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The occupational structure is a two-tier structure which was developed in the United States. One level is called the core tier. This includes jobs with large firms that have dominant positions within their industries. Computer technology, pharmaceutical, and aerospace firms are some examples of companies within the core tier. The other level is called the peripheral tier. It is composed of jobs in smaller firms. These firms are either competing for business left over from core firms, or engaged in less profitable industries such as agriculture and textiles. About 54% of American workers are employed by these companies.

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Positive
Multinational corporations provide developing countries with technology, capital, foreign markets, and products that are not otherwise available to them.
Negative
Critics say that multinationals really harm the economies of foreign nations by exploiting natural resources and disrupting local economies. Domination of multinationals' industries has made it difficult for less economically developed nations to establish new companies to compete with the multinationals.

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Interlocking directorates are shared directorates that result when heads of corporations sit on one another's boards. By law competing corporations may not have interlocking directorates, but such directorates are legal for noncompeting corporations. Political power of corporations can also be enhanced through conglomerates, networks of unrelated businesses operating under one corporate umbrella. An example of a conglomerate is General Electric. It holds companies in different areas such as household appliances, airplane engines, nuclear power, solar power, and more.

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Corporate Influence on Government Decisions

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Corporate Influence on Government Decisions

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Corporations in the United States dominate the American economic system and influence the economies of nations all around the world. Because of their economic muscle, corporations like Microsoft and AT&T command the attention of government decision makers. Corporations work hard to influence Congress and public opinion. Self-interested parties try to influence the system to their own benefit. Corporate lobby groups are funding research that will influence both lawmakers and popular opinion. One of the ways their doing this is by funding think-tanks. A think tank is a body of experts who provide advice and ideas on specific political or economic issues. For example, there is a group called the Employment Policies Institute. This group puts out reports that examine what would happen if minimum wage is raised and the impact it will have on unemployment and poverty in the U.S.

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Beliefs
Socialism is founded on the belief that the means of production should be controlled by the people as a whole. They believe the state should own and control property, as the people's representative. The socialist theory points to important benefits for workers. Workers under socialism should profit because both the state and the workplace exist solely for their benefit.
Weaknesses
Pure socialism cases are as rare as cases of pure capitalism. Strict socialist systems have not been successful in the past. They have not yet successfully eliminated income inequalities or been able to develop overall economic plans to guarantee economic growth.

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The government is an important buyer of goods and services. About one in six workers in the United States work for federal, state, or local units of government. According to the Constitution, the government may do the following:

Borrow money on the credit of the US

Establish bankruptcy laws

Coin and regulate money and its value

Determine a budget for the U.S.

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Foundations, Values, and Weaknesses of Capitalism

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Foundations, Values, and Weaknesses of Capitalism

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Primary, Secondary, and Tertiary Sectors

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Primary, Secondary, and Tertiary Sectors

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Economic Activities Narrated Power Point

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Secondary Tertiary Sectors Video Lesson Transcript Study com

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A movie about the different sectors and chain of production

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Family
Children learn political views by listening to everyday conversations and watching the actions of their older family members. Family influence is very strong. Studies have shown that most high school students affiliate with the same political party as their parents, rather than their beliefs and attitudes.
Education
The level and amount of education someone has can strongly influence their political knowledge and participation in political affairs. For example, men and women who are more highly educated show more knowledge and interest in politics and are more likely to vote and participate in politics.
Mass Media
Television can determine what issues and events are in the public eye. The media decides the importance of issues by either publicizing issues or ignoring them. The media plays an important role in shaping public opinion. Studies have shown that the media has the greatest effect on people who have yet to form opinions. For example, if you had not yet had an opinion on recreational marijuana and the news publicizes a story about a marijuana related death, you might form the opinion that recreational marijuana should not be legal.
Age and Gender
Studies show that young adults are usually more active than older people on issues such as racial and gender equality. Women are typically more liberal than men with issues such as abortion rights and women's rights.
Racial and Ethnic Group
Both African American and Latino political participation (voting) has increased in recent years. These races tend to favor candidates with more liberal positions than conservative. They both generally support Democratic candidates, as well as Asian Americans. Latinos especially support candidates with more liberal views on immigration.

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Democracy
Democracy was first practiced by the ancient Greeks and it involves all citizens of self-government. The elected officials are responsible for meeting the needs and requests of the citizens. Representative democracy can occur in two ways. Logically, not everyone can be involved in law making. Many people do not wish to vote or be actively involved with politics.
In the U.S., the party with the most electoral votes wins the election. However in Europe, if a party received 40% of the votes, they might control 40% of the legislature.

Totalitarianism
Totalitarianism governments have one political party and are typically controlled by one ruler. They have total control over all communication and a monopoly over all military resources. Some totalitarian states are Iraq and Nazi Germany. Nazi Germany (1933-1945) and the Soviet Union (1924-1953) were the first instances of popular totalitarianism.

Authoritarianism
This falls between Totalitarianism and Democracy, but it is closer to Totalitarianism. Authoritarianism is when the political system is controlled by a ruler or rulers that support individual freedom. However, these rulers do not permit public participation in the government. These rulers can be either elected or non-elected. Authoritarian governments are typically those that attempt totalitarianism, but fall short of its defining characteristics.

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Authority is power accepted as legitimate by those subject to it.

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Power is the ability to control the actions of others.

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Coercion is control through force.

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Charismatic Authority
Charismatic Authority comes from the personality traits of a person. Whether the person's traits are considered positive or negative, they would still have Charismatic Authority because they are still receiving large amounts of attention. An example could be Martin Luther King Jr. He showed charismatic authority as the "leader" of the fight against racism, discrimination, and segregation. He was viewed both positively and negatively by many people.

Traditional Authority
With Traditional Authority, the legitimacy of a leader is rooted in custom because tradition provided more stability than charismatic authority could have. The kings in eighteenth-century Europe counted on loyalty to provide a stable political foundation.

Rational-Legal Authority
Most modern governments are based on this. Rational-Legal Authority is a form of authority where the power resides in the offices, not the officials. However, power can be assumed if the individual occupies office. A lot of religious leaders fit this description. When a new president is elected into office, the previous president once again becomes a private citizen when he gives up the privileges.

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Political Power
There are two major types of political power, pluralism and elitism. Pluralism is a system where political decisions are made after bargaining and compromise among special-interest groups. No group holds the majority of power. According to Elitism, a community or society is controlled by a majority group of few individuals who have the same beliefs, interests, and backgrounds.

Pluralism: Functionalist Perspective
Pluralist believe major political decisions made in the United States are not made by an elite few. Members of an interest group (a group organized to influence political decision making) share one or more goals. These goals may be specific to the group's members. Pluralists say decisions are made in result to competition among the special interest groups. Each of these groups have their own stake in the issues.
Elitism: Conflict Perspective
Sociologist, C. Wright Mills, was a leading advocate for the elitist perspective. In the 1950s, he said the United States did not have separate economic, political, and military leaders. Instead, the people in each area formed a unified group labelled the power elite. Members of the power elite share common interests and have similar economic backgrounds. Members have known each other for a long time and have mutual acquaintances for a long time.