Test 3 Textbook Notes Chapter 13 The Economy and Family Life Economy a social institution that determines how a society produces distributes and consumes goods and services 1 Work in US Society Today either goods or services a Work a physical or mental activity that accomplishes or produces something provides money major motivator leads to better health feeling of usefulness sense of accomplishment source of social identity 2 Deindustrialization Globalization Offshoring and Labor Unions a Deindustrialization a social and economic change resulting from the reduction of industrial activity especially manufacturing decline in manufacturing jobs since 2000 more machines b Globalization the growth and spread of investment trade production communication and new technology around the world i motor vehicle assembly in the US but parts come from other countries c Offshoring sending work or jobs to another country to cut a company s costs at home AKA international outsourcing transfer of manufacturing jobs overseas since 1970 d Labor unions organized groups that seek to improve wages benefits and working conditions unionization rate has dropped some states prohibit unions said to have too much influence and take too much money from the state over paid members some say they are crucial for some families paid holidays vacations greater workplace safety overtime pay 3 Social Class Wealth and Income a Wealth money and economic assets that a person or family owns i property stock and bonds retirement and savings possessions income Income amount of money a person receives usually through wages or salaries b The rich are getting richer The middle class is shrinking The working and lower class are barely surviving c corporate welfare an array of direct subsidies tax breaks and other favorable treatment that the government has created for business i i i ii i ii iii i ii iii 4 How the Economy Affects Families a Low wage Job and Nonstandard Work Hours Low wage jobs i ii Working poor people who spend at least 27 weeks in the labor force but wages fall below the official poverty level b Nonstandard work hours Unemployment ii iii in many countries workers are needed almost around the clock because business is being conducted somewhere almost every hour of the day including weekends often called shift work can create problems in families because one or both parents spend less time with the kids and provide less supervision benefits lower childcare costs parents work days or nights c Part time Workers Part time work traditionally given to lower level i ii iii i unemployment rates were high and have recently dropped largest mass layoffs are in construction manufacturing retail and wholesale trade d Discouraged Workers hidden unemployment a person who has stopped searching for a job because he or she believes that job hunting is futile i include retirees who fear age discrimination mothers who have been taking care of children and can t find suitable jobs those who refuse to work minimum wage and those who have dropped out of high school e Underemployed Workers a person who has a part time job but would rather work full time or whose job is below his or her experience skill and educational level i ignored by unemployment rates a absolute poverty not having enough money to afford the basic necessities of 5 Poverty life living b relative poverty not having enough money to maintain an average standard of c Poverty threshold the minimum income level that the federal government considers necessary for basic subsistence poverty line i feminization of poverty the likelihood that female heads of households will be poor a Two person single career a spouse participates in the other s career behind the scenes without pay for direct recognition first lady 6 Marital Economic Roles 7 Stay at home Dads a usually a temporary role due to unemployment or health problems retired remarried younger women who are employed b Benefits and Costs i more intimately involved with kids ii more likely to let kids take risks on the playground iii iv more likely to organize outdoor adventures v instill problem solving skills some dads concerned about losing their business skills and their professional place in line vi vii feel unappreciated by spouse stigmatized and emasculated by unemployment 8 Two Income Families a Dual earner families both partners work outside the home i most likely affluent small fraction has discretionary income money remaining after the costs of basic necessities b Dual career families both partners work in professional or managerial positions that require extensive training commitment and ongoing professional growth c Gender roles and parenting i mothers usually have more responsibility for domestic tasks especially childcare ii mothers more likely to hurt career by refusing out of town travel or working extra hours d Benefits and costs of two income families i ii iii iv raises family s standard of living relieves some pressure of one parent being provider believe that they provide responsible adult role models role overload 9 Commuter marriages a spouses live and work in different geographic areas and get together intermittently such as over weekends i ii b Benefits and costs paychecks can devote more attention to their work during the week and they learn to appreciate time together time constraints extra costs iii iv v may feel socially isolated the partner with the higher income typically has more power in relationship a b do more housework than women who earn same amount 10 When Wives earn more 11 Inequality in the Workplace a Women and minorities i ii i ii b Gender pay gap earnings increase across all racial groups and for both sexes as people go up the occupational ladder gender pay gap across all groups and occupations the overall income difference between women and men in the workplace if gap continues it will take another 45 years for women to catch up with men iii Women tend to choose fields with lower earnings even when women choose high paying jobs they still earn less than men iv v many women hit a glass ceiling attitudinal and organizational workplace obstacles that prevent women advancing to leadership positions vi glass escalator men who enter female dominated occupations and receive higher wages and faster promotions vii motherhood penalty pay gap between women who are mothers and viii women who are not occupational sex segregation channeling women and men into different types of jobs c Sexual