7.1 Flashcards
after the industrial revolution, there was a __________: people began to specialize in what they did
division of labor
what was the alternative to capitalism?
socialism
what defines socialism?
more focus on the collective, supply and demand, the needs of society placed ahead of the benefits of the wealthy
capitalism’s greatest advocate:
adam smith
what did adam smith consider the invisible hand of the marketplace?
supply and demand
who is the father of socialism?
karl marx - most influential critic of capitalism
corporations:
organizations created by law to have existence, certain powers, and liabilities of their own
who runs corporations?
elites - those who have an enormous amount of power in society
corporations tend to involve oligarchies, which are:
markets dominated by just a few entities (consumers are stuck: they have to buy what they’re offered, or they don’t buy)
what does it mean for a corporation to be multinational?
it is a legal entity that is recognized across different nations
what is stratification?
the way that people are situated in a hierarchy in society
three ways workers tend to be controlled:
- simple control
- technical control
- bureaucratic control
what is the primary labor market?
where workers are employed by stable, successful, and usually large firms
what is the secondary labor market?
smaller, less-stable employers; something you probably won’t make a career out of/expect a lot of opportunities from
what is structural unemployment caused by?
major changes in the market or technology
ex: VHS, robots on assembly line
