Page 392 - Essencials of Sociology

Summary and review 365

How are economic systems linked to types of the Globalization of Capitalism
societies?
In the earliest societies (hunting and gathering), small 11.8 Discuss the globalization of capitalism, including its effects
groups lived off the land and produced little or no surplus. on workers, the divisions of wealth, and the global superclass.
Economic systems grew more complex as people discovered
how to domesticate animals and grow plants (pastoral and What is the new global structure?
horticultural societies), farm (agricultural societies), and The world’s nations are forming major trading blocs. As
manufacture (industrial societies). As people produced a sur- multinational corporations seek the lowest costs of produc-
plus, trade developed. Trade, in turn, brought social inequal- tion, millions of jobs are transferred to nations where work-
ity as some people accumulated more than others. Service ers are paid little. This is causing great suffering to workers
industries dominate the postindustrial societies. If a biotech who are losing their jobs and to those whose pay is stagnant.
society is emerging, its consequences, too, will be far reach- At the same time, an ultra-wealthy and powerful global
ing. Pp. 348–352. superclass has risen. Pp. 356–362.

World economic Systems a New World Order?

11.7 Contrast capitalism and socialism: their components, 11.9 Explain how the globalization of capitalism might be
ideologies, criticisms, and convergence. bringing a New World Order.

How do the major economic systems differ? Is humanity headed toward a world political system?
The world’s two major economic systems are capitalism and The globalization of capitalism, the global superclass, and the
socialism. In capitalism, private citizens own the means of trend toward regional economic and political unions may in-
production and pursue profits. In socialism, the state owns dicate that a world economic-political system is developing.
the means of production and has no goal of profit. Adher- Competing interests and internal contradictions might prevent
ents of each have developed ideologies that defend their a New World Order from developing, but if one does emerge,
own systems and paint the other as harmful or even evil. As the consequences for human welfare could be calamitous.
expected from convergence theory, each system has adopted Pp. 362–364.
features of the other. Pp. 352–356.

Thinking Critically about Chapter 11
1. What are the three sources of authority, and how do they 3. What global forces are affecting the U.S. economy? What
differ from one another? consequences are they having? How might they affect
2. Apply the three essential conditions of war and its seven your own life?
fuels to a recent (or current) war that the United States
has been (or is) a part of.