For my write up today, I shall write about the lesson I had
for Professor Michael Dowdle’s comparative legal tradition class on
post-industrialism and globalization. The lesson focused on a subject known as post-Fordism which seems to me like some sort of industrialization method that
characterizes the way the world works today. I am not sure what the relevance
of this topic is to comparative legal tradition though. It appears to me like a
social science topic. It is an interesting lesson nonetheless, allowing me to
know how industrialization methods evolved in response to the given
circumstances that affects the world.
This terminology of Fordism and Post-Fordism is indeed an
interesting one. It bears allusion to one of the great US automobile
industrialist named Henry Ford. I suppose the use of his name to connote the
stage of industrialism stems from the notion that Henry Ford’s methods to
industrialization was a revolution which affects the way industrialization was
characterized thenceforth in the early 20th century. If I could
recall my reading on Henry Ford on Wikipedia, he invented the concept of the
assembly line method to industrial production. This leveraged on the economic
concept of economies of scale, boosting production and lowering cost, making
industrial production greatly affordable to the common man.
I haven’t heard of the notion of post-Fordism until today
though. I suppose that the economics of production has since moved on from the
time of Henry Ford and humans have found more innovative ways in their
industrial methods for production. As Professor Michael Dowdle characterized
this Post-Fordist stage of industrialization, the emphasis is on responsiveness
rather than on production. This is is response to the volatile nature of global
circumstances that at the start of the 1970s. For one, there is the formation
of the oil cartel in the Middle Eastern countries known as OPEC, and these
greatly affected oil prices which affects the industrialization methodology.
Information technology also made events in distant parts of the world an affecting
cause of things in local nations.
The first nation to develop a new method of
industrialization was the Japanese, who had to build up their industrial
capacity after the decimation of their industrial capabilities in World War 2.
Japan developed an industrial method known as flexible specialization. This allowed it a niche in competing with
the US industries, which leveraged on the concept of mass production to achieve
economies of scale. By using this method of flexible specialization, the
Japanese were able to compete by being more flexible to change. This gave the
Japanese an advantage in industries such as the automobile industry. Japan was
famous for producing cheap automobiles, but 10 years later, could produce high
tech and fuel efficient automobiles that captured the high-end markets.
I am interested to know what theories of production
economists have to explain this phenomenon of production. I remember studying
the concept of economies of scales in Junior college, and other concepts such
as comparative advantage. I wonder how far these economic concepts of
production actually work in the actual world. It seems like there are many
other innovative methodologies of productions that are carried out which allows
firms to corner the market even though they cannot achieve economies of scales.
These production methodologies may not be as easily presented in a model easily
understandable to the average A level students I suppose.
Japan also used a bifurcated production process, outsourcing
the production of standardized parts to cheaper production countries while
maintaining focusing the local industry on designing. State economies started becoming
more interdependent. In turn, states began decentralizing regulation, giving
localities more autonomy and responsibility for managing their own economic and
social environments. On the other hand, certain types of regulation move up
into the transnational sphere, resulting in a phenomenon known as
meta-governance/meta-regulation. Rather than regulating directly by forming and
implementing national legislation, nations chose from existing regulatory
frameworks presented and implementing them.
So continuing on this idea of the transnational regulatory
sphere, there are the likes of international organization like ASEAN, UN, and
the WTO. A less visible type of regulatory methodology is the creation of
intergovernmental network like the global competition network (GCN). This
methodology helped circumvent certain resistance to the US’ bid to introduce
competition laws amongst countries so as to further their ability to spread
their industrial powers across the world. I never saw it that way, but it is an
interesting point. Apparently, all the talks about free trade propounded by western
economists might be a strategy to propagate US interest to furnish their
exports. Thinking about it, there might be a case for protectionist measures
amongst countries by raising tariffs so as to protect their industries. Of
course, a trade war might be detrimental to all.
Another feature of the post-Fordist world is the creation of
non-governmental organization to regulate the globalized nature of
industrialization. One type is the QUANGOS (Quasi non-government organization)
such as the World Bank and the IMF, which are in actual fact proprietary arms
of the US which seeks to protect western interest more than global economic
interest.
Professor Michael Dowdle’s seminar on Post-Fordism was a
really interesting account of the industrial milieu proceeding apace in our
modern world and impacting the way our world works.
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