Sociology 323
Economy & Society
Class 4 – Economics For
Everyone Part 1
Video
Banks can take money directly out of
your account if there is a financial crisis
http://www.youtube.com/watch?v=0GSawPmduNYhttp://www.youtube.com/watch?v=YSX5QrQnnKw
http://www.youtube.com/watch?v=FhYwlBvAomI
http://www.globalresearch.ca/the-confiscation-of-savings-in-canada-cyprus-style-bail-ins-proposed-by-ottawagovernment/5329263
http://www.budget.gc.ca/2013/doc/plan/budget2013-eng.pdf
Chapter 3 – Economic
History
- Hunter Gathering
- Slave Ownership
- Feudalism
- Capitalism
- Something Else?
Chapter 3 – Economic
History
Capitalism Came From
- New Technology
- Empire
- Government
- Resources
Not mentioned by Stanford
- Emancipation of slavery
- Emergence of cooperative labour
Capitalism created a power struggle
Chapter 3 – Economic
History
Key Goals and Tools of Neoliberalism
Key Goals:
- Reduce and control inflation; protect the value of financial wealth
- Restore insecurity and “discipline” to labour markets
- Eliminate “entitlements”; force families to fend for themselves
- Roll back and refocus government activities to meet business needs; cut taxes
- Generally restore the economic and social dominance of private business and
wealth
- Claw back expectations; foster a sense of resignation to insecurity and hardship
Key Tools:
- Use interest rates aggressively to regulate inflation and control labour markets
- Privatize and deregulate more industries
- Scale back social security programs (especially for working-age adults)
- Deregulate labour markets (including attacks on unions)
- Use free-trade agreements to expand markets and constrain government
interventions
Chapter 3 – Types of
Capitalism
See table on page 50 of Economic
for Everyone
Chapter 4 – Politics of
Economics
Early History of Economics
Mercantilism
- Trade
Physiocrats
- Agriculture
Classical Economics
- Comparative Advantage
- Free Market (invisible hand)
Marxism
- Exploitation
Neoclassical Economics
- Focus on Individuals not Classes
- Market Equilibrium (Supply and Demand; Walrasian general
equilibrium)
- Mathematics
- Supply Constrained
Keynes
- Effective Demand/Demand Constrained
Chapter 3 – Economics
and Politics
See table on page 60 of
Economics for Everyone
Chapter 4 – Economy,
Economics, Politics
Economic development has paralleled the
development of the economy itself
Economics is not a pure science
Very debated topic