Key Terms 5.1

Industrial Revolution- a change on the production of goods that substituted mechanical power for human energy, beginning around 1750 in Britain and Western Europe, it vastly increased the world'is productivity.

Interchangeability of Parts- a late 18th century technological breakthrough in which machine and implement parts were standardized, allowing for mass production and easy repair.

Outwork- a method of manufacturing in which raw or semifinished materials are distributed to households where they are further processed or completed.

Limited Liability- legal protection for investors from personal responsibility for a firm's finances.

Stock Market- a site for buying and selling financial interests, or stock, in business, examples would be the stock exchanges on London and Hong Kong. 

Cartel- a group of independent business organization in a single industry formed to control production and prices. 

Socialism- a social and political ideology dating from the early nineteenth century that stresses the need too maintain social harmony through communities based on cooperation rather than competition, in Marxist terms, a classless society of workers who collectively control the production of goods necessary for life. 

Utopian Socialism- a goal of certain British and French thinkers in the early nineteenth century, who envisioned the creation of a perfect society through cooperation and social planning.

Materialism- in Marxist terms, the idea that the organization of society derives from the organization of production. 

Capitalism- an economic system in which the means of production- machines, factories, land, and other forms of wealth, are privately owned. 

Proletariat- under capitalism those who work without owning the means of production.

Bourgeoisie- originally a term meaning the urban middle class, Marx defined it as the owners of the means of production under capitalism.