Monday, October 27, 2008
Short Synopsis of How Capitalism Works and the Good About It Draft 2
“Capitalism is an economic system based on private property and the profit motive in which goods and services are produced, distributed, and consumed through free markets.” The dominate framework of capitalism is the land, the labor, and the capital; where the land is the raw materials that are used to make the goods or stuff that are needed to make the services possible, the labor is the people who are actually doing the work that is done to process the free market, and the capital is the money or tools used to make profit. Capitalism enables one to make more money if one has the ability to so one does not have to be on the same social class than others. People invest wealth on capital to make profit that turns into more wealth. Some of that wealth is being reinvested onto the capital to make even more profit that turns into even more wealth. In the definition of capitalism, profit motive is the desire to make money. The founder of the apple company wanted to make money and, therefore, created the apple company. The market price is the price buyers and sellers agree on; the price almost always higher than what the buyer wants to buy the product at and lower than what the seller intends to sell the products at. This way, buyers can buy products at a price they wish to pay and sellers can sell the product at a price where they can still make profit. The free market is all about competition and negotiation. The prices in free markets are not set and therefore people can compete and negotiate with prices. "Everyone benefits from lower prices" (Bland). Companies compete to make more money by lowering the prices to try to get people to buy their products. This way, people can buy products at a lower price while companies still make money with the lowered price. Capitalist countries allow “two-for-one special on sleeping bags in aisle three”. The fact that stores close down do not necessarily have to be bad news. “They close down because they can't compete. They can't deliver the quality good at the lowest price. The market mechanism dictates these losers be replaced with the firm that will best serve the public interest.” Capitalism eliminates the stores that carry products with poor quality. Having a capitalist economy provides better products for the people by getting rid of the stores that cannot give the people what they want. Capitalism enables social mobility and is led by the invisible hand. The invisible hand is thought as an actual hand or an angel that comes to lift things and make things work together. Without the invisible hand, people would not be able to work together to get what people want to need. During the 1800’s in a small town of Hamilton, Valentin Keller was a 26 year old, small, 5 feet 6 inches tall tailor (Boaz). Keller had gotten sick a year later and died at the age of 41; his 36 year old wife later joined him a month later. But the rest of his family is taller, heavier, healthier, and living longer today than Keller himself when he was living. Gina Kolata researched and reports the scientific findings and interviews on why Americans today are able to maintain their healthiness compared to Americans in the 19th century. Dr. Robert W. Fogel found that the retirement age was around 85 and now, the retirement age is around 62. Boaz believes that capitalism is the answer to the significant changes between American health today and American health back then. The process of creating more wealth has caused capitalist countries to invest that wealth on sanitation, more than enough food for the people, vaccines, and antibiotics. Capitalism caused better sanitation and better immune system so people today will not get sick as easily.
Short Synopsis of How Capitalism Works and the Good About It
“Capitalism is an economic system based on private property and the profit motive in which goods and services are produced, distributed, and consumed through free markets.” The dominate framework of capitalism is the land, the labor, and the capital; where the land is the raw materials that are used to make the goods or stuff that are needed to make the services possible, the labor is the people who are actually doing the work that is done to process the free market, and the capital is the money or tools used to make profit. Capitalism enables one to make more money if one has the ability to so one does not have to be on the same social class than others. People invest wealth on capital to make profit that turns into more wealth. Some of that wealth is being reinvested onto the capital to make even more profit that turns into even more wealth. In the definition of capitalism, profit motive is the desire to make money. The founder of the apple company wanted to make money and, therefore, created the apple company. The market price is the price buyers and sellers agree on. It is almost always higher than what the buyer wants to buy the product at and lower than what the seller intends to sell the products at. This way, buyers can buy products at a price they wish to pay and sellers can sell the product at a price where they can still make profit. The free market is all about competition and negotiation. The prices in free markets are not set and therefore people can compete and negotiate with prices. Capitalism enables social mobility and is led by the invisible hand. The invisible hand is thought as an actual hand or an angel that comes to lift things and make things work together. Without the invisible hand, people would not be able to work together to get what people want to need.
Saturday, October 25, 2008
"I, Pencil" Summary, Quotes, and Analysis (Edit)
The main idea of this essay is that people are limited to what they can do. The pencil talks about what it is made of to show all the people that are needed to make it. Fortunately, none of these people actually know how to make the pencil all by themselves because this way, people can work together to create something that is used everyday in life (like the pencil). The pencil is created because of natural forces that cause one to do what they know in exchange for other goods/services.
1. "Simple? Yet, not a single person on the face of this earth knows how to make me."
2. "Think of all the persons and the numberless skills that went into their fabrication..."
3. "The absence of a master mind, of anyone dictating or forcibly directing these countless actions which bring me into being."
The pencil's reference to the amount of people needed to make it and the different materials that is needed to make it is similar to the working factor of capitalism. The people are the labor; the tree, seed, etc. are the land, and the saws, trucks, ropes, etc. are the capital. No one knows how to make the pencil all by themselves because they are only told what to do and not to do what they can do. Some people create part of the pencil and the other people create the other part of the pencil. They create the parts without knowing what the parts are for or why they are doing it. The only thing they do know is that they are creating these parts to exchange for other goods/services they need. This natural force that cause people to create the pencil without knowing that they are creating it is "the Invisible Hand". The Invisible Hand causes large companies and/or corporations to become greedy and take advantage of their workers. Therefore, these large companies and/or corporations are one of the factors that cause people to work together in creating something useful.
1. "Simple? Yet, not a single person on the face of this earth knows how to make me."
2. "Think of all the persons and the numberless skills that went into their fabrication..."
3. "The absence of a master mind, of anyone dictating or forcibly directing these countless actions which bring me into being."
The pencil's reference to the amount of people needed to make it and the different materials that is needed to make it is similar to the working factor of capitalism. The people are the labor; the tree, seed, etc. are the land, and the saws, trucks, ropes, etc. are the capital. No one knows how to make the pencil all by themselves because they are only told what to do and not to do what they can do. Some people create part of the pencil and the other people create the other part of the pencil. They create the parts without knowing what the parts are for or why they are doing it. The only thing they do know is that they are creating these parts to exchange for other goods/services they need. This natural force that cause people to create the pencil without knowing that they are creating it is "the Invisible Hand". The Invisible Hand causes large companies and/or corporations to become greedy and take advantage of their workers. Therefore, these large companies and/or corporations are one of the factors that cause people to work together in creating something useful.
Thursday, October 23, 2008
"I, Pencil" Summary, Quotes, and Analysis
The main idea of this essay is that people are limited to what they can do. The pencil talks about what it is made of to show all the people that are needed to make it. Unfortunately, none of these people actually know how to make the pencil all by themselves. The pencil is created because of natural forces that cause one to do what they know in exchange for other goods/services.
1. "Simple? Yet, not a single person on the face of this earth knows how to make me."
2. "Think of all the persons and the numberless skills that went into their fabrication..."
3. "The absence of a master mind, of anyone dictating or forcibly directing these countless actions which bring me into being."
The pencil's reference to the amount of people needed to make it and the different materials that is needed to make it is similar to the working factor of capitalism. The people are the labor; the tree, seed, etc. are the land, and the saws, trucks, ropes, etc. are the capital. No one knows how to make the pencil all by themselves because they are only told what to do and not to do what they can do. Some people create part of the pencil and the other people create the other part of the pencil. They create the parts without knowing what the parts are for or why they are doing it. The only thing they do know is that they are creating these parts to exchange for other goods/services they need. This natural force that cause people to create the pencil without knowing that they are creating it is "the Invisible Hand". The Invisible Hand causes large companies and/or corporations to become greedy and take advantage of their workers. Therefore, these large companies and/or corporations assign jobs to people and limit them to what they can do so the companies and corporations can make the profit.
1. "Simple? Yet, not a single person on the face of this earth knows how to make me."
2. "Think of all the persons and the numberless skills that went into their fabrication..."
3. "The absence of a master mind, of anyone dictating or forcibly directing these countless actions which bring me into being."
The pencil's reference to the amount of people needed to make it and the different materials that is needed to make it is similar to the working factor of capitalism. The people are the labor; the tree, seed, etc. are the land, and the saws, trucks, ropes, etc. are the capital. No one knows how to make the pencil all by themselves because they are only told what to do and not to do what they can do. Some people create part of the pencil and the other people create the other part of the pencil. They create the parts without knowing what the parts are for or why they are doing it. The only thing they do know is that they are creating these parts to exchange for other goods/services they need. This natural force that cause people to create the pencil without knowing that they are creating it is "the Invisible Hand". The Invisible Hand causes large companies and/or corporations to become greedy and take advantage of their workers. Therefore, these large companies and/or corporations assign jobs to people and limit them to what they can do so the companies and corporations can make the profit.
Thursday, October 9, 2008
Draft
There is not only one American Way of Life; there is more than one American Way of Life. People have different views on how to live an American Way of Life and what influences it.
A white, middle class female said that an “American Way of Life is about having a democracy…” Her point of view on an American Way of Life is all about freedom, equality among other people, and the power to express oneself. One of the good aspects of an American Way of Life is “having the freedom of speech” which is stated in the first amendment. The amendments are created by the people who are elected into the office. Therefore, without the politics, people would not be living the American Way of Life. The American Way of Life is also shaped by the “cultures” that are around the Americans. Americans are made up by people that come from all over the world and they bring a little part of their country with them. In this case, people from other parts of the world share their cultures with other Americans. As time progresses, the cultures combine and creates a new culture.
On the other hand, a white, middle class male said that “we don’t really have the freedom” the country claims to have given to the Americans. He thinks that the laws are created to act like boundaries so that Americans are not able to have the freedom to do whatever they want. When he thinks about the American Way of Life, he sees “people striving for success” and trying to reach the top of the social class. People come to America to try and succeed in life, a life where people basically roll on money, in an environment where people have the same goal. Unfortunately, he does not live an American Way of Life because he does not “give a shit about success”. Some people may not care about how other people live an American Way of Life but he chose not to follow the same path most Americans take.
Similarly, an Asian, middle class male believe that the American Way of Life is like a “competition” where the rich tries to stay rich and the poor or middle class try to become rich. He also agrees that the American Way of Life is about having “freedom” and he adds that people are more “independent”. In a way, Americans get to have what they want, live alone without having their parents sticking their nose into their businesses, and find a career that they love to do. The American Way of Life provides more “job opportunities” for him and therefore he is given more options when he has to choose his career. It was interesting to find out that he is currently not living an American Way of Life and that he will “eventually be living an American Way of Life”. Some people are not living the American Way of Life the second they are born; they transition from another way of life into the American Way of Life.
My father sees the American Way of Life as the American Dream where people are more focused on “education, getting a stable career, creating a family, keeping in touch with friends, and living in a big house”. Education is necessary to get a career that will pay enough so that people can make a living. Once an individual has proven that one can make enough money to support a family, they can get into a relationship and maybe even buy a house. The American Way of Life is steps to achieving the famous American Dream. But my sister believes that “the American Way of Life is pointless and people do things that do not help them continue living their life”. She currently lives the pointless American Way of Life because all she does is go to work and watch TV. Although she thinks the American Way of Life is made up of unnecessary things, she is planning to “achieve the American Dream, where people live in big houses”. Basically, she is living the meaningless American Way of Life.
A white, middle class female said that an “American Way of Life is about having a democracy…” Her point of view on an American Way of Life is all about freedom, equality among other people, and the power to express oneself. One of the good aspects of an American Way of Life is “having the freedom of speech” which is stated in the first amendment. The amendments are created by the people who are elected into the office. Therefore, without the politics, people would not be living the American Way of Life. The American Way of Life is also shaped by the “cultures” that are around the Americans. Americans are made up by people that come from all over the world and they bring a little part of their country with them. In this case, people from other parts of the world share their cultures with other Americans. As time progresses, the cultures combine and creates a new culture.
On the other hand, a white, middle class male said that “we don’t really have the freedom” the country claims to have given to the Americans. He thinks that the laws are created to act like boundaries so that Americans are not able to have the freedom to do whatever they want. When he thinks about the American Way of Life, he sees “people striving for success” and trying to reach the top of the social class. People come to America to try and succeed in life, a life where people basically roll on money, in an environment where people have the same goal. Unfortunately, he does not live an American Way of Life because he does not “give a shit about success”. Some people may not care about how other people live an American Way of Life but he chose not to follow the same path most Americans take.
Similarly, an Asian, middle class male believe that the American Way of Life is like a “competition” where the rich tries to stay rich and the poor or middle class try to become rich. He also agrees that the American Way of Life is about having “freedom” and he adds that people are more “independent”. In a way, Americans get to have what they want, live alone without having their parents sticking their nose into their businesses, and find a career that they love to do. The American Way of Life provides more “job opportunities” for him and therefore he is given more options when he has to choose his career. It was interesting to find out that he is currently not living an American Way of Life and that he will “eventually be living an American Way of Life”. Some people are not living the American Way of Life the second they are born; they transition from another way of life into the American Way of Life.
My father sees the American Way of Life as the American Dream where people are more focused on “education, getting a stable career, creating a family, keeping in touch with friends, and living in a big house”. Education is necessary to get a career that will pay enough so that people can make a living. Once an individual has proven that one can make enough money to support a family, they can get into a relationship and maybe even buy a house. The American Way of Life is steps to achieving the famous American Dream. But my sister believes that “the American Way of Life is pointless and people do things that do not help them continue living their life”. She currently lives the pointless American Way of Life because all she does is go to work and watch TV. Although she thinks the American Way of Life is made up of unnecessary things, she is planning to “achieve the American Dream, where people live in big houses”. Basically, she is living the meaningless American Way of Life.
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