economic systems and forms of exchange. economic systems production and allocation of material goods...
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Economic systems
Production and allocation of material goods and services
Do not operate independently of other aspects of society
Especially closely associated with political systems which are concerned with the allocation of power and authority
economic systems – three interrelated aspects Patterns of subsistence – the means by
which environmental resources are converted for human use
Systems of distribution – the means by which goods and services are made available to members of a particular group
Patterns of consumption
Non-Western Economic Systems
Are there any? Anthropological approaches to the study
of economic systems of production, distribution, and consumption
The Formalist vs. Substantivist Debate
The birth of economic anthropology
Formalist Approach: the Neo-Classical Toolkit Adam Smith (19th cent.) and the descriptive
analytics of western capitalism Profit motive as human universal Maximizing utility Scarcity, cost/benefit, price Market governed by laws of supply and
demand Rational economic behavior – human
universal
Marxism and Neo-Marxism Karl Marx (19th cent.) Marxist and Neo-Marxist approaches
– How economic systems and economic relations sustain relations of power and control over labor
– The “mode of production”• Means/Forces of production• Relations of production• Superstructure (ideology)
Marx’s Modes of Production Emphasizes social relations & conflict
within the system– The dialectic
Emphasizes role of economy (a system of production, distribution, and consumption) in establishing and maintaining social relations
Substantivist concern with the social embeddedness of the economy
Substantivist Economic Theory
formal neoclassical theory cannot be used to explain economic activities in non-western societies
patterns of economic exchange must instead be interpreted within a society's cultural context
rationality is culturally, not universally defined
The Substantivist Approach Studying the cultural particulars of any
group and economic system Economic maximization and cultural
specificty– Economizing: the rational allocation of
scarce means (or resources) to alternative ends (or uses)
Socially embedded economy with other values than profit and maximization
Idea of the “moral economy” the ways in which economic activities are
influenced or constrained to some degree by moral considerations– even though these sometimes get compromised or
overridden by other considerations
Self-interest, power and expedience are not the only influences on economic life.
Not only in the domestic sphere but in the formal economy, within organisations, in labour and product markets, moral sentiments and norms influence behaviour
Patterns of Labor
Sexual Division of Labor– Differentiation & integration
– The basis of society
Configurations of SDL
– Flexibility
– Rigid segregation & Dual Sex systems
Dual Sex Patterns of Labor a dual-sex society in which both sexes are assigned
their special responsibilities Women are a sexual class that has a common
position with respect to another sexual class, males. a social relationship with each other
– partnership and cooperation– division of tasks– sexual relationships– relationships of domination and oppression.
complementary but at other times these two sexual classes are in opposition to each other.
each class has a different set of interests, and women often have interests opposed to those of males.
Patterns of Labor
Age Division of Labor– Typical of human societies
Cooperation– Household is the basic unit
Craft Specialization– Found in both industrial and nonindustrial
societies
Control of Land All societies allocate land resources Food Foragers -- Where to hunt and gather Horticulturalists -- Distribution of
farmland Pastoralists -- Water and grazing rights Industrial societies -- Private
ownership prevails Nonindustrial societies -- Often
controlled by kinship groups
Technology Tools and other material equipment,
together with the knowledge of how to make and use them
The act of production
Foragers and pastoralists generally have fewer and less complex tools than sedentary peoples
Forms of Exchange (Polanyi) Formalist approach ignores some forms
of exchange– Reciprocity– Redistribution– Market forms of exchange (contract)
What Can be Exchanged or Distributed? Material goods Symbolic goods Labor Money Services Rights People
Reciprocity
two individuals or groups pass goods back and forth with the aim of:– helping someone in need by sharing goods
with him or her– creating, maintaining, or strengthening
social relationships– obtaining goods for oneself
Forms of Reciprocity (M. Sahlins) generalized - those who give goods or
services do not expect the recipient to make a return of goods and services at any definite time in the future
balanced - goods and services are given to someone with the expectation that a return in goods and services of roughly equal value will occur
negative - both parties attempt to gain all they can from the exchange while giving up as little as possible
Reciprocity and Social Distance In time and space Establishes and maintains social
distance Can change already established social
distance
Reciprocity and “the Gift”(M. Mauss) Obligatory & interested exchanges The gift received has to be repaid The persons represented are moral
persons (relational) -- clans, tribes, families, etc
Redistribution
the members of an organized group contribute goods or money into a common pool or fund
usually a central authority has the privilege and responsibility to make decisions about how the goods or money later will be allocated among the group as a whole– i.e. taxation
Market or contract exchange
forces of supply and demand determine costs and prices, goods or services are sold for money, which in turn is used to purchase other goods, with the ultimate goals of acquiring more money and accumulating more goods– Disinterested– Legally defined
KULA RING - TROBRIAND ISLANDERS, Papua New Guinea kula ring: a system of ceremonial,
non-competitive, exchange practiced in Melanesia to establish and reinforce alliances
Kula Ring as System of Embedded Exchanges Classic example of balanced reciprocity
– ceremonial exchange of valued shell ornaments
– scheme for trading food & other items with people of neighboring islands
– trading between trading partners
Malinowski's study of the Kula ring exchange system was influential in shaping the anthropological concept of reciprocity
Kula Ring Objects of Exchange
Bagi and Mwali - traditional trading items used in the Milne Bay Kula Ring
white arm shells (mwali) and red shell necklaces (bagi)
Kula Shells and Exchange
Kula shells traditionally move through a series of islands, along a particular path
mwali move in a counterclockwise path through the villages in which the various kula partners live
bagi pass through the same hands, but move clockwise
shell armbands and necklaces makes this circuit in anywhere from two to five years
mwali and bagi are both assessed for their value based on size, colour, and how well they are polished or finished
shells increase in value with age and both men and shells gain prestige in their association with one another
man may gain fame and notoriety for having possessed a particularly fine armband
similarly, a necklace may be highly regarded for having been owned by a great man
Kula Exchange Relations
kula partners– Important social bonds– Inter-generational relationships– Peace pact
basic rule is that one cannot keep a valuable bagi or mwali indefinitely nor withdraw it from circulation unless one owns it personally
The Meanings of Kula Exchanges balanced reciprocity - goods and
services are given to someone with the expectation that a return in goods and services of roughly equal value will occur (armbands and necklaces)
fit with myths of adventure, ritual history, continued repossession of valued things
Ceremonial Exchange and Other Forms of Exchange during ceremonial trading "real" trading
goes on, gift giving, exchange or barter different islands differing resource
availability, some no food resources, build canoes, other islands surpluses of yams, taro, pigs
scheme for trading food & other items with people of neighboring islands
Consumption
Not just what we eat but the resources we use
Modes of consumption– Minimalism vs. consumerism– Or use vs. exchange values
Demand (consumption) and desire Consumption is an aspect of the overall
political economy (Baudrillard & Marx)
Consumption (A. Appadurai)
Consumption, demand, desire– Not culture free
Collective regulation of demand/consumption– Social regulation of the desire for goods
and services• Free trade• Ethos of limited good