settlements
Postwar o Deals that develop after WW II and how they organized their economies Britain Keynesian welfare state Unstable political settlement, pluralist society (expanded health care) Economic decline, failed economy by 1970s United States Company led economy Didnt use state as much Keynesian economic policy Early industrializer with weak institutional base Welfare state laggard Decentralized political economy Labor not fully incorporation 1970-90s: economic crisis, rise of Japanese competition, concession bargaining, new labor management partnerships West Germany Bargained economy Social market: welfare state in terms of government and open markets Economic miracle: These stable settlements made this possible (France, Germany, Japan) Strong unions Japan State led economy Close state business relations Business highly organized (keiretsu) Labor incorporated at enterprise level o Deals that developed after 1990 (70s: economic crisis 80s free markets 90s) dominant Global north economies United States Competitive firms, low unemployment, process of deregulation continuing Trade and budget deficits, consumer debt, growing inequality, labor movement fighting for progress Regional integration: NAFTA, Central American Free Trade Agreement Globalization, Washington Consensus, employer offensive, rank and file, labor movement revitalization Japan Strong, competitive firms, strong exports
Collapse of bubble economy, banking crisis and political corruption BUT they expanded throughout East and South Asia Having a period of rapid growth, becoming a dominant economy Regional integration: Asia, China Germany Larger, unified county, social market economy, strong exports, high wages High unemployment and stagnation from acquiring eastern territories Regional integration: EU is growing to 27; Germany is the engine of growth for the EU European Union o Treaties of Maastricht, 1993 and Amsterdam, 1997 o Last two groups: Bulgaria, Romania to join o Economic and Monetary Union: after single market, created a common currency o Common currency and central bank o 27 countries o Council of Ministers is core* European Council o European Commission Executive; Where the EU is run o European Parliament Consultative body, veto power on EU budget o European Courts of Justice Judicial body, overturn national laws o European Central Bank Monetary policy MITI o Ministry of International Trade and Industry: single most important institution to make economic development possible o Worked together with keiretsu o Coordinate international trade policy with Bank of Japan and Economic Planning Agency o Negotiated with foreign government to keep their market s open to Japanese imports Selective allocation of resources: only allocate resources to sectors they think are important Gatekeeper: protected infant industries Promoter: promote competition within tariff barriers ACFTU o Sole national trade union federation of the Peoples Republic of China Keiretsu o Industrial group of large firms associated with one of the major banks o Bank centered cartels National Insurance Contributions
o System of taxes and related social security benefits in the United Kingdom. The tax component of the system consists of taxes paid by employees and employers on weekly earnings and other benefits-in-kind; the self-employed are taxed based upon profits. Such taxes are said to be National Insurance Contributions (NICs). Hothouse of competition
Justice for Janitors o A janitor organization movement and part of the Service Employees International Union (SEIU). Justice for Janitors was established in Denver, Colorado, in 1985. o Victories in LA, UM, and Texas Coordinated Market Economies o Bargained adjustment: state, business, labor o Controlled deregulation o Incremental innovation o Negotiated, political solutions: markets and social justice o Examples: Germany, Japan, Switzerland Liberal Market Economies o Company led adjustment o Less government involvement, deregulation o Entrepreneurial capitalism o Dynamic innovation o Market solutions: more focus on markets than on social justice o Examples: U.S., United Kingdom At the River I Stand o A documentary examining the 1968 sanitation workers strike which brought Martin Luther King, Jr., to Memphis at a pivotal point in the civil rights movement. April 4, 1993 marks the 25th anniversary of the assassination of King in Memphis. o Memphis, Spring 1968, marked the dramatic climax of the Civil Rights movement. Local labor dispute into a national conflagration, and disentangles the complex historical forces that came together with the inevitability of tragedy the at death of Dr. Martin Luther King, Jr. o In the 1960s, Memphis' 1,300 sanitation workers formed the lowest caste of a deeply racist society, earning so little they qualified for welfare. In the film, retired workers recall their fear about taking on the entire white power structure when they struck for higher wages and union recognition. o But local civil rights leaders and the Black community soon realized the strike was part of the struggle for economic justice for all African Americans. The national leadership of AFSCME put the international union's full resources behind the strike. One day, a placard appeared on the
picket lines which in its radical simplicity summed up the meaning of the strike: "I am a man." o In March, Martin Luther King, Jr. came to Memphis as part of his Poor People's Campaign to expand the civil rights agenda to the economy. When young hotheads turned King's protest march into a violent confrontation with the brutal Memphis policy, King left. o King and the nation realized his leadership and nonviolent strategy had been threatened. King felt obliged to return to Memphis to resume a nonviolent march despite the by-now feverish racial tensions. Those 1,300 sanitation workers had shown they could successfully challenge the entrenched economic structure of the South. Comparative institutional advantage o Certain types of firms locate production facilities in a particular location and avoid other locations due to unique institutional advantages and disadvantages International Labor Organization o The International Labor Organization (ILO) is a specialized agency of the United Nations that deals with labor issues. Its headquarters are in Geneva, Switzerland. o The ILO was established as an agency of the League of Nations in the Treaty of Versailles, which ended World War I. Post-war reconstruction and the protection of labor unions occupied the attention of many nations during and immediately after World War I. Works Councils o Illegitimate child of the German Labor Movement o shop-floor organization representing workers, which functions as local/firm-level complement to national labour negotiations o The model is basically as follows: general labor agreements are made at the national level by national unions and national employer associations and local plants and firms then meet with works councils to adjust these national agreements to local circumstances. Social Movement Unionism o Social Movement Unionism attempts to integrate workers, trade unions and the labour movement into broader coalitions for social and economic justice, living wage campaigns International Union Trade Confederation o Represents most national trade union centers. Most individual unions relate to the ITUC through their national union center o A global union o Individual union belongs to a national union center in its country, which affiliate to the ITUC o Mission: promote and defend workers rights and interests, through international cooperation between trade unions, global campaigning o Trade union and human rights, economy/society/workplace, equality/nondiscrimination
o Founded in Vienna, Australia Apollo Project Business unionism o The AFL's "business unionism" favored pursuit of workers' immediate demands, rather than challenging the rights of owners under capitalism, and took a pragmatic, and often pessimistic, view of politics that favored tactical support for particular politicians over formation of a party devoted to workers' interests o Declining o CB, enforce the contract, job control o Service the members, insurance policy unionism Enterprise unionism o The organization of a single trade union within one plant or multi plant enterprise rather than within a craft or industry. It is especially prevalent in Japan, where nearly all Japanese unions, representing the vast majority of union membership, are of the enterprise type. Frontier cities o L.A., San Jose, Miami, Nashville o Weak labor movement o Non-existent institutions o Opposite of New York or union cities Change To Win o Seven unions and six million workers united in Change to Win in 2005 to build a new movement of working people equipped to meet the challenges of the global economy and restore the American Dream in the 21st century: a paycheck that can support a family, affordable health care, a secure retirement and dignity on the job. Corporate Social Responsibility o Concept whereby organizations consider the interests of society by taking responsibility for the impact of their activities on customers, suppliers, employees, shareholders, communities and other stakeholders, as well as the environment.