RISE OF INDUSTRIAL CAPITALISM IN FIVE POINTS
Industrial capitalism refers to an economic and social system in which trade, industry and capital are privately controlled and operated for a profit. In a capitalist system, income, production, distribution, investments pricing and supply of goods and commodities and services are determined by private decisions usually within the context of markets. In a capitalistic state, property is privately owned and this is protected by the rule of law of government Thus in the rise of industrial capitalism, we are looking at starting of when individuals in a society started acquiring property privately.
Rise of industrial capitalization was as a result of five main view points which include; conspicuous consumption, great monopoly, scientific management and difference in living standards.
According to Thorestein Veblen on his conspicuous consumption theory 1902, he stated that rise of industrial capitalization was as a result of wealth accumulating thus the wealthy developing more in function and structure as a result of having access to more goods and services. Thus there arises a differentia on class. This was further enhanced through inheritance of wealth and inheritance of gentility. With the inheritance of gentility came the inheritance of obligatory leisure. Thus those who were born wealthy outranked the others born in less wealth thus becoming servants.
According to Henry Demarest on the story of great monopoly rise of industrial capitalism came about as a result of monopoly in some useful natural resource in this case it was fuel. Monopoly
of a resource needed by so many results in acquiring of wealth and elevating once status above others.
According to Frederick Winslow Taylor in principle of scientific management as a result of recorgnising the importance of conservation of natural resources scientific management has slowed down the fast rise in capitalism. Thus creating a know how in how the environment was been affected negatively in the search for wealth.
The difference in living standards was brought about by Jacob Riis where he states that long ago one part of the world did not know how the other part lived because they simply didn't care. The half on top cared little for the others struggling so there was a build up in number of people struggling to a point in which crowding was so much at the bottom creating discomfort to a point where the bottom could not be ignored.
According to the conspicuous consumption theory industrial capitalism started as a result of differentiation within class. The leisure class stood ahead of the social structure in point of reputation. Thus in the survey of growth of conspicuous consumption, it appeared that the utility of both is was alike and lied in the element of waste which is common in both. Wastes of goods time, effort are ways of demonstrating the possession of wealth. The consumption becomes larger element in the standard of living. Thus rise in rush for wealth to maintain a higher social status. Consumption becomes a larger element in standard of living in the city than in the country in an effort to remain decent in the city.
Great monopoly influenced industrial capitalism in that it gave wealthy individuals control over important natural resources that where vital in production. Fuel e.g. Petroleum in cities in the United States as well as the country petroleum is the main illuminator.
Oil is vital in running of machines, industries, automobiles etc. Bulk of oil in America comes from New York and Pennsylvania.
Majority of oils production, manufacture and export has been controlled for long by a single corporation which has had monopoly for very long although it achieved monopoly by conspiracy with railroads. Thus great monopoly has made some individuals very wealthy.
PRINCIPLES OF SCIENTIFIC MANAGEMENT
Scientific management influenced rise in industrial capitalism in that the whole country at once recognized the importance of conserving material resources.
In the past the prevailing idea had been that the right man for the job could be found and the methods of production would be safely left to him which was an old system of personal management.
Acquiring of products was at the expense of the environment however that has changed.
DIFFERENCE IN STANDARD OF LIVING
Difference in standard of living came as a result of one part of the world no caring about the other part thus those underneath facing crowding and discomfort so great that the consequent upheavals became so violent it was no longer easy to do anything and the upper half fell to inquire what the matter was. Thus capitalism came about where everyone for themselves in search for personal property.
Industrialization in America rose as a result of the scramble to acquire wealth. There has been a huge drift of population to the cities which were designed only to handle a few populations unlike what they hold now. There is no way out. This is as a result of public neglect and private greed which has come to stay. Critics argue that capitalism is associated with unfair and inefficient distribution of wealth and power, a tendency toward market monopoly or oligopoly (and government by oligarchy); imperialism, counter revolutionary wars and various forms of economic and cultural exploitation repressions of workers and trade unionists, and phenomena such as social alienation inequality, unemployment, and economic instability.
Critics have argued that there is an inherent tendency towards oligolopolistic structures when laissez-faire is combined with capitalist private property. Capitalism is regarded by many socialists to be irrational in that production and the direction the economy is unplanned, creating many inconsistencies and internal contradictions.
Environmentalists have argued that capitalism requires continual economic growth, and will inevitably deplete the finite natural resources of the earth, and other broadly utilized resources
If you are the original writer of this essay and no longer wish to have the essay published on the UK Essays website then please click on the link below to request removal: