CHAPTER 13CHAPTER 13

POLITICS AND THE POLITICS AND THE ECONOMYECONOMY

Political institutions are sets of norms and Political institutions are sets of norms and statuses that specialize in the exercise of statuses that specialize in the exercise of power and authority.power and authority.

PowerPower is the “Ability to get is the “Ability to get others to act as one wishes in others to act as one wishes in spite of their resistance” spite of their resistance” (Brinkerhoff, 6(Brinkerhoff, 6thth edition, p. 344). edition, p. 344).

““Authority Authority is power supported by is power supported by norms and values that legitimate its norms and values that legitimate its use” (Brinkerhoff, p. 301).use” (Brinkerhoff, p. 301).

Weber’s Three Types of Authority:

• Traditional

• Charismatic

• Rational-legal

““Traditional authority Traditional authority is a right to is a right to make decisions for others that is make decisions for others that is based on the sanctity of time-honored based on the sanctity of time-honored routines” (Brinkerhoff, p. 302).routines” (Brinkerhoff, p. 302).

““Charismatic authority Charismatic authority is a is a right to make decisions that is right to make decisions that is based on perceived based on perceived extraordinary personal extraordinary personal characteristics” (Brinkerhoff, p. characteristics” (Brinkerhoff, p. 302).302).

““Rational-legal authority Rational-legal authority is a is a right to make decisions that is right to make decisions that is based on rationally established based on rationally established rules” (Brinkerhoff, p. 302).rules” (Brinkerhoff, p. 302).

The state, or nation-state, “is the social The state, or nation-state, “is the social structure that successfully claims a structure that successfully claims a monopoly on the legitimate use of monopoly on the legitimate use of coercion and physical force within a coercion and physical force within a territory” (Brinkerhoff, p. 303).territory” (Brinkerhoff, p. 303).

Two Characteristics of Nation-States

1. Broader jurisdiction for decision making

2. Control over the use of coercion

A A political partypolitical party is an association is an association specifically organized to win specifically organized to win elections and secure power over the elections and secure power over the personnel and policies of the state.personnel and policies of the state.

Parties that seek legitimate Parties that seek legitimate power and accept the rule of power and accept the rule of other legitimate parties form a other legitimate parties form a loyal oppositionloyal opposition..

Revolutionary political parties Revolutionary political parties do not do not view the state as legitimate and do not view the state as legitimate and do not seek authority through legitimate seek authority through legitimate procedures.procedures.

Democracy, rule by a nation’s citizens, must meet three conditions: 1. The political

culture legitimizes the democratic system and its institutions.

2. One set of political leaders holds office.

3. One or more sets of leaders do not hold office but act as a loyal opposition.

The stability of Democracies rests with four structural features (Lipset):1.economic

development

2.urbanization

3.literacy

4.a culture that values equality and tolerates dissent.

The power elite model of democracy suggests that leaders in three areas hold most of society’s power (Mills):• government

• economy

• military

ECONOMYECONOMY

Economic institutions “are social structures concerned with the production and distribution of goods and services” (Brinkerhoff, p. 313).

Economic Evolution

ECONOMICPERIOD

ECONOMICSYSTEM

Preindustrial Primary Production(extract raw materials)

Industrial Secondary Production(process rawmaterials)

Postindustrial Tertiary Production(service occupations)

““CapitalismCapitalism is an economic system in which most wealth is an economic system in which most wealth (land, capital, and labor) is private property, to be used by its (land, capital, and labor) is private property, to be used by its owners to maximize their own gain” (Brinkerhoff, p. 313).owners to maximize their own gain” (Brinkerhoff, p. 313).

Four Characteristics of Capitalism:

(1) private ownership of the means of production

(2) profit as incentive(3) free competition for

markets to sell goods, acquire cheap materials, and utilize cheap labor

(4) restless expansion and investment to accumulate capital

When one firm occupies a commanding When one firm occupies a commanding position in an industry it has a monopoly.position in an industry it has a monopoly.

““Socialism Socialism is an economic system in which productive tools is an economic system in which productive tools (land, labor, and capital) are owned and managed by the (land, labor, and capital) are owned and managed by the workers and used for the collective good” (Brinkerhoff, p. workers and used for the collective good” (Brinkerhoff, p. 313).313).

Characteristics of Socialism

• Means of production owned by group (state)

• equitable distribution as incentive

• managed markets

“Political economy refers to the interaction of political and economic

forms within a nation” (Brinkerhoff, p. 314).

• Communism = Socialism + Dictatorship

• Democratic Socialism

• Welfare Capitalism

Left WingLeft WingLiberalLiberalDemocratDemocratSocialistSocialist

Right WingRight WingConservativeConservativeRepublicanRepublicanCapitalistCapitalist

ModerateModerate

Government Government playsplaysstrong role in strong role in economy.economy.

Government Government plays plays minimal role minimal role in economy.in economy.

Political EconomyPolitical Economy