2024 Work and Economy -Part 1 1 (1)

Chapter 17: Economy and Work

The Economy: Overview

  • The economy is defined as the social institution that organizes:

    • Production: Creation of goods and services.

    • Distribution: Delivery of goods and services to consumers.

    • Consumption: Use of goods and services by consumers.

  • Goods: Range from necessities (food, shelter) to luxury items (decorative items).

  • Services: Activities that benefit others, contributing to societal function.

Gig Economy

  • Film Reference:

    • "Sorry we missed you" (2-minute clip)

    • Full film link available via designated methods:

      1. Click on "Sorry we missed you" link.

      2. Select "Criterion on Demand (OCUL) – Canada".

      3. Sign in with your Network Login Account if prompted.

      4. Select "English Audio" for viewing.

Historical Overview of the Economy

Agricultural Revolution

  • Transition from hunters and gatherers to agriculture occurred ~5000 years ago.

  • Characteristics of the agricultural economy:

    • Technological advancements: Introduced new farming methods.

    • Job specialization: Emergence of diverse roles in society.

    • Permanent settlements: Establishment of communities.

    • Trade: Development of exchange systems for goods and services.

Industrial Revolution

  • Began in the mid-1700s, initially in England, later spreading to North America.

  • Influenced the economy in five significant ways:

    1. New sources of energy: Transition from animal and human power to fossil fuels.

    2. Centralization of work: Shift towards factories as primary workspaces.

    3. Manufacturing and mass production: Production of goods in larger quantities.

    4. Specialization: Increased expertise in specific tasks or roles.

    5. Wage labor: Emergence of employment based on salaries/pay.

Information Revolution and Post-Industrial Society

  • Beginnings in the 1950s, fundamentally changed work dynamics:

    1. Movement from tangible products to ideas and innovation.

    2. Shift from mechanical skills to literacy and cognitive skills.

    3. Flexibility in work locations - moving away from factories.

Sectors of the Economy

  • Primary Sector: Extracts raw materials from the natural environment (e.g. farming, mining).

  • Secondary Sector: Transforms raw materials into manufactured products (e.g. manufacturing processes).

  • Tertiary Sector: Focused on service provision rather than products (e.g. healthcare, education).

Gig Economy Dynamics

  • Definition of Gig Workers:

    • Includes independent contractors, online platform workers, contract firm workers, on-call workers, and temporary workers.

  • Gig workers engage in formal agreements with companies to deliver services to clients on demand.

The Global Economy

Concept

  • Global Economy: Expansion of economic activities that transcend national borders.

  • Predicted by Marshall McLuhan as a result of new information technology.

  • Countries' significance in economic matters has diminished over time.

Major Consequences of Global Economy

  1. Global division of labor: Tasks are distributed internationally.

  2. Product journey: Goods pass through multiple nations during production.

  3. National governance: Diminished control over local economies by governments.

  4. Market control: A limited number of businesses dominate significant market shares.

  5. Worker rights: Raises concerns regarding workers' rights and opportunities across global labor markets.