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Politics and the Economy Politics and the Economy Politics and the Economy Copyright © 2011 Pearson Education, Inc. All rights reserved.

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Essentials of Essentials of Sociology Sociology

9 th Edition

Chapter 11: Politics and the Chapter 11: Politics and the Economy Economy


Chapter Overview Chapter Overview n Power, Authority, and Violence

n Types of Government

n The U.S. Political System

n Who Rules the United States?

n The Transformation of Economic Systems

n World Economic Systems

n Capitalism in a Global Economy

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Power: Ability to get your way despite

resistance

Two Types of Power: Authority (Legitimate

Power) and Coercion (Illegitimate Power)

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Power Power


Ø Traditional Authority – Authority based on custom, we

will always know who is next in line

Ø RationalLegal Authority – Authority is based on written

rules; we may not know who is next in line, but we know

how they will be elected

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3 Types of Authority 3 Types of Authority (Weber) (Weber)

Politics and the Economy Politics and the Economy Politics and the Economy Copyright © 2011 Pearson Education, Inc. All rights reserved. t5

3 Types of 3 Types of Authority ( Authority (con’t con’t.) .)

Charismatic Authority – a person becomes an authority figure because of his/her outstanding traits

Transfer of authority is problematic

Two ways authority can be transferred:

§ The authority figure can appoint someone

§ The authority figure can build and organization out of which comes rationallegal authority; this is referred to as Routinization of Charisma


Monarchies – King and Queen (e.g., Great Britain) Democracies – Direct and Representative Direct Democracy was the 1 st type of democracy formed by the colonists Representative democracy is the type of government the U.S. has today Dictatorship – Rule by one Oligarchy – Rule by a few Dictatorships and Oligarchies are examples of Totalitarianism (total control by the government)

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Types of Government Types of Government


Republicans Older Middle to Upper Social Classes Conservative Less government

Democrats Younger Minority Groups Women more than men Liberal Working classes More government

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The U.S. Political System The U.S. Political System


NonHispanic Whites most likely to vote Men and women tend to vote for different presidential candidates The more people feel they have a stake in the system, the more likely they are to vote Voter Apathy is present in the U.S.: indifference to votingWhy is it so widespread?

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Voting Patterns Voting Patterns


Figure 11.1 Which Political Party Dominates? Note: Domination by a political party does not refer to votes for president or Congress. This social map is based on the composition of the states’ upper and lower houses. When different parties dominate a state’s houses, the total number of legislators was used. In Nebraska, where no parties are designated, the percentage vote for president was used. Source: By the author. Based on Statistical Abstract of the United States 2009:Table 395.


Special Interest Groups: People Who Think Alike on a Particular Issue

and Mobilize for Political Action Lobbyists:

People Paid to Influence Legislation who work for Special Interest groups Often times, lobbyists are people who are retired from the government The main criticism of Special Interest groups and Lobbyists are that they buy votes

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Lobbyists and Lobbyists and Special Interests Special Interests


PACs are Political Action Committees

They are formed to get around the $1,000

contribution rule

PAC Money Buys Votes

Most PACs Stand for Financial Interests of

Specific Groups

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PACs in PACs in U.S. Elections U.S. Elections


Functionalist Perspective: Pluralism (Diffusion Among Many) The functionalist perspective believes that the U.S. is ruled by many different groups There is a check and balance between the main branches of the government: Legislative, Judicial, and Executive

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Functionalist Functionalist Perspective Perspective


Conflict Perspective:

The Power Elite/Ruling Class (C. Wright Mills and Dumhoff) rule the government

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Conflict Conflict Perspective Perspective

Figure 11.2 Power in the United States: The Model Proposed by C. Wright Mills Source: Based on Mills 1956.


Three Essential Conditions of War (Nicholas Timasheff) 1.Antagonistic Situation – Two or more states confront incompatible objectives 2.Cultural Tradition of War – Leaders of a group see war as an option for dealing with serious disputes with other nations 3.Fuel – Heats the antagonistic situation to a boiling point

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War and Terrorism War and Terrorism


Moral Cost Reducing People to Objects Breeds Callousness and Cruelty Characterization of Struggle Between Good and Evil

Terrorism Use of Violence to Create Fear

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War and War and Dehumanization Dehumanization


Preindustrial Societies: Birth of Inequality Hunting and Gathering Societies Pastoral and Horticultural Societies Agricultural Societies

Increasing Social and Economic Inequalities

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The Transformation of The Transformation of Economic Systems Economic Systems


Industrial Societies: Birth of the Machine Brought Previously Unseen Surpluses Factories Exploited Labor More Efficient Machines Led to Conspicuous Consumption

Postindustrial Societies: Birth of Information Age Service Sector Vast Surplus of Goods Extensive Trade among Nations Wider Variety and Quantity of Goods Information Explosion

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The Transformation of The Transformation of Economic Systems Economic Systems


Capitalism: Three components Private Ownership of Means of Production Market Competition Pursuit of Profit LaissezFaire Capitalism – Government is not involved in decision making Welfare or State Capitalism – Individuals have certain rights but are overseen by the government –this is the U.S. economy

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World Economic World Economic Systems Systems Capitalism Capitalism


Socialism Three components: Public Ownership of Means of Production Central Planning Distribution of Goods without Profit Motive Needs Decided by Central Committee Designed to Eliminate Competition Everyone Works for the Government

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World Economic World Economic Systems Systems Socialism Socialism


The Convergence of The Convergence of Capitalism and Socialism Capitalism and Socialism

Both capitalist and socialist systems have adopted features from the other The convergence theory refers to the growing similarities shared by capitalism and socialism i.e. Western banks in China, unemployment compensation in the U.S.

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The Globalization of Capitalism The Globalization of Capitalism Stagnant Paychecks: the productivity of U.S. workers has increased year after year, yet inflation and cost of living has affected the value of a paycheck New Economic System and Old Divisions of Wealth: U.S. worker face high insecurities in the workplace with layoffs and plant closings. Many are affected by outsourcing. The wealthy are not really affected by the current recession.

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Figure 11.4 Average Hourly Earnings of U.S. Workers in Current and Constant Dollars Note: Constant dollars are dollars adjusted for inflation with 1982 as the base. Source: By the author. Based on Statistical Abstract of the United States 1992:Table 650; 1999:Table 698; 2010:Table 629.


The Globalization of Capitalism The Globalization of Capitalism The Global Superclass: this term refers to the leaders of the globe’s top multinational companies This class is very powerful and wealthy They have access to the top circle of political power around the globe

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