Wednesday, January 30, 2013

American Civil Rights Struggle


Throughout the period following the Second World War, African Americans sought to acquire the rights to be treated fairly within certain regions of the United States. Even though slavery had been abolished with the Emancipation Proclamation and the 13th Amendment in the United States Constitution, the African-Americans in the United States were not on equal footing with whites, especially in the southern states. As a result, Civil Rights leaders campaigned, usually through non-violent methods, to bring recognition to the plight of African-American citizens, thus making the issue of equality a nationwide cause. African-Americans were routinely segregated against in the southern states as well as mistreated in public venues such as employment development departments and courts of law. The consequence was a long, hard-fought struggle to gain the equal rights that were promised in the famous words written by Jefferson in the Declaration of Independence in 1776: All men are created equal.


The first major issue to be contested during the Civil Rights movement in the United States was public school segregation. In certain states African-American students were not allowed to attend schools where white students were located. As a consequence, an inequality existed between schools where white students were enrolled in comparison to schools where black students were enrolled. Examples of the inequalities range from the school resources allocated to whites versus blacks and the availability of heat in colder climates for African-American students. Eventually the Supreme Court would here a case against the Board of Education. In Brown v. The Board of Education a civilian filed a suit that the stated that segregation of the public school system was unconstitutional under the 14th Amendment of the United States Constitution. The Supreme Court held, in this landmark case, that public schools must be desegregated to comply with constitutional expectations. When school districts in the South did not comply with the ruling, the federal government sent the National Guard into non-compliant cities and escorted African-American students to class in previously designated "Whites Only" schools.
Rosa Parks, an African-American woman in the South, once refused to ride in the rear part of a public bus. When she refused to ride in the designated section for African-Americans, an outcry occurred that brought attention to the segregated nature of the South ensued. As a result, citizens in the United States were made aware of simple everyday activities that were segregated in the South. After Rosa Parks' arrest and release, her gesture of defiance became a further rallying cry for equality and legislation that would grant civil liberties to all members of the United States - including African-Americans. 

One of the great leaders of the 20th Century was Dr. Martin Luther King Jr. Dr King was a leader for the civil rights movement. He advocated non-violent civil disobedience to bring attention to the cause of Civil Rights for African-Americans in the South. Although African-Americans were arrested without cause, lynched, had rights violated, and segregated from public venues, Dr. King still supported a non-violent movement. Dr. King's speeches, especially at the March on Washington D.C. for Jobs and Freedom, echoed the sentiments of the African-American population. Even though Dr. King would be assassinated, his words and prophecy became a legacy for the struggles for equality in the United States and world wide.

James Meredith being escorted to class on the University of Mississippi
By 1964 the United States government was ready to act to defend the rights of African-Americans and other minorities. The Civil Rights Act of 1964 made it illegal to discriminate against any person based upon ethnicity, sex, nation of origin, or religion. Schools were made to be desegregated. Furthermore, voting opportunities could no longer be tampered with. This legislation was landmark in that changed the ways in which citizens in the United States were treated. Although, the Civil Rights era produced legislation there is still work to be done today.
  

Monday, January 28, 2013

The Vietnam War

The Vietnam War occurred between the 1950's and the 1970's in Southeast Asia. Similar in some respects to the Korean War, the Vietnam War was a conflict between Communist forces from the northern part of the country and democratically aligned forces from the southern part of the country. Again, this conflict included the usual Cold War supporters i.e. the United States, Soviet Union, and China. To be more specific, the United States supported the southern democratic forces; whereas the Soviet Union and Chinese assisted the northern Vietnamese communists.

In its earliest phases the Vietnam War began as a conflict between French colonial forces in Indochina or southeast Asia and the communist insurgents. By the early 1960's, after the French lost control, the United States began to commit support troops to help the fledgling South Vietnam government. With increasing instability, the United States had inserted 100,000's of combat troops across southern Vietnam. The selective service (draft), the television coverage, and the peace movement made the Vietnam War extremely unpopular in the United States. By the early 1970's the United States could not win the war, thus withdrawing and ending the conflict. The Vietnam War was arguably the only war that the United States lost.

The Vietnam War was another Cold War conflict. The United States viewed the collapse of the South Vietnamese government as a communist threat. Because of the Domino Theory the United States felt compelled to combat communism on every front. The United States lost approximately 50,000 lives in the Vietnam war. The Vietnamese lost several hundreds of thousands to millions of lives in the war. The Vietnam War caused American citizens to rethink the role of their government in foreign policy. 






 

Wednesday, January 23, 2013

Introduction to Demand

Demand is one of the most fundamental concepts in the economics discipline. Simply stated, demand is description of the customers' level of desire for purchase. Demand can be affected by a variety of factors. One typical example of how demand is affected is price. To apply an example, let us use a product called widgets. When widgets have a low price then more customers will desire to purchase this product, thus increasing the demand of widgets. When the price of widgets is up, then less customers are willing to purchase this product,  hence demand decreases. The increase and decrease of the level of desire by the customer, based on the fluctuation of the price, is the basis for the law of demand.

Demand has other effects as well. When demand is low for one product, then it typically is strengthened for another product. This scenario is called the substitution effect. To put it in other words, if you choose not to buy something because of its high price, then you substitute another option, because it is cheaper, in its place. For example, if Pepsi were six dollars a liter you would not demand to purchase it at that price. You are still thirsty however. Thus, you reach for a Coke that is more moderately priced at 2 dollars a liter. In this example you substituted the Coke for the Pepsi because of your level of demand in relation to the price of the sodas.

Another effect from demand is called the income effect. When the price of goods or services increases then you feel that you are losing more money to purchase the same thing. As a result, you choose not to purchase the increased priced goods or services, which as a consequence, leaves additional money in your pocket. When demand is low, money remains in the pocket of the customer.


The Korean War



After World War 2 the United States occupied the southern half of the Korean peninsula. On the northern half of the Korean peninsula were Communist forces supported by the Soviet Union and later Communist China. The peninsula was divided along the 38 degree north latitude line or also called the 38th parallel. In 1950 the North Korean forces, supported by the Communists in China and the Soviet Union, invaded the southern half of the Korean peninsula - occupied by democratically aligned forces with the United States. This war was an early crisis that defined the basis of the Cold War overall.



The northern invasion of Korea was initially successful. By the time of the arrival of UN and American reinforcements in the South, only a small pocket of territory around the Pusan region was still under South Korean and American control. The capital Seoul was captured early in the conflict. With the southern foothold intact, the reinforcements arrived and created a solid defensive perimeter which repelled the last attacks by the northern communist forces.

General Douglas MacArthur, an American hero from the Second World War, was given command of the southern forces. With his confidence in his men and willingness to to take risks in combat, General MacArthur created a plan that called for an end-around seaborne invasion near the 38th parallel behind enemy lines. The invasion at Inchon, Korea was successful and forced the retreat of the communists from the southern half of the Korean peninsula. Eventually MacArthur's forces would push the communist fighters all the way north to the frontier along the Yalu River (Border between China and Korea).

Fearing an invasion of its mainland, the Chinese communist forces crossed the Yalu River and pushed the South Korean and American forces back to the 38th parallel. The Americans were caught off guard. By 1953 the war had bogged back into a stalemate along the 38th parallel. An armistice, or a stop to hostilities, was signed thus stopping the Korean War. The result of the war was that no major territorial gains were made by either side, but thousands had lost their lives fighting in one of the first major events of the Cold War.





Tuesday, January 22, 2013

The Safety Net

In most modern economies governments provide social programs to ensure a general welfare among citizens who are in poverty or who are unable to care for themselves. Economists will utilize a poverty threshold, or a number of dollars earned per year under a set amount, to determine who is eligible for services that are designed to assist those who are impoverished. Currently the poverty threshold in the United States for a family of 4 is approximately $23,000 per year. For those who earn less than the poverty threshold, services are typically available to combat malnutrition, disease, lack of shelter and etc. The services available from the government for those in poverty are considered in economics as a Safety Net.

There are several types of Safety Nets available in the United States today. The Welfare System is available to those who are in need. Commonly a hot political issue, welfare is available to take care of American citizens, as well as to keep crime down. Taxpayers contribute money to the government, which in turn pays out money to people who qualify for assistance.

There are other government Safety Net programs. Such programs include the Family Medical Leave - for Families with newborns and etc, Social Security - to provide cash payments to the elderly, Unemployment Insurance - for people who have lost their jobs to make ends meet temporarily, and Workers' Compensation Insurance - for those who are injured on the job and temporarily can not work. These programs are developed to assist people who are in need, during times of crisis.


The Public Sector

Government plays an important role in our everyday lives. Police officers, transportation infrastructure projects, schools, and military expenditures are all examples of how the government spends money. These types of expenditures are part of the public sector. The public sector operates when a government collects taxes and uses that revenue to fund public goods and services. For example, the government identifies a public need, which should be addressed, and uses its tax revenue to resolve that issue. Let us say that crime becomes a major issue in a small town in California. The government decides that it will use money from the public sector to hire two new police officers to provide a public law enforcement service. The two new police officers are able to reduce the crime rate, thereby addressing the public need.

Public sector expenditures are designed to address needs that are not able to be addressed by individual persons or businesses. No single person is going to pay for a high speed rail to Las Vegas. But on the other hand, a pool of small tax contributions from the population can generate an amount that can fund that project. The public is all entitled to use the high speed rail to Las Vegas, so this is an example of a public sector expenditure.

The government, at the local, state, and federal levels, are always making decisions about how to distribute the collected tax money. Representatives, Senators, Mayors, and Presidents negotiate this distribution through voting, lobbying, and compromising. When and if an agreement is made, then the tax money is distributed to its appropriate destinations, thus funding the public sector. Teachers, firefighters, prison guards, city workers and etc are all a part of the public sector; whereas business owners, farmers, and et cetera are a part of the private sector.

Thursday, January 17, 2013

Lewis, Clark, Sacajawea & The Corps of Discovery

In 1803 the United States President Thomas Jefferson successfully negotiated the purchase of a large tract of land from France. The Louisiana Purchase came at a time when the French were facing difficulties in their Caribbean Territories and war with England. As a result, the land, which ranges from New Orleans in the South, across the Midwest and into the Rocky Mountains, was purchased at approximately $.03 an acre. After the purchase of such a large tract of land for the United States, President Jefferson sent a Corps of Discovery, led by Lewis and Clark, to explore the newly acquired territory.

In 1804 Lewis and Clark arrived at an outpost near where the Missouri River joins the Mississippi River. The plan was to follow the Missouri River west to attempt to find a water route out to the Pacific Ocean. The Americans at the time were aware that Native American tribes inhabited the area, but the Americans were not aware of the difficult terrain, specifically the Rocky Mountains, that blocked easy access to the Pacific Ocean. As a consequence, the journey for Lewis, Clark, Sacajawea and the Corps of Discovery was extremely difficult.

Lewis, Clark and the Corps of Discovery set out across the Great Plains. At the time the land was full of wild game. Buffalo and Bison herds numbered in the tens of thousands. Bears, coyotes, elk, and deer were abundant. Across the Great Plains the expedition had the opportunity to engage Native Americans, record the differing species of megafauna, and take account of plants and other scientific information found throughout the region. Eventually the expedition would encounter a more challenging experience as they pushed further to the west.

Upon reaching the more mountainous terrain to the west, the expedition encountered its first casualties and its first hostile encounters with Native Americans. The weather became more difficult as the altitude increased over the Rockies. Game became more scarce when the winter season started to settle in. At one point the entire expedition had to carry the canoes over cataracts and water falls. Alas, the expedition crossed the Rockies and entered the modern day Washington state region. A tribe of Native Americans called the Nez Perce were less hostile, which as a result, helped the expedition reach the shores of the Pacific Ocean. With the translation abilities and assistance of Sacajawea, a female Native American who accompanied the expedition, the Corps of Discovery successfully reached the Pacific Ocean.

After reaching the Pacific Ocean the expedition had to build a camp or fort to spend the winter before attempting a return trip. During the winter disease and malnutrition became a problem. By eating the available but limited protein sources that the land provided, and not having access to fruits, vegetables, and other sources of nutrition, members of the expedition had a difficult winter. The spring came around however, and the expedition prepared for the return trip.

The return trip began in the spring time. Once across the continental divide the expedition simply needed to follow the rivers east back to the Mississippi River. The collected journals and materials that were developed during the journey provided the United States government with a much more thorough understanding of the lands acquired in the Louisiana Purchase. Furthermore, trading relations with friendly Native Americans were established; whereas the identification of hostile and violent Native American tribes was also similarly produced. The journals of Lewis and Clark are still available for study today.


Wednesday, January 16, 2013

Macro and Micro Economics





The United States economy is the largest in the world. Approaching 350 million people, the United States population is reliant upon the economy, which consequently can affect the lives and fortunes of all its citizens. Furthermore, with the increasing ties between the international community i.e. globalization, the United States economy also affects hundreds of millions of foreigners as well. Economists in Washington D.C. are tasked with managing the economy for the public good. Although the United States economy is a Free Enterprise System, there are tools used by the government to manage economic growth. This division is called macroeconomics.

Economists evaluate the economy on differing levels. Macroeconomics is a division of the economics discipline that evaluates entire economies as a whole. For example, the approach taken by John Maynard Keynes, an English economist, in the 1930's, sought to explain why the economies of the English-speaking democracies entered a prolonged depression. The purpose of his study was to find the reasoning behind why the Great Depression occurred and how to avoid something similar in the future. Keynes' research and proposed policies operated at the macroeconomics level since it was focused on entire economies.

On the other hand, economics is divided into another discipline called microeconomics. Microeconomics seeks to define behavior at the individual consumer, household or family, and small business levels. For example, the study of how families in rural a community purchase meat products in the winter is an example of a study at the microeconomics level. Studying demand and supply in a business setting also is in the realm of microeconomics.

Both the study of macroeconomics and microeconomics gives economists an understanding of how best to manage economic activity at both levels for the public good and for profit. Macroeconomists uses tools such as the Gross Domestic Product, a total value of all goods and services produced in an economy in a given time period, and the business cycle, the growth and decline of an economy over a time period, to effectively manage policies which affect the economy overall. However, micro-economists will utilize figures such as local employment rates, production quotas relating to applied technologies, or advertising strategies to modify business practices to increase profitability. Both types of economic views are a study in how best to proceed in an economic system.

Free Enterprise

In the United States and most modern democratic nations the Free Enterprise System is used for economic activity. The Free Enterprise System can be best defined as the economic system that allows people to freely develop business ideas and to attempt to use those ideas to generate a profitable business. The Free Enterprise System encourages competition, which as a result, gives customers the opportunity to choose the best good or service for their needs. The competitive nature of the Free Enterprise System does not ensure success for all businesses, but this system does encourage innovation, competition, revenue for government policies, and a focus on the consumer.

The Free Enterprise System is based on the premise of profit motive. Businesses and individuals alike are motivated to acquire profit. As a result, businesses will operate as efficiently as possible along the production possibilities frontier. No business or individual is seeking to lose money intentionally. The consequence is that business operations are automatically streamlined because they are motivated to generate the highest possible profit.


For the Free Enterprise System to work efficiently there must be open opportunity. No businesses are restricted, within reason, in the United States. By having an open opportunity, businesses with new ideas, better pricing models, improved products, and innovative approaches are able to enter the market place because of open opportunity.

Because of the strong tradition of legal equality and open opportunity found in the United States today, business ideas are continually being entered into the marketplace. Imagine that only middle-aged white males were allowed to participate in business ventures. The available goods and services to a restricted and unequal marketplace would lack diversity, thus limiting the available choices for the consumer. By opening up the opportunities and providing legal equalities, all business ideas are tested in the marketplace, leaving only the most efficient goods and services for the consumer.

Tools such as the free contract and the right to voluntary exchange give the Free Enterprise System further advantages. Businesses and individuals in the Free Enterprise System are allowed to freely engage in contractual obligations without government interference. Furthermore, the right of voluntary exchange allows consumers to deny or accept goods or services. No one is required to buy anything from anyone, at anytime. You are free to choose which contracts to enter and you are free to refuse or accept a purchase or sale always.

The features found in the Free Enterprise System encourage economic growth in a variety of ways. The most fundamental aspects of the Free Enterprise System are the profit motive and the competitive nature of the laissez-faire economic model. When the economic system is free to operate, the consumer wins. By allowing open opportunity and legal equality, the consumer wins. Using free contracts and the right of voluntary exchange, the consumer wins. Thus, the focus of the Free Enterprise System is to provide an economic model that encourages successful business ventures and to guarantee that the consumer wins.




Monday, January 14, 2013

World War 2


Economic struggles around the world during the 1930's opened the door for tyrannical leaders to make promises to their respective people. These leaders created modern mechanized armies that were more capable than the world had ever witnessed. By 1939 the National Socialists (Nazis), led by Adolf Hitler, and the Japanese Empire, led by a military-industrial panel of leaders, had strengthened their positions within their regions. These nations would embark upon aggressive expansionist attitudes seeking to dominate other nations for their resources and territories. The Japanese had conquered much of northern China and the Korean Peninsula by the end of the 1930's. The Nazis invaded Poland and soon conquered most of Europe and North Africa. The Allies (England, France, Soviet Union and the United States) formed an un easy alliance to combat the Japanese and German aggression across the globe.

December 7, 1941 the Japanese attacked the United States at Pearl Harbor, Hawaii. The United States entered the war against both Nazi Germany and the Japanese Empire. In the South Pacific the United States Navy and Marine Corps, turned back the tide of victories against the Japanese at the Battle of Midway, Battle of Guadalcanal, and later the Battle of Iwo Jima. In North Africa and Western Europe, the United States was able to overcome the Nazi armies and free multiple nations from Hitler's grip. In 1945 the United States and its allies defeated and occupied Germany, thus ending the war in Europe.


The Pacific Theater dragged on however. With estimates of up to 1,000,000 casualties, the United States President Truman (Roosevelt had passed away by this point) made the decision not to invade Japan with the Marine Corps, but rather to utilize the newly developed Atomic Bomb. At Hiroshima and Nagasaki the United States used the only atomic weapons in combat ever against the Japanese. Fearing the destruction of the entire nation, the Japanese authority surrendered in late 1945 ending the war in the Pacific theater.

World War 2 was a global war that claimed approximately 50 million lives. The United States attempted to stay neutral in up until late 1941, but by the end of 1941 the Japanese attack at Pearl Harbor, Hawaii dragged the reluctant power into the conflict. With the atrocities occurring against the Jews and others in Europe by the Nazis and to help out its other allies, the United States joined in combat operations in Europe as well. The last year of the war, 1945, created new days of remembrance for both V-E day (Victory Europe) and V-J day (Victory Japan). The end of the Second World War left two remaining super powers, the United States and Soviet Union, which would form the basis for the Cold War up until the onset of the 1990's.





Friday, January 11, 2013

American Civil War


Several decades after the American Revolution another crisis faced the people of the United States. Slavery, a central issue dividing North versus South, would tear the country apart. In 1861, after the election of President Abraham Lincoln, the souther slave states seceded or left the union forming the Confederate States of America. The northern states would not allow the southern states to leave the union, which as a result, formed the basis for the conflict called the American Civil War.

Prior to the initiation of hostilities, the northern states were relying more on urban industrialized manufacturing for its economic base. On the other hand, the southern states relied entirely on cotton and agriculture to provide revenue. The north had extensive advantages over the south. For example, the northern states had a higher population, increased railways for transportation, and large urban centers that could produce munitions and supplies for the war machine. The south, however, did not hold any advantage in materials aside from cotton. These factors were the major influence on the outcome of the war. By 1865 the northern states decimated the confederate armies and destroyed major cities throughout the south.

Some of the most bloodiest battles in modern history were fought in the United States during the American Civil War. In its earliest stages there were some southern successes, but the largest battles would prove decisively in favor of the northern states. For example, the Battle of Antietam in Maryland in 1862 was the single most bloodiest day in United States history. Over 22,000 soldiers lost their lives in this battle. Later, the Battle of Gettysburg, which was a decisive victory for the Union or northern states, caused over 50,000 casualties in only three days of combat. These battles are just two examples of several conflicts which occurred between the north and south across the eastern United States from 1861-1865.


In its later stages the war was waged in the south. General William Sherman led his army across the southern states destroying everything in its path. Cities such as Atlanta were occupied and left in ruins. As a result, the southern will to fight was broken and surrender became the only option. At the Appomattox courthouse in 1865 General Robert E. Lee of the Confederate States of America surrendered to Ulysses S. Grant of the United States of America, thus ending the American Civil War. The northern states won the war ushering in a period of history named Reconstruction - or a period when the south would require extensive investment to rebuild its infrastructure.

After the Civil War the rights of African-Americans changed extensively. Slavery was outlawed in the United States - making all African-Americans free. Furthermore, amendments such as the 14th provided equal protections for all citizens under the Constitution. These developments would be relied upon almost 90 years later during the Civil Rights movement to further ensure the civil liberties for African-Americans permanently.

Thursday, January 10, 2013

American Revolution

At the end of the North American Colonial Period, members of the 13 colonies were becoming more distrustful of the English government overseas. A series of laws passed in England, which were applied across the Atlantic Ocean in North America, were angering the colonists. As a result, the colonists started to defy the authority of the English Monarchy. Taxes were avoided and protests in the streets were indicating that the colonists were not happy with the English government. Consequently, American statesmen, such as George Washington and Thomas Jefferson, started to call for a separation from England. In 1776 the United States was created with the Declaration of Independence, a document that detailed the reasons for separating from England.

During the 1770's England had sought to tame its colonies across the Atlantic Ocean. Taxes on stamps, tea, and trade were becoming more and more troubling for the North American colonists. Events in Boston led to a massacre of colonists by English "Redcoat" soldiers. Later, the colonists responded by dressing as Native Americans and destroying a shipload of tea from England. This event was known as the Boston Tea Party. Eventually events came to a breaking point and the colonists went into full revolt. On July 4, 1776 members from across the English North American colonies signed the Declaration of Independence making the United States separate from England. England would not tolerate such an insurrection so the American Revolutionary War was on.

The American Revolution lasted approximately from 1776 - 1781. At the onset, England sent armies and its powerful navy to subdue the revolting Americans. The English Navy blockaded ports and restricted trade; whereas the English "Redcoat" Armies moved into the interior to stop the Patriots from revolting. The United States was no match for the then powerful army and navy of England. American success was elusive at the start of the war. The French, enemy of the English, came to the rescue of the fledgling United States Patriots. With the help of the French, the United States was able to embark upon some successful offensives, including the capture of an English army at the Second Battle of Saratoga. By 1783 the United States was fully separated from England, thus allowing for the establishment of a modern democracy based upon the teachings of ancient, as well as modern enlightenment political philosophers. In 1787 the United States Constitution was signed into law and has endured since.







Wednesday, January 9, 2013

Types of Economies

In the world of economics there are four main types of economies. Each type of economy has a different prioritization of goals. The types are labeled: Traditional, Market, Command, and Mixed. Each type of economy has a differing outlook on how to best represent the values of the community. There is no actual correct economy, only differing approaches on how best to proceed. The following definitions should help you in understanding the four basic types of economies.

Traditional Economy - The traditional economy relies on customs or traditions to address economic issues. Typically speaking it is an economy that does its business in the same fashion it always has. Traditional economies do not change much over time. Furthermore, traditional economies are most often small and localized. For example, a traditional economy in southeast Asia may revolve around a fish market along the Mekong Delta. Tradition holds that a certain type of fish is valued at a specific amount of rice. Fishermen and farmers rely on tradition to determine the values of their goods and services, then trade accordingly in the Mekong Delta region.

Market Economy - The Market Economy relies upon trade between members of the free market. Because the Market Economy is free, any individual is allowed to participate. When there are multiple members trading similar goods or services in a free market, then competition forces the best priced and most efficient businesses to thrive. As a result, the customer or consumer wins because of the competitive nature of the Free Market Economy.

Command Economy - A Command Economy relies on government to control all aspects of economic activity. In regions where the free market does not function well, community members will allow a government to step in and control the economy. Command Economies usually do not offer choice or variation. The goal of a command economy is to provide individuals with basic necessities as opposed to free choices.

Mixed Economy - Mixed Economies rely on a combination of types of economies. For example, a government may have a laissez-faire approach to a particular good or service; meanwhile another good or service becomes highly regulated to influence production, cost, or consumer behavior. Most modern economies rely on some aspects of the command structure while utilizing the free market for other economic activities.