Economic Development, Globalization, and the Spread of Capitalism
3/19/18
I. The Myth of Primitive Societies
A. Primitive = natural1. Clear distinction between nature and cultureB. Primitive = behavior dictated by culture
2. Human history is progressive evolution from nature to culture1. Malinowski: kula is complex, non-utilitarian, traditionalC. Problem with both views: colonialism
2. Polanyi: social institutions shape behavior, no natural impulses
3. Prisoners of culture?
4. Logic and science of West vs. tradition and culture of the rest1. No pristine primitive societies for anthropologists to study
2. New Guinea (includes Trobriand Islands)a. claimed by Spain in 15453. Trobriand Islands changing when Malinowski got there
b. 18th to 19th centuries, colonized by both England and Germany
c. 1906 and World War I ==> Australian
d. Protestant missionaries
e. European goods and money
II. The Three Stages of Colonialism
A. Exploration (late 15th-mid 17th centuries)1. Outposts in America, Africa, and AsiaB. Mercantilism (17th century and 18th centuries)
2. Portuguese explore southern Africa toward India
3. Spanish conquistadors in North and South America
4. French in Canada in 17th century
5. English in North America1. Term coined by Adam Smith in 1776 as part of his critiqueC. Imperialism (late 18th-mid 20th century)
2. Theorya. National wealth is measured by gold and silver3. Dutch mercantilism
b. Colonies exist to benefit mother country, help achieve profit
c. Mother country gets raw materials, sells colonies finished products
d. Monopolistic tradea. 16th century: leading European colonial and commercial power
b. Become de facto rulers of territorial bases
c. Colony in Indonesia, base for trade with Asia1. Impact of Adam Smith's laissez-faire philosophyD. World Wars and Russian Revolution destabilize colonies
2. Industrial Revolution starts in England in 1760s
3. Industrial nations want to expand markets for manufactured goods
4. Colonies supply industrial raw materials and food
5. Imperialist economic policiesa. Land-holding: private property, European acquisition, plantations6. Direct rule, new legal codes, cultural assimilation, military force
b. Cheap wage labor for commercial agriculture and mining
c. Encourage spread of money and commodities, money payments for taxes, land rents
d. Block native production and exports
7. British Empire includes South Pacific, East Asia, South Atlantic, African coast, India (1803)
8. Spain and Portugal decline as colonial powers
9. Imperialism accelerates, late 19th-early 20th centuriesa. More nations: Germany, the United States, Belgium, Italy, Japan, and Russia
b. More territory: China (trade zones), Africa
E. 1950s-1970s: most colonies become independent
III. Factors explaining colonialism
A. Colonialism and Capitalism are linked1. John Atkinson Hobson: Imperialism, a Study (1902)B. Joseph Alois Schumpeter's sociological explanationa. Colonialism results from financial interests of capital-owning classes2. V.I. Lenin
b. Excess capital, slow expansion of domestic markets ==> colonies as sites for capital expansiona. Capitalism in Europe had become monopolistic
b. Large firms want monopolies over extraction of raw materials
c. Imperialism as natural expression of monopolistic capitalism1. "The Sociology of Imperialism" (1919), published in GermanyC. Other explanations
2. Three conditionsa. Persistent tendency for war and conquest3. Conclusion: capitalism doesn't naturally promote imperialism, but it does result from monopolistic interest groups, capitalism gone awry
b. These urges result from history, they are not innate
c. Tendency toward conquest is promoted by certain interest groups who stand to gain socially and economically1. National identity
2. Religion
3. "White man's burden"
IV. Postcolonialism: Economic Development and Globalization
A. Postcolonial conditions1. Cheap labor, relatively unskilledB. Development policy
2. Cheap raw materials
3. Poor infrastructure
4. Agriculture, mining, or natural resources accounted for a large proportion of national income
5. Dependency on one or two products1. Top-down: governments, multi-national corporations, NGOs
2. Primary goalsa. transition from agriculture to industry (industrialization)3. Key assumptions
b. population movement from rural to urban areas (urbanization)
c. increase in labor productivity and specialization (modernization)
d. rise of state as economic planner (bureaucratization)a. rural sector declines, not productive, isn't important4. Policies to jump-start industry
b. use agricultural surplus to expand industrya. overvalue currency, imported industrial inputs are cheap5. Policies to extract rural surplus
b. low industrial workers' wages, at subsistence level
c. low food prices subsidize urban industrial workforce
d. import substitutiona. direct export tax6. Secure foreign aid and investment for industry
b. cheap food prices
c. State revenues from export taxes go to industry
d. Decline in agricultural productivity frees up more farmers to work in industry
e. Declining profits in rural sector prompt urban migration
f. Nearly infinite supply of cheap labor from rural areas benefits industrialists
7. Impact of these policiesa. Economic growth
b. Prestige projects: superhighways, airports
c. Traditional parts of economy saw little development
d. Cheap labor force lacks skills
e. Growing foreign indebtedness
f. Perpetuation of global inequalities created by colonialism
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