Capitalist in the context of "Late modernity"

John Maynard Keynes, 1st Baron Keynes CB, FBA (/keɪnz/ KAYNZ; 5 June 1883 – 21 April 1946), was an English economist whose ideas fundamentally changed the theory and practice of macroeconomics and the economic policies of governments. Originally trained in mathematics, he built on and greatly refined earlier work on the causes of business cycles. One of the most influential economists of the 20th century, he produced writings that are the basis for the school of thought known as Keynesian economics, and its various offshoots. His ideas, reformulated as New Keynesianism, are fundamental to mainstream macroeconomics. He is known as the "father of macroeconomics".

Keynes was educated at King's College at the University of Cambridge, where he graduated in 1904 with a B.A. in mathematics. During the Great Depression of the 1930s, Keynes spearheaded a revolution in economic thinking, challenging the ideas of neoclassical economics that held that free markets would, in the short to medium term, automatically provide full employment, as long as workers were flexible in their wage demands. He argued that aggregate demand (total spending in the economy) determined the overall level of economic activity, and that inadequate aggregate demand could lead to prolonged periods of high unemployment, and since wages and labour costs are rigid downwards the economy will not automatically rebound to full employment. Keynes advocated the use of fiscal and monetary policies to mitigate the adverse effects of economic recessions and depressions. After the 1929 crisis, Keynes also turned away from a fundamental pillar of neoclassical economics: free trade. He criticized Ricardian comparative advantage theory (the foundation of free trade), considering the theory's initial assumptions unrealistic, and became definitively protectionist. He detailed these ideas in his magnum opus, The General Theory of Employment, Interest and Money, published in early 1936. By the late 1930s, leading Western economies had begun adopting Keynes's policy recommendations. Almost all capitalist governments had done so by the end of the two decades following Keynes's death in 1946. As a leader of the British delegation, Keynes participated in the design of the international economic institutions established after the end of World War II but was overruled by the American delegation on several aspects.

Economic sociology is the study of the social cause and effect of various economic phenomena. The field can be broadly divided into a classical period and a contemporary one, known as "new economic sociology".

The classical period was concerned particularly with modernity and its constituent aspects, including rationalisation, secularisation, urbanisation, and social stratification. As sociology arose primarily as a reaction to capitalist modernity, economics played a role in much classic sociological inquiry. The specific term "economic sociology" was first coined by William Stanley Jevons in 1879, later to be used in the works of Émile Durkheim, Max Weber and Georg Simmel between 1890 and 1920. Weber's work regarding the relationship between economics and religion and the cultural "disenchantment" of the modern West is perhaps most representative of the approach set forth in the classic period of economic sociology.

In the Marxist theory of historical materialism, a mode of production (German: Produktionsweise, "the way of producing") is a specific combination of the:

• Productive forces: these include human labour power and means of production (tools, machinery, factory buildings, infrastructure, technical knowledge, raw materials, plants, animals, exploitable land).
• Social and technical relations of production: these include the property, power and control relations (legal code) governing the means of production of society, cooperative work associations, relations between people and the objects of their work, and the relations among the social classes.

Marx said that a person's productive ability and participation in social relations are two essential characteristics of social reproduction, and that the particular modality of those social relations in the capitalist mode of production is inherently in conflict with the progressive development of the productive capabilities of human beings. A precursor concept was Adam Smith's mode of subsistence, which delineated a progression of types of society based upon how the citizens of a society provided for their material needs.

Karl Marx's theory of alienation describes the separation and estrangement of people from their work, their wider world, their human nature, and their selves. Alienation is a consequence of the division of labour in a capitalist society, wherein a human being's life is lived as a mechanistic part of a social class.

The theoretical basis of alienation is that a worker invariably loses the ability to determine life and destiny when deprived of the right to think of themselves as the director of their own actions; to determine the character of these actions; to define relationships with other people; and to own those items of value from goods and services, produced by their own labour. Although the worker is an autonomous, self-realised human being, as an economic entity this worker is directed to goals and diverted to activities that are dictated by the bourgeoisie—who own the means of production—in order to extract from the worker the maximum amount of surplus value in the course of business competition among industrialists.

The Road to Serfdom is a book by the Austrian-British economist and philosopher Friedrich Hayek. In the book, Hayek "[warns] of the danger of tyranny that inevitably results from government control of economic decision-making through central planning." He further argues that the abandonment of individualism and classical liberalism inevitably leads to a loss of freedom, the creation of an oppressive society, the tyranny of a dictator, and the serfdom of the individual. Hayek challenged the view, popular among British Marxists, that fascism (including Nazism) was a capitalist reaction against socialism. He argued that fascism, Nazism, and state-socialism had common roots in central economic planning and empowering the state over the individual.

Since its publication in 1944, The Road to Serfdom has been popular among liberal (especially classical liberal) and conservative thinkers. It has been translated into more than 20 languages and sold over two million copies (as of 2010). The book was first published in Britain by Routledge in March 1944, during World War II, and was quite popular, leading Hayek to call it "that unobtainable book", also due in part to wartime paper rationing. It was published in the United States by the University of Chicago Press in September 1944 and achieved great popularity. At the arrangement of editor Max Eastman, the American magazine Reader's Digest published an abridged version in April 1945, enabling The Road to Serfdom to reach a wider non-academic audience.

The Non-Aligned Movement (NAM) is a forum of 121 countries that are not formally aligned with or against any major power bloc. It was founded with the view to advancing interests of developing countries in the context of Cold War confrontation. After the United Nations, it is the largest grouping of states worldwide.

The movement originated in the aftermath of the Korean War, as an effort by some countries to counterbalance the rapid bi-polarization of the world during the Cold War, whereby two major powers formed blocs and embarked on a policy to pull the rest of the world into their orbits. One of these was the pro-Soviet socialist bloc whose best known alliance was the Warsaw Pact, and the other the pro-American capitalist group of countries, many of which belonged to NATO. In 1961, drawing on the principles agreed at the Bandung Conference of 1955, the Non-Aligned Movement was formally established in Belgrade, Yugoslavia, through an initiative led by Yugoslav president Josip Broz Tito, Indian prime minister Jawaharlal Nehru, Ghanaian president Kwame Nkrumah, Indonesian president Sukarno, and United Arab Republic president Gamal Abdel Nasser.

Progressivism in the United States is a left-leaning political philosophy and reform movement. Into the 21st century, it advocates policies that are generally considered social democratic and part of the American Left. It has also expressed itself within center-right politics, such as New Nationalism and progressive conservatism. It reached its height early in the 20th century. Middle/working class and reformist in nature, it arose as a response to the vast changes brought by modernization, such as the growth of large corporations, pollution, and corruption in American politics. Historian Alonzo Hamby describes American progressivism as a "political movement that addresses ideas, impulses, and issues stemming from modernization of American society. Emerging at the end of the nineteenth century, it established much of the tone of American politics throughout the first half of the century."

Progressive economic policies incorporate the socioeconomic principles and views of social democracy and political progressivism. These views are often rooted in the concept of social justice and have the goal of improving the human condition through government regulation, social protections, and the maintenance of public goods. It is based on the idea that capitalist markets left to operate with limited government regulation are inherently unfair, favoring big business, large corporations, and the wealthy. Specific economic policies that are considered progressive include progressive taxes, income redistribution aimed at reducing inequalities of wealth, a comprehensive package of public services, universal health care, resisting involuntary unemployment, public education, social security, minimum wage laws, antitrust laws, legislation protecting labor rights, and the rights of labor unions. While the modern progressive movement may be characterized as largely secular in nature, the historical progressive movement was by comparison to a significant extent rooted in and energized by religion.

Right-libertarianism, usually referred to as libertarian capitalism by its proponents and right-wing libertarianism by its opponents, is a libertarian political philosophy that supports capitalist property rights and market distribution of natural resources. The term right-libertarianism is used to distinguish this class of views on the nature of property and capital from left-libertarianism, a variant of libertarianism that combines self-ownership with collectivist or usufructary property norms. In contrast to socialist libertarianism, capitalist libertarianism supports free-market capitalism. Like other forms of libertarianism, it supports civil liberties, especially natural law, negative rights, the non-aggression principle, and a significant transformation or outright elimination of the modern welfare state.

Right-libertarian political thought is characterized by the strict priority given to liberty, with the need to maximize the realm of individual freedom and minimize the scope of government authority. Right-libertarians typically see the state as the principal threat to liberty. This anti-statism differs from anarcho-socialist theory (but not individualist anarchist theory) in that it is based upon private property norms and strong individualism that places less emphasis on human sociability or cooperation. Right-libertarian philosophy is also rooted in the ideas of individual rights and laissez-faire economics. The right-libertarian theory of individual rights generally follows the homestead principle and the labor theory of property, stressing self-ownership and that people have an absolute right to the property that their labor produces. Economically, right-libertarians make no distinction between capitalism and free markets; they view any attempt to dictate the market process as counterproductive, emphasizing the mechanisms and self-regulating nature of the market whilst portraying government intervention and attempts to redistribute wealth as criminally immoral, unnecessary, and counter-productive. Although all right-libertarians oppose government intervention, there is a division between anarcho-capitalists, who view the state as an unnecessary evil and want property rights protected without statutory law through market-generated tort, contract and property law; and minarchists, who support the need for a minimal state, often referred to as a night-watchman state, to provide its citizens with monopoly provision of courts, military, and police services.