Economic Geography Flashcards
1
Q
what does Amin (1994) think is under threat in the West
A
- centrality of large industrial complexes,
- blue collar work,
- full employment,
- centralised bureaucracies of management,
- mass markets for cheap standandarised goods
- welfare state
- mass political parties
- centrality of nation state as a unit of organisation
2
Q
why do people criticise the idea of Post Fordism (Amin, 1994)
A
- this implies a functionanlist/systemic view of world history - insead they think we should stress change is non path dependent and open
- criticise ideas of absolute turning points
3
Q
what does path dependence mean
A
theory in social sciences where past events and decisions constrain later events or decisions
4
Q
what is a sunrise industry
A
an industry which produces new types of products or services, especially one that is expected to grow quickly
5
Q
how has society and culture changed in post fordism
A
- greater fragmentation and pluralism
- weakening of older collective solidarities and block identities
- emergence of new identities associated with greater work flexibility
- maximisation of individual choices through personal consumption
6
Q
what is political pluralism
A
Philosophy that recognises and affirms diversity within a politial body, permitting the peaceful coexistence of different interests, convictions and lifestyles
7
Q
social fragmentation meaning
A
absence of connections between individuals and society
8
Q
3 theoretical positions at the heart of the post fordist debate
A
- regulation aproach
- flexible specialisation approach
- neo schumpeterian approach
9
Q
outline the regulation approach
A
- attemps to explain the dynamics of long term cycles of economic stability and change
- stagnation of growth in world econ after mid 1970sn amounted to more than a cyclical downturn, but a crisis of the institutional forms
10
Q
what are the accumulation regime (AR) and mode of accumulation (MR)
A
AR - the ways production, circulation consumption and distribution organise and expand capital in a way that stabilises the econ over time
MR - set of institutional norms, forms of state, policy paradigms and other practices that provide the context for ARs operation
11
Q
what was fordism
A
a former economic way of producing products for mass production.
it brought forward key socio political and economic strategies in USA and western econs from 1930s to early 1970s
12
Q
3 principles of fordism
A
- deskilling of labour
- centralised manager supervision of this labour
- located surplus capital from products produced in specific locations to grow more industry
13
Q
where does the name fordism come from
A
henry ford and his implementation to form the assembly line
14
Q
within fordism manufacturers built products mainly for who as opposed to who now
A
working-middle wage family, most of the population, rather than specific niches
15
Q
in fordism we saw agglomeration…what does this mean. give an example
A
we saw all businesses combine their production in one location. in Detroit all stages of car parts were made in the same place. tyre company, engine company etc
16
Q
Nielsen (1991) 4 contributing factors of the structural crisis of Fordism
A
- decreased productivity gains due to social and technical limits of Fordism. social limits may include workers resisting rigid and repetitive nature of assembly line.
- globalisation of economic flows and difficulty in national economic management - trade and capital movements became more interconnected on a global scale, making it more difficult for national authorities to manage econs
- growing social expenditure and inflationary pressure - greater spending on social programmes like healthcare, education and welfare, which arent as easily produced in the ways of fordism
- shift in consumption patterns away from standardisation and mass production - new consumer demands are at odds with standaisation as they want more diversedand specific demands
17
Q
what was taylorism
A
- form of work organisation aiming to increase productivity and efficiency by applying scientific principles to organisation of work
18
Q
what does (McDowell 1991) argue has casued an increase in the total workload for women
A
decline of state provision in the sphere of reproduction coupled with women’s growing labour market participation
19
Q
why is McDowell (2001) disappoined with Tony Blairs governmetn
A
social and income inequalities have widened, continued neoliberal policies of Thatcher.
20
Q
what happened in the post fordist economy to the difference in the participation of the two genders
A
the gap closed, the % of women in jobs is virtually the same as men
21
Q
why have womens participation grown so much since fordism
A
continued growth of service sector - more jobs regarded as appropiate for womens skills - wide range of servicing occupations at bottom end of labour market
22
Q
what has happened to the gender pay gap post fordism
A
has declined.
23
Q
why did the gender pay gap decline post fordism
A
- More women going to university, entering sectors like Law and Medicine
- more men in poorly paid employment
- minimum wage 1998
24
Q
how has inequality changed within genders post fordism
A
- inequality rose from 3.17 to 3.40 amongst men and 2.67 to 3.30 amongst women.
- class differentiated. 65% of professional women are full time, but only 6% of unskiled women
25
what was the structural criss of the 1970s (Dumenil and Levy, 2001)
* lasting unfavourable periods of transition between 2 successive phases of capitalism
* slowdown of technical change, increased macro instability
* slower accumualtion and lower investment main factors of wave of structural unemployment
26
what is finance (Duminel and Levy, 2001)
framework of institutions, interlocked in a complex network
27
what does Duminel and Levy (2001) say that neoliberalism is an expression of
the reassertion of the power of finance.
28
why is the rise of real interest rates favourable to lenders
* increases return on loans and investment as reward for borrowing is greater, adjsting for inflation
29
what does Marx define as *loan capital*
specific type of capital - component of finance capital - aimed at lending monet with expectation of earning interest
30
what did the great depression do to the social order (Duminel, 2001)
introduced a new involvement of the state. - keynesianism. banks under regulation
31
what was the keynsian compromise
* state should not interfere with relationship between managers and financem and certainly not be substituted for finance
* state was responsible for ensuring full employment
32
what was the 1979 coup
change of monetary policy targtetting nearnly exclusively price stability giving the return to hegemony of finance.
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33
how much trade was stopped when the evergreen blocked the suez
10% of global trade
33
how did capitalism enter phase of neoliberalism
deregulation, direct confrontations with unions, policy favourable of large mergers, new corporate governance targeted to share holders
34
define globalisation and cite!
the stretching and deepening of social relations and institutions across space and time such that, on the one hand, day-to-day activities are increasingly influenced by events happening on the other side of the globe and, on the other hand, the practices and decisions of local groups can have significant global reverberations
(Held, 1995)
35
what does it mean a world without borders
no economic barriers, free flows of capital
36
what does it mean that the world is now flat
Due to developments like containerisation, internet, we can trade without barriers
37
what did Fukuyama believe
that there was an end of history, seen by the collapse of the USSR. liberal democracy is the final ideological evolution of man
38
3 moments thought to be leading to a globalised world
1. containerisation
2. fall of the USSR
3. invention of the WWW
39
how does David Harvey define space-time compression
processes that so revolutionise the objective qualities of space and time that are we forced to alter how we view the world
40
what does David Harvey use as an example of time space compression
the portrayal of time in films has changed, there has been a speeding up of life - like the ability to pick up the phone/email etc
41
who provides a contrast to David Harveys space time compression ideas
Sidney Katz - looked at Sudan, and argues they have had space time EXPANSION
their lives have become longer, have to commute longer. they are still inside globalisation but affected differently
42
2. examples of workers blockers global production chains
workers in geneoa blocking ships bringing weapons to Israel
Scottish rolls Royce workers refusing to make engines used by the Pinochet regime
43
why could globalisation be an outdated term?
we are now looking beyond the Earth like mining the moon/earth
Anthropocene ? now our interactions are affecting the earth system, not just causal links we view through globalisation
44
what are David Harveys 2 meanings of neoliberalism
1. a theory of political and economic practices that proses human well being can best be advanced by liberating freedoms through strong private property rights, free markets and free trade.
2. political economic project that took shape in the 1970s aimed at reestablishing, renewing and expanding the conditions for capital accumulation
45
what was mercantialsim
the precursor to capitalism. competition between states over scarce resources.
46
what did Adam smith argue was wrong about mercantalism
rather than having aggressive competition, which is a 0 sum game
you should let the market allocate resources to make every one richer
47
outline what was the Mount Pelerin Society
founded in 1947
included Frederick Hayek, Milton Friedman, Chicago school
48
what is the welfare state
set of infrastructures and institutions that are supported by the state in order to protect the lives and development of its citizens
49
what do neoliberalism call the welfare state and why
the nanny state
it curtails individual freedom of those who could flourish, and means less wealth is generated
50
what is the trickle down effect
under neoliberalism, wealth will be generated by some and this will trickle down to others, benefitting all
51
outline the chilean coup
the democratically elected socialist president Salvatore Allende was deposed and killed by the Military coup. the leader was Pinochet and he was backed by the CIA
Pinochet pledged to oppose the socialist reforms Allende pledged, instead opening markets to US mineral companies.
52
what changed in the Fed Reserve in 1979
raised interest to any level to curb inflation rather than unemployment
emblematic of the market becoming independent of govt
53
when thatcher and Reagan elected?
1979, 1980
54
why is the state actually strong under neoliberalism
in order to support a free market, a strong state is needed to reform and police it
strong military, defence, policy and legal structures to secure private property and guarantee markets
55
how did thatcher view society
no such thing, only men women and families
56
why did thatcher take on the unions
unions were blackmailing the accumulation of capital
57
why did thatcher privatise council houses
housing is not a human right, it needs to be earnt. to be a successful market subject, you want to protect the things you own and you want to own more things. this makes more competition
58
what does Sasha Sassen call the privatisation of Russia
a savage sorting of winners and losing
59
what is the EBRD
European bank for reconstruction and development
founded to support eastern bloc countries
60
3 ways literature will view fordism
1. era - end of WWII to mid 1970s
2. socio economic system - reorganisation of production that revolutionised industry
3. broader system - capitalism and social relationships structured in a particular way
61
why ought we talk of fordismS - plural
the way this political economy takes place, the industrial organisation, state and worker representation differs spatially
ie Japan was different to UK, different to USA
62
summarise gramscis theories that we saw after WWII
fordism will generate big firms, big states and big unions
63
fordism was a socioeconomic system characterised by:
**5 points**
mass production
highly structured labour relations(unions)
mass consumption
oligopoly power (2,3 firms dominating sectors)
state regulation
64
outline what was taylorism
named after Frederick Taylor, who was brought in to for time and motion studies
scientific management where each task was broken down to its most fundamental notions. deskilling of workers
hierarchical control, with all work floor knowledge entered to management
65
what happened to fords skilled workforce
Left due to the monotony of work and replaced with low skilled workers
66
what was the ford whisper
developed by workers to whisper over the machinery, as talking was not allowed
67
outline why working at ford was so stressful
assembly line pace was increased through the 1920s
no talking allowed on the line
constant surveillance, spies and informants
adversarial relations
68
outline how profit sharing worked at ford
1914, allowed to earn up to $5
workers were paid enough they could aspire to buy the car yourself
69
what is social reproduction
the ways in which a worker renews themselves, production of next generation (children), leisure and relaxing
70
how were workers social reproduction being monitored
fords sociological department laid out how productive workers should behave in their social lives, like diets, drinking, houses
71
what did the ford service squad do
was a 3000 member goon squad, would beat on union organisers
largest private quasi military
72
by the 1950s, workers in Ford were unionised and commanded a good wage...what did this mean
they could **consume** industrial products on a mass scale
73
How is race tied to fordism in Detroit
assembly line meant low skill
this saw high amounts of Eastern Europeans (1920s) and blacks (1940s)
racial riots to protest blacks
white population moved to the suburbs, and the black population moved in.
74
outline the 5 stages of the virtuous cycle of fordism
increased production
>
unions
>
increased wages
>
welfare state and state demand
>
increased demand
75
what is the virtuos cycle also known as
Wages led demand
76
what was the role of gender in fordism (McDowell)
* stable working classed needed a nuclear family, women's domestic labour due to Keynesian spending
* are in the labour market less than me /lower paid/part time
* often led/forced to leave work after having children
*
77
outline the geographies of fordism at a local scale
local - communities grow up around an industry/factory. their norms and social reproduction are based around it
78
outline the geographies of fordism at a national scale
early forest production was concentrated in industrial regions
eg. US autos in Detroit and Midwest, Steel in Pittsburg
UK - West Midlands autos, aerospace and engineering
Wales and NE England for coal
79
outline the geographies of fordism at an inter national scale
from the 1960s, beginnings of off shore production where firms start tom move production overseas to new markets and less expensive countries
80
outlined the weakening of fordism in the 1970s
changing patterns of trade and investment - increased imports from new international competition
falling productivity
growing unemployment > falling demands
rigidity - strength when stable, but liability when in period of flux
staggflation
81
what is staglation
inflation and unemployment at the same time
82
outline the early deindustrialisation of fordism
* wave of bankruptcies, mergers, plant closures,
* rapid deindustrialisation - over 1 million manufacturing jobs lost 1966-73
83
list the fordist industries lost in the UK 1967-76
ship building
metal mfg
mech engineering
textiles
84
list the uK sectors which grew as fordism was declining and their impact
motor vehicle
aerospace
electrical eng
off putted the decline, but they did happen in different places
85
how were firms restructured as fordism ended
internal organisations - getting rid of middle managers
rise of subcontracting rather than making the whole process
relocating to periphery of Europe/Southern US, but then to middle income countries like China and Mexico
86
what did % employed in manufacturing change from 1970-90 in Rustbelt
50%-37%
87
how many mfg jobs were lost in West Midlands 1978-81
151,00
88
what was the change in steel employment in Sheffield
1971-1888
80,000 to 12,000
89
how did the virtuous cycle break down
higher Unemployment meant less demand
demand went abroad to new competitors, meaning capital left the system
90
what happened to compensation against productivity since 1960
1960s and 1970s, productivity grow steadily but at the same rate
but since 1970s productivity has shot up and wages have not risen and the same rate - gap has risen
91
what did It mean to distinguishing your self from the jones
rather than people trying to keep up with the jones and buy the same things (fordist)
now people were having different spending patterns and trying to be different
92
what shocks contributed to decline of fordism
OPEC oil crisis
foreign competition
breakdown of mass markets
creative destruction
93
outline how the breakdown of mass markets contributed to fordisms decline
increase in non standard consumption, less homogenised goods of mediocre quality
commodities are now cultural lifestyle markers
product differentiation and market fragmentation occur at the same time
94
outline th concept of creative destruction
older tech cannot create new growth
this means new tech spreads through the system
95
outline what is crisis theory
* developed by French theorists, the economy undergoes periodic points of crisis
* periodic over accumulation, then a crisis that devalues this - boom and bust
* this leads to a major restructuring in the labour process and state itself
* David Harvey says this leads to a new round of space time compression
96
explain the ideas of regime of accumulation and mode of regulation
regime of accumulation is the form of production, accumulation and consumption
modes of regulation are the rules which coordinate the system
97
give examples of regimes of accumulation and modes of regulation
regimes = fordism, post fordmism
modes - Keynesian, thachterism
98
the stages of regulation theory leading to crisis
regime of accumulation undergoes crisis
>
mode of regulation cannot support it anymore
>
different policies and strategies
>
new mode of regulation
>
new regime of accumulation
99
outline post fordism as a production system
more flexible production - small inventories, flexible labour,
outsourcing
subconstraction
100
what changes were made to economy in postfordism
more complex and fragmented economy
vertical disintegration
rise of services
new round of time/space compression
101
what is vertical disintegration
when a company that used to do everything by itself, like making a product from start to finish, starts to rely on other companies to help with different parts of the process.
102
what was the great moderation
period of decreased macro volatility from the mid 1980s to 2007
low inflation and positive economic growth
103
what are 3 possible causes of the great moderation according to ben bernanke - the fed chairman
1. structural change in the economy
2. improved Econ policies
3. good luck
104
what structural changes in the economy could have caused the great moderation
* widespread use of computers to enable more accurate business decision making
* advances in financial system
* deregulation
* economy shift toward services
* increased openness to trade
105
how the the great moderation end
crashing halt in financial crisis and great recession
imbalances in the economy that had built for years and even decades by the Fed's easy money policies came to a head
Us housing market collapsed,
106
what did NICE stand for in the UK
non inflationary continuos expansion
107
outline what NICE was like
period of growth above trend, unemployment fell steadily, inflation remains low and stable
108
why did mainstream economists think the great moderation/NICE was less risk prone?
because financial risk has Been spread across institutions and around the world.
109
how did the type of competition change in post fordism
moved to based on innovation - minimising competition by continuously creating new products (temporary monopolies to charge a high price)
110
how did the bottom end of the labour market change post fordism
contingent, precarious, unstable, risky, poorly paid, increased insecurity
111
what does the bifurcated economy mean
the economy splits, with low end firms forming to service high end firms
112
why don't firms compress the wages of top earners anymore
they want to compete and attract and keep valuable performers
113
what is the example of Fords successor
walmart
114
outline what is walmartism
* Walmart is the best example of poor treatment of retail staff
* high levels of scrutiny by managers constantly assigning tasks
* competition solely on price
* spatial fix
115
what is spatial fix in the view of David Harvey
capitalism deals with its own problems by constantly seeking out new spaces and places to invest and expand. So, when capitalism faces issues like overproduction or declining profits in one area, it "fixes" those problems by moving capital (like money, factories, or investments) to new locations where it can make more profit
116
3 powers of TNCs
1. global production networks can coordinate individual production chains
2. actively take advantage of geographical differences in the distribution of labour and in state policies
3. potential geographic flexibility - an ability to switch and reswitch its operations between locations
117
how has the state been restructured since fordism
1. minimising redistribution - welfare benefits gradually more conditional
2. privatising state
3. deregulating
118
what was the state of fordism in the great moderation
as a production system - still going but moved abroad in many forms
but dead as a broader system of political economy
119
why did debts grow in the great moderation
workers on the mid to low end had to use debt to fund their increasing consumption due to stagnating wages
120
the key points of Taylorism. list them!
* **time and motion studies** of workers' movements
* **piece rate payment system** paying workers more who produced more units
* **standardisation of tools and equipment** to ensure uniformity and efficiency
* **specialisation and division of labour**
* **hierarchy and clear lines of authority**
* **training and selective hiring**
* **separation of planning and doing** between managers and workers
* **economic efficiency as a primary goal**
121
