Integration of Material and Ideological Conditions

Integration of Material and Ideological Conditions

Introduction

With the passage of time, significant changes take place in financial structure and basis of the society, thus causing significant variations in the economic balance and form of society. It is essential to note that all these changes are placing direct impact on the lifestyle of people as well as the market economy, and thus affecting the productivity activity as well as the structure of the market societies. The following paragraphs seek to highlight the basic characteristics of the market societies, combined with the details of the great transformations as well as its significance in shaping the current economic situation:

Discussion

The Great Transformation

The term 'The Great Transformation' was basically coined by Polanyi, who believes that the development and formation of the modern state is directly linked to the development and formation of the modern market economies, and the study of history shows that both these events have been directly linked to each other (Polanyi, 1957). The transformation basically refers to the social as well as the political changes that took place in England, during the rise of the Market Economy. It is essential to note that the according to Polanyi, it was essential to from a influential and powerful modern state in order to push the changes in the social structure that was needed for a strong capitalist economy and at the same time, the resulting capitalist society required better formed and stronger state that could bear with its harsh as well as strong effects. Thus, Polanyi argues that the rise in capitalism was linked to the changes in social structure of the society, combined with the rise in socialism and thus resulted in the overall changes in the form and structure of the society (Polanyi, 1957).

Characteristics of Market Society

The major and the most prominent characteristics of the market societies are the decisions related to investment, production and the distribution of goods, which is based on the supply and demand of the products. It should be taken into account that the situation mainly highlights the fact that the defining decisions regarding investment and the allotment of producer goods are accomplished through markets in a market society. This implies that instead of using the traditional and general methods of allocating goods and making investments, market are used for carrying out all such functions and the same results in producing of free markets, with minimal involvement of the government (Heilbroner, 1993). It should be noted that the market societies are generally equated with the government controlled markets, in which the flow of goods and services is properly planned and regulated by the government. In addition, the market societies have capital based social as well as political systems, which implies that it is directly linked to the development of market economy.

Significance of the transformation

It should be taken into account that every change in the society is due to one or more reasons and the same goes for the great transformation as ...