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Allocation of ResourcesAllocation of Resources LandLand
•Hunter-gathers, Hunter-gathers, horticulturists, and horticulturists, and pastoralistspastoralists
•Agriculture (civilization)Agriculture (civilization)
CapitalismCapitalism Adam Smith- “The Wealth of Adam Smith- “The Wealth of
Nations”Nations” Accumulation of capital Accumulation of capital
(commodities)(commodities) Private ownershipPrivate ownership Free MarketFree Market (supply and (supply and
demand)demand)
Socialism Socialism Marx and EngelsMarx and EngelsPublic ownershipPublic ownershipHistory is a conflict History is a conflict between “haves” and between “haves” and “have nots”“have nots”
Conversion of Conversion of ResourcesResources
Types of economic Types of economic productionproduction•DomesticDomestic•IndustrialIndustrial•Post-industrialPost-industrial
Division of LaborDivision of Labor1.1. By genderBy gender
2.2. By AgeBy Age
3.3. Specialization- grows as Specialization- grows as societies become more societies become more complexcomplex
Decisions About WorkDecisions About Work Optimal Foraging Theory- Optimal Foraging Theory-
individuals seek to individuals seek to maximize returns on their maximize returns on their labor when deciding which labor when deciding which plants and animals to go plants and animals to go afterafter
ReciprocityReciprocity Generalized- w/o Generalized- w/o
expectationsexpectations Balanced – with Balanced – with
expectationsexpectations
Market or Commercial Market or Commercial ExchangeExchange
Economy based on buying Economy based on buying and sellingand selling
May or may not involve May or may not involve moneymoney•Barter, money, creditBarter, money, credit•General or Special Purpose General or Special Purpose MoneyMoney
Sex, Gender and CultureSex, Gender and Culture Humans are sexually Humans are sexually
dimorphicdimorphic Sex is a biological Sex is a biological
constructconstruct Gender is a social Gender is a social
constructconstruct
Division of Labor by Division of Labor by GenderGender
Strength TheoryStrength Theory Compatibility-With-Childcare-Compatibility-With-Childcare-
TheoryTheory Economy-of-Effort TheoryEconomy-of-Effort Theory Expendability Theory Expendability Theory
StratificationStratification Access to power, prestige, Access to power, prestige,
and resources and resources Gender stratificationGender stratification
Personality DifferencesPersonality Differences Nature vs. NurtureNature vs. Nurture Some gender behaviors Some gender behaviors
are universalare universal•Males-aggressiveness, Males-aggressiveness, larger play groupslarger play groups
•Females-smaller play Females-smaller play groups, conformity to adultsgroups, conformity to adults
SexualitySexuality Cultural RestrictionsCultural Restrictions
•Premarital and extramarital sexPremarital and extramarital sex•HomosexualityHomosexuality•generalgeneral
““World Flatteners”World Flatteners”
1.1. 19891989 Fall of The Berlin Wall (Socialism)Fall of The Berlin Wall (Socialism) Windows (Microsoft)Windows (Microsoft)
2.2. InternetInternet3.3. Workflow softwareWorkflow software4.4. OutsourcingOutsourcing
““World Flatteners”World Flatteners”5. Offshoring5. Offshoring
6. Open Sourcing6. Open Sourcing
7. Supply Chaining7. Supply Chaining
8. Search engines8. Search engines
9. Wireless 9. Wireless
The Modern World The Modern World 2121stst Century Global Century Global StratificationStratification
Why?Why?
Origins of Western PowerOrigins of Western Power
1400s1400s•ImperialismImperialism•ColonialismColonialism•IndustrialismIndustrialism
Colonialism and NationsColonialism and Nations
Many modern nations were Many modern nations were created by colonial powers with created by colonial powers with little regard for ethnic history little regard for ethnic history and cultureand culture•Sudan (voting on separating)Sudan (voting on separating)•Iraq (Sunni, Shiite, Kurd) Iraq (Sunni, Shiite, Kurd) •India (Now India and Pakistan)India (Now India and Pakistan)
East-West Axis and CivilizationEast-West Axis and Civilization
Nile Valley Egypt)Nile Valley Egypt) Indus Valley (India)Indus Valley (India) Tigris and Euphrates Valley Tigris and Euphrates Valley
(Mesopotamia)(Mesopotamia) Huang-he Valley (China)Huang-he Valley (China)
DomesticationDomestication Middle East-Middle East- Wheat, Pea, Olive, Wheat, Pea, Olive,
Sheep, Goat (8500BC)Sheep, Goat (8500BC) ChinaChina- Rice, Millet, Pig, Silkworm - Rice, Millet, Pig, Silkworm
(7500BC)(7500BC) SahelSahel (N.W. Africa)- Sorghum, (N.W. Africa)- Sorghum,
Rice (5000BC)Rice (5000BC)
DomesticationDomestication Indus Valley-Indus Valley- Sesame, Sesame,
Eggplant, Cattle (7000BC)Eggplant, Cattle (7000BC) EgyptEgypt- Fig, Cat (6000BC)- Fig, Cat (6000BC) New GuineaNew Guinea -Sugar Cane, -Sugar Cane,
Banana (7000BC)Banana (7000BC) Americas-Americas- Corn, Beans, Corn, Beans,
Squash, Potato (3500BC)Squash, Potato (3500BC)
Domestication of AnimalsDomestication of Animals1.1. SheepSheep2.2. GoatGoat3.3. CattleCattle4.4. PigPig5.5. HorseHorse6.6. CamelCamel7.7. Llama/ AlpacaLlama/ Alpaca8.8. DonkeyDonkey9.9. ReindeerReindeer10.10. Water Buffalo Water Buffalo
*Dogs c.10KYA*Dogs c.10KYA
East-West Axis + Favorable Species East-West Axis + Favorable Species =Civilization=Civilization
Civilization + Domestication = Civilization + Domestication = GermsGerms
Civilization = Civilization = TechnologyTechnology
Guns, Germs, and SteelGuns, Germs, and Steel
G20G20
Collectively, the G-20 economies comprise Collectively, the G-20 economies comprise 85% of global gross national product, 80% 85% of global gross national product, 80% of world trade and two-thirds of the world of world trade and two-thirds of the world population.population.
studies, reviews, and promotes discussion studies, reviews, and promotes discussion of policy issues pertaining to the of policy issues pertaining to the promotion of international financial promotion of international financial stability, and seeks to address issues that stability, and seeks to address issues that go beyond the responsibilities of any one go beyond the responsibilities of any one organization organization
World BankWorld Bank
The World Bank is an international The World Bank is an international financial institution that provides financial institution that provides loans to developing countries for loans to developing countries for capital programs. The World Bank capital programs. The World Bank has a stated goal of reducing has a stated goal of reducing poverty. By law, all of its decisions poverty. By law, all of its decisions must be guided by a commitment to must be guided by a commitment to promote foreign investment, promote foreign investment, international trade and facilitate international trade and facilitate capital investment.capital investment.
IMFIMF
The International Monetary Fund The International Monetary Fund (IMF) is the intergovernmental (IMF) is the intergovernmental organization that oversees the global organization that oversees the global financial system by following the financial system by following the macroeconomic policies of its macroeconomic policies of its member countries, in particular member countries, in particular those with an impact on exchange those with an impact on exchange rate and the balance of payments.rate and the balance of payments.
““BRIC Nations”BRIC Nations”
BrazilBrazil RussiaRussia IndiaIndia ChinaChina
Rapidly growing world economiesRapidly growing world economies
Criticisms Criticisms In a 2007 Foreign Policy magazine article, In a 2007 Foreign Policy magazine article,
Pankaj Ghemawat (professor at Harvard Pankaj Ghemawat (professor at Harvard Business School), argued that Business School), argued that ninety ninety percent of the world's phone calls, percent of the world's phone calls, Web traffic, and investments are Web traffic, and investments are locallocal, suggesting that Friedman has , suggesting that Friedman has grossly exaggerated the significance of grossly exaggerated the significance of the trends he describes: "Despite talk of a the trends he describes: "Despite talk of a new, wired world where information, ideas, new, wired world where information, ideas, money, and people can move around the money, and people can move around the planet faster than ever before, just a planet faster than ever before, just a fraction of what we consider globalization fraction of what we consider globalization actually exists."actually exists."
Friedman is right that there have been Friedman is right that there have been dramatic changes in the global economy, dramatic changes in the global economy, in the global landscape; in some in the global landscape; in some directions, the world is much flatter than directions, the world is much flatter than it has ever been, with those in various it has ever been, with those in various parts of the world being more connected parts of the world being more connected than they have ever been, but the world than they have ever been, but the world is not flat […] Not only is the world not is not flat […] Not only is the world not flat: in many ways it has been getting flat: in many ways it has been getting less flat.less flat.
• Nobel Prize winning economist Joseph Nobel Prize winning economist Joseph StiglitzStiglitz
Environmental IssuesEnvironmental Issues
Natural DisastersNatural Disasters Pollution Pollution Lack of ResourcesLack of Resources
PovertyPoverty
MalnutritionMalnutrition Lack of education/ Lack of education/
opportunityopportunity crimecrime