?