英语论文网

osperous days for the capitalist world economy in history.

Nevertheless, even at the beginning of Phase IV and beyond it, globalization in the so called Uncertainty Phase is far from being over. That is so because up to now, the modern industrial capitalism has shown its flexibility and adaptability since the nineteenth century. However, since new situations demand time and changes, this flexibility and adaptability came not immediately but after a short delay in time. For instance, the world economy has recovered from a serious misery which is known to be the Great Depression of October 29, 1929. It led the world capitalism to an economic downturn until it was resolved with the help of the Keynesian policies coming into effect in the 1930s. After this state intervention, the established mass production system in the 1920s could matched up with the mass consumption measures based on the “Keyesian effective demand theory”. This theory is manifested in the “Fordism System” or “Fordist Accumulation System” (see 2.2.2), which is having the characteristics of the theory of the “economies of scale”.

2.2.2Internal and External Factors leading to the Reorganization of Capitalism
Since the beginnings of capitalism, there have been years of prosperity and recessions followed by a phase of recovery known as “business cycles” due to fluctuations in economic growth. Coming to speak about the reorganization of capitalism around the world beginning in the Late 1960s and referring to Robertson's model, after having the best unprecedented prosperous days for the capitalist world economy in history in the 1960s, the capitalist world economy experienced yet another stagnation at the end of the Phase IV. The British economist J. Robinson (1972) called this depression “the second crisis of Economics”. There are internal and external factors that lead to this. The internal factors result from the effect of the labor process itself. Thanks to the “Fordism System” (also called the “Fordist Accumulation System) which showed the characteristics of mass production and a mass consumption cycle, the steps for producing a product that is actually having a quite complicated production process were segmented into smaller and simpler tasks. With this, even an unskilled workforce can fulfill specific tasks working at the assembly lime without having to know the whole production process. Keeping the “the economy of scale” in mind, this change in process into simple tasks led to a boost in production while the production costs and time for producing each part were reduced at the same time.

The external factors are a result of the protective and neo-mercantilist growth of “Asian four tigers” and the “flying geese” that had been following up them. The flying geese model suggested by Akamatz Kaname (1961) indicated that the tendency of hierarchical chains in international trades and investment are based on the diffusion of technology, and when one product is standardized, labor intensive countries will have the competitive advantage of the product thus made. These countries that are mainly situated in East Asia and south East Asia were encouraging exports of their cheaper products but discouraging imports into their respective country at the same time. Most advanced capitalist countries lost their competitive superiority in terms of the market prices of some products in comparing to products of these countries. In fact, with th