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Course 1: Pre-industrial Society
1) To sell agricultural products on the market, traditional societies abandon farming of
2)Commodities or raw materials are characterised by very strong price fluctuations, which tend to make the export earnings of developing countries unstable.
3) Cuba has become a recent exporter of cash crop such as coffee and grapefruit.
4) In most developed, high-income countries, the primary sector only represents a small share of GDP (=PIB) and employment.
7) Manufacturing began first in small-scale workshops before it moved into factories.
8) The development of industrial activity led to a decline of the medieval guilds as goods
could be produced with less-skilled labour.
10) The “Green Revolution”, irrigation and the use of fertilisers helped increase crop
yield in many developing countries during the late 1960s and 1970s.
11) Investment in capital goods is vital to raising industrial production.
12) As banks and insurance companies merge, they seek to provide their clients with new
14) New tourism services are permanently being created by travel companies to attract new
Rostow describe the industialisation process, traditionnal soceity are completely statics, no muvement. Then pre conditions for the take-off. He was adviser for president Kennedy.
David Landes wrote "The wealth and Poverty of Nations" this was published in the late 1990's and he provides a generally liberal and Euro-centric view of global development.
Landes considers that development began in Europe for numerous reasons. Europe's temperate climate was favourable to agriculture. Technological and institutional change also began wih the Renaissance, the invention of printing, the emergence of banking ( in Italy ) and Europe's discovery of the New World and other continents.
This led to new trade relations, to capital accumulation, to the exploitation of non- European labour in the farm of slavery. In the 18th century the emergence of the rule of law ( Etat de droit) and technological invention ( like the steam engine =machine à vapeur) allowed markets and industrial production to develop. So for Landes industrialisation was not an accidental process but a long turn historical development which occured and a favourable conditions in Europe.
16) During its drive to maturity, a country’s ??? undergoes rapid change, as skill requirements evolve and economic activity shifts geographically.
Read the text below, then answer the following questions:
Feudal society was characterised by agricultural production, mainly of subsistence crops. This was carried out by peasant farmers. A direct share of their output was taken by landlords. Other primary sector activities also existed, such as hunting, fishing, forestry and some mining, as they had always done.
Goods production was undertaken by artisans, often organised in “guilds”. This allowed them to ensure (assurer) the quality of work carried out by fellow tradesmen, and enabled them to protect, themselves from open competition. The artisans undertook small-scale manufacturing, owning their capital equipment, and selling their goods into the market. Craftsmen were also involved in construction.
Lastly, some service sector activities existed. These were mainly what are now called “personal services”, provided by domestic servants. But a few professional services were also carried out by lawyers, bankers, doctors etc.
Agriculture, craft production and trade were very strongly regulated by government. Guilds were protected, and entry into such “trades” required long apprenticeships (apprentissage).
Are the following statements true or false?
17)Landlords were directly involved in physical work. (true/false)
* * *
In the late Middle Ages, various factors came together which began changing the established order. Among other things, these included a certain increase in agricultural output, technological developments (such as the invention of printing), and Europe’s discovery of the rest of the world.
Trading networks had existed for a long time throughout (tout au long) much of the world, but Europe’s age of exploration, from the end of the 15th century onwards, led to a major rise in trade among the various regions of the globe. Yet this rise in foreign trade was often regulated too, with
government (or the monarch) selling trading monopolies to private entrepreneurs.
The key national aim of such foreign trade was the accumulation of money, in the form of
gold and silver. This was the age of mercantilism, when precious metals, or bullion, were
considered as the measure of wealth. Governments therefore sought to limit imports, as
Britain did, for example, by banning Indian cotton in 1700.
Are the following statements true or false?
20) When trade between Europe and the rest of the world increased, it was tightly controlled
by government. (true/false)
In the 18th century, the French Physiocrats began to challenge this system. They favoured the development of liberalised agricultural activity, though significantly they did not believe that manufacturing or service activities created wealth. Quesnay developed the Tableau Economique, which in some ways anticipates modern input-output models, to show how agricultural output is used throughout the economy.
Le modèle créé Quesnay se composait de trois déménageurs économique. Les "propriétaires" de classe se composait de propriétaires uniquement. «Productif» de classe se composait de tous les ouvriers agricoles. Le «stérile» classe est composée d'artisans et de commerçants.
The idea of liberalised economic activity, or a regime of laissez-faire as it is called in English,
was subsequently picked up by Adam Smith, who is generally acknowledged as the founder
of modern economics.
At the same time, that is to say during the 18th century, a number of factors combined to launch(lancement) what is known as the Industrial Revolution. They include the rise of agricultural
production, due to higher crop yields, and the completion of the enclosure of land, which pushed labour off the land. Together these two trends provided surplus resources to be used in
other economic activities: a workforce was therefore available for industry as was the food needed to sustain it.
Are the following statements true or false?
22) The Physiocrats believed that trade in manufactured goods increases wealth. (true/false)
23) Greater food output was a precondition for the Industrial Revolution.
* * *
Put the following verbs into the correct tense:
24) Important too, (to be) ________ the so-called banking revolution in England which (to
see) ______ the creation sophisticated, deep financial markets that (to grow) ______ up to
manage government debt, incurred by war and imperial expansion. The rise of capital
markets also (to make) ________ it possible to mobilise capital for investment.
25) Technological progress and especially the invention of a number of mechanical and
industrial procedures (notably the use of steam-power) also (to open) ______ up new
possibilities for raising output. Lastly, it (passive: to be suggested) ______also ________ that
Europe’s, and especially Britain’s triangular slave trade (to allow) ______ vital capital to be
accumulated and used in industrial investment.
26) Development (to occur) ______ above all in a certain number of basic industries: coal,
iron, and textiles. These activities (to be) _____ often ______ the first industrial activities to
emerge in all countries experiencing developed.
27) Later, in the 19th century these activities (passive: to be followed) ____________ by rapid
growth in the railway industry in particular, and then by the so-called 2nd Industrial
Revolution as of the 1870s. This was based far more on the application of science to industry,
and the emergence of electricity as a source of power on the one hand, and the development
of chemicals on the other.
* * *
Complete the text below using the following words:
population organisation linear phenomena mass shipbuilding expropriation
28) Described in this way, the Industrial Revolution has traditionally been seen as a ______
process. Rostow’s 5 stages of development ending in the age of high ______ consumption are
perhaps the most obvious example of this. This approach to development has been criticised,
as essentially being a western form of economic and social ______ that is exported to the rest
of the world.
29) Many of the ______ which accompanied the Industrial Revolution in Europe are still
prevalent in the world today, though the pace of change and the inter-connectedness of the
world economy are obviously now far greater than they used to be.
30) Peasant farmers are still being pushed off the land, either by ______ or by the shift of
agricultural production into cash crops, which undermines subsistence societies.
31) Urbanisation in the developing countries is extremely rapid, a situation which is
compounded by high ______ growth rates.
32) Industries like textiles, iron and steel, ______ – in short activities which are labour
intensive – are still key sectors in the development process.
33) The reaction by the industrialised countries has been to try to manage the competitive
challenge from the developing world. Thus, these industries are often subject to ______, so
that working populations in the industrialised countries have time to adapt to their loss of
4) In what way do today’s developing countries follow the development model of the
5) How does the industrialised world react to competition from the developing countries?
Question 17/ false, 18/ false, 19/ false, 20/ true, 21/ false, 22/ false, 23/false, 24/ were, saw,
grew, made, 25/ opened, is (also) suggested, allowed, 26/ occurred, have (often) been, 27/
were followed, 28/ linear, mass, organisation, 29/ phenomena, 30/ expropriation, 31/
population, 32/ shipbuilding, 33/ protectionism.
Course 2 : Classical economics
Smith : An Inquiry into the Nature and Causes of the Wealth of Nations
Find synonyms :
improved examined functions usually productions
Adam Smith is generally held to be the founder of modern economics. Writing in the late 18th century, he described numerous economic phenomena which are seen to be at the heart of the market mechanism and capitalist economic production.
To begin with, Smith notes haw economic activity – and more specifically manufacturing output may be enhanced by the division of labour (peut être améliorée par la division du travail.). By splitting up the production process (En divisant le processus de production ), the output of labour may be increased as tasks are simpler to learn and time is saved in moving from one activity to another.
Improved = enhance
examined = describe
functions = activity
usually = generally
production = output
*the Enlightment = siècle des Lumières
According to Smith the division of labour is only limited by the capacity to exchange, in other words to sell products into the market and with the earnings to buy other products. This observation leads him logically to favour free markets, in which individuals may participate without government regulation.
Indeed (en effet), Smith affirms that such free markets are capable of generating a harmonious organisation of society. In a much quoted sentence he notes that : “It is not from the benevolence of the butcher, the brewer ( brasseur), or the baker (boulanger) that we expect our dinner, but from their regard to their own interest. We address ourselves, not to their humanity but to their self-love, and never talk to them of our own necessities but of their advantage”. This view of the market as spontaneously coordinating economic activity has more generally been referred to as the “invisible hand”.
Benefit = advantage
restricted = limited
Use the following words to complete the sentence : skill, productive, directed, labour
Chapter I : “ The greatest improvement in the production powers of labour, and the greater part of the skill, dexterity, and judgement with which it is anywhere directed, or applied, seem to have been the effects of the division labour”
Chapter III : put the folowing words in the correct order to make a sentence.
The division of labour is limited by the extent of the market.
Ricardo. Chapter VII “On Foreign Trade”. The principles of Political Economy and Taxation.
Use the following words to complete the paragraph : good, economically, free, beneficial, distributes, interest.
Under a system of perfectly free commerce, each country naturally devotes its good capital and labour to such employments as are most beneficial to each. This pursuit of individual advantage is admirably connected with the universal good of the whole.
By stimulating industry, by rewarding ingenuity, and by using most efficaciously the peculiar powers bestowed by nature ( pouvoir particulier donnée par la nature), it distributes labour most effectively and most economically : while, by increasing the general mass of productions, it diffuses general benefit, and binds together, by one common tie of interest (lien commun des intérêts) and intercourse(rapports), the universal society of nations throughout(à travers) the civilised world.
Marx K. “ Wages, price and profit” in Marx and Engels del. Works in One Volume,
Use the following words to complete the paragraph : quantity, selling, value, profits
Section VI : On an average, commodities are sold at their real value, and […] profit are derived from selling them at their values, that is, in proportion to the quantity of labour realised in them.
Working man, power, capitalist
Section VII : What the working man sells is not directly is Labour, bur his Labouring power, the temporary disposal of which he makes over to the capitalist.
Consumed, necessary, necessaries, wear out.
The Value of Labouring Power is determined by the quantity of labour necessary to produce it. The labouring power of a man exist only in his individuality. A certain mass of necessaries must be consumed by a man to grow up and maintain his life. But the man, like the machine will wear out (= s'user), and must be replaced by another man.
Proportion, reproduce, surplus time, working-day.
Section IX : The rate of surplus value, all other circumstances remaining the same, will depend on the working-day between that part of the proportion necessary to reproduce the value of the labouring power and the surplus time or surplus labour performed for the capitalist. It will, therefore, depend on the ration in which the working-day is prolonged over and above that extent, by working which the working man would only reproduce the value of his labouring power, or replace his wages.
Texte dictée :
Immanuel Wallerstein's – Historical Capitalism ( Le capitalisme historique en repère)
This is a general critic of capitalism as a world system.
Wallerstein also draws on Marx in analysing capitalism as a historical process, as a social system created over-time.
Wallerstein considers that the process of capital accumulation and the un ending expansion of the market economy are irrational.
In particular, Wallerstein hypothesises that global capitalist development actually lead to ever greater absolute poverty.
Wallerstein also notes that capitalism has expended throughout not so much to create new markets or access row materials but rather to draw more and more labour into the market economy.
Significantly, the intentional division of labour and division of labour as always based on racial lines : different races as historically done different work.
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