Economics, Government, & the Cold War. Why do states cooperate with each other?

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1 Economics, Government, & the Cold War Why do states cooperate with each other?

2 ECONOMIC TERMS ASSOCIATED WITH POLITICS a. CAPITALISM Economic system where citizens own property & private businesses control companies. b. COMMAND ECONOMY government controls the economy SOCIALISM: social & economic system where the government owns & controls production & distribution of goods COMMUNISM: socioeconomic order where the government distributes common ownership of production & wealth no social classes c. MIXED ECONOMY

3 Types of Government ANARCHY: No government control at all. ARISTOCRACY: Government in which all wealth is possessed by a few rich families. AUTOCRACY: Government run according to the interests of the ruler (not the people) Can be next hereditary ruler, succession & people are suppressed DEMOCRACY: Governmental system where people elect leaders & run for office Freedom DICTATORSHIP: one leader controls the government and the government controls the people. COMMUNISM: Governmental system forces the people to be economically equal by redistributing the wealth

4 You have two cows ANARCHY: You have two cows. The cows decide you have no right to do anything with their milk and leave to form their own society. ARISTOCRACY: You have two cows. You sell both and buy one really fancy cow - with a pedigree. CAPITALISM: You have two cows. You sell one and buy a bull. DEMOCRACY: You have two cows. You and your neighbors decide who gets the milk. DICTATORSHIP: You have two cows. The government takes both cows and forces you to join the army. SOCIALISM: You have two cows. You give one of them to your neighbor because he didn t have any cows. COMMUNISM: You have two cows. The government takes one of them and gives it to your neighbor because he didn t have any cows.

5 ARAB SPRING: Late spring 2011 Major protests in countries in SW Asia & N. Africa Force to remove autocratic rulers in Egypt, Libya, Tunisia, & Yemen Protests Demonstrations, rallies, strikes, & civil disobedience Led by college-age people Social media contagious diffusion

6 Globalized Trend toward Democracy: Replace autocratic institutions monarchies Increase participation & suffrage (right to vote) Diffusion of democratic principles Think Arab Spring!!!!! Comparing Regimes Selection of Leaders Democracy Autocracy Citizen Participation Checks and Balances

7 Cold War MDCS LDCS Political division of the world between the allies of the United States and the allies of the Soviet Union. First World: North America & Western Europe Second World: U.S.S.R. & Eastern Bloc countries Third World: The underdeveloped countries, such as much of Latin America & Southeast Asia

8 What time period inspired Communism? Industrial Revolution Rise of Capitalism! Problems with this industrialization: Unsafe working conditions Unsanitary conditions Poor housing Employment of the wife demoralizes the family unit Child labor

9 The Book That Inspired It All The Communist Manifesto 1848 (governments back then?) Karl Marx & Frederick Engels (Prussia) exiled in London 1. History of class struggles 2. Rise of capitalism lead to social conflict Economic inequalities - New middle class (bourgeoisie) Working class (proletariat) 3. Working class would rise, take over, abolish private property & redistribute property 4. Equality amongst people, including women 5. History would led to a new era classless society - desire to abolish countries & nationalities 6. Worldwide revolution as all countries unite! Appeal of Communism / Marxism:

10 COMMUNIST vs. SOCIALIST

11 Communism finds 1 st home in Russia Peter s Palace / Summer Palace Note: 31 Royal palaces in St. Petersburg

12 What is to be done? RISE OF COMMUNISM World War I March 1917 November 1917 Treaty of Brest-Litosvk Civil War between the Reds & Whites

13 Cold War ( ) Political division of the world between the allies of the United States versus the allies of the Soviet Union. CAUSE: Ending of WWII Distrust between US & USSR over Yalta Conference between Joseph Stalin & Franklin D. Roosevelt Soviet lack of involvement in Asia in ending of WWII Capture of Berlin Formation of Poland

14 Cold War Divisions Post- WWII Europe destroyed Superpowers ( _ + _) influence Europe Economically Politically

15 Iron Curtain: From Stettin in the Baltic to Trieste in the Adriatic an "iron curtain" has descended across the Continent. Behind that line lie all the capitals of the ancient states of Central and Eastern Europe. Warsaw, Berlin, Prague, Vienna, Budapest, Belgrade, Bucharest, and Sofia; all these famous cities and the populations around them lie in what I must call the Soviet sphere, and all are subject, in one form or another, not only to Soviet influence but to a very high and in some cases increasing measure of control from Moscow. - Winston Churchill, March 5, 1946 SHATTERBELT region caught up in the conflict between two superpowers Boundaries often changed Cold War Germany, Vietnam & Korea No direct fighting between the super powers

16 NATO vs. Warsaw Pact NATO: Military, political, & economic alliance against the Soviet Union WARSAW PACT: Soviet Union s defensive treaty in Central & Eastern Europe during the Cold War.

17 Cold War- Global Presence Korean War Cuba Bay of Pigs Invasion (April 15, 1961) Cuba Missile Crisis (October 15 28, 1962) Vietnam War Spies, secrecy & espionage Nuclear Weapons Race Space Race Olympic Tensions

18 FALL OUT Blast from the past

19 BERLIN BOMB SHELTER

20 Berlin Wall To prevent migration August 13, miles long 12 feet high

21 CHECKPOINT CHARLIE BERLIN WALL Falls November 9, 1989

22 The Fall of Communism REVOLUTIONS OF 1989 Fall of Eastern Block Countries Socioeconomic Challenges Out of Communism Poland June 4, 1989 Hungary October 20 East Germany - Wall falls 11/9/89 - Reunited 10/3/90 Bulgaria -November 10, 1989 Czechoslovakia - November 28 Yugoslavia - January 1990 Romania - May 1990 GERMANY united!! Soviet Union falls German Challenges: Reluctance to support other Inefficiency economy (E.G.) Inferior feelings (E.G.) West German resentment Out of Communism: Heavy debt Outdated technology Industrial pollution Need for foreign investment

23 History remains there Communist art Propaganda based Massive construction to rebuild

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