Sociology Ch. 13

Economy

Social Institution; ensures the maintenance of society through the production, distribution, and consumption of goods and services

Primary Sector Production

Sector of the economy that extracts raw materials and natural resources from the environment

Secondary Sector Production

Sector of the economy that processes raw materials [from primary] into finished goods

Tertiary Sector Production

Sector of the economy that is involved in the provision of services rather than goods

Capitalism

Economic system characterized by private ownership of the means of production, from which personal profits can be derived through market competition and without government intervention

Labor Union

Group of employees who join together to bargain with an employer or a group of employers over wages, benefits, and working conditions

Corporations

Large-scale organizations that have legal powers, such as the ability to enter into contrast and buy and sell property, separate from their individual owners

Transnational corporations

Large corporations that are headquartered in one country but sell and produce goods and services in many countries

Oligopoly

A condition existing when several companies overwhelmingly control an entire industry

Shared monopoly

condition that exists when four or fewer companies supply 50% or more of a particular market

Conglomerate

Combination of businesses in different commercial areas, all of which are owned by one holding company

Interlocking corporate directorates

Members of the board of directors of one corporation who also sit on the board(s) of other corporations

Socialism

Economic system characterized by public ownership of the means of production, the pursuit of collective goals, and centralized decision making

Mixed Economy

Economic system that combines elements of a market economy (capitalism) with elements of a command economy (socialism)

Democratic Socialism

Economic and political system that combines private ownership of some of the means of production, governmental distribution of some essential goods and services, and free elections

Occupations

Categories of jobs that involve similar activities at different work sites

Primary Labor Market

Sector of a labor market that consists of high-paying jobs with good benefits that have some degree of security and the possibility of future advancement

Secondary Labor Market

Sector of labor market that consists of low-paying jobs with few benefits and very little job security or possibility for future advancement

Professions

High status; knowledge-based occupations

Marginal Jobs

Jobs that differ from the employment norms of the society in which they are located

Contingent work

Part-time work, temporary work, or subcontracted work that offers advantages to employers but that can be detrimental to the welfare of workers

Subcontracting

An agreement in which a corporation contracts with other (usually smaller) firms to provide specialized components, products, or services to the larger corporation

Unemployment Rate

% of unemployed persons in the labor force actively seeking jobs