Agricultural and Industrial Revolutions: Transformations in England and France
1. Main Characteristics of Industrial Farming
Industrial farming has five key features:
- It is a decentralized activity.
- It involves working with living organisms.
- It is influenced by external factors (positive or negative).
- It is characterized by seasonality.
- It encompasses diversity in agriculture.
2. Decentralized Nature of Agriculture
Agriculture is decentralized because it is practiced throughout the national territory, with its basic input, the earth, present everywhere (Coast, Sierra, Jungle).
3. Differences in Agricultural Business Units
Agricultural business units differ based on the economic production system:
- They are influenced by exogenous factors that can be detrimental.
- They adopt strategies to mitigate negative impacts from internal and external factors.
4. Current Economic Surplus (CES)
CES refers to the economic power represented by the difference between the Gross Domestic Product (GDP) and the sum of consumer product depreciation (CP + R):
CES = GDP – (CP + R)
5. Surplus for Development
The surplus for development is the difference between the CES and General Effective Expenses. This surplus is used to increase production by acquiring new productive investments, facilities, machinery, etc. It also serves to increase farmers’ income and the number of producers.
6. Methods of Economic Surplus Mobilization
The main methods of mobilizing economic surplus are:
- Taxes: The state extracts surplus through taxation for reinvestment.
- Income Tracking: Income taxes on company profits remove excess.
- Credit: Through interest rates.
7. Agricultural Development Strategies
Agricultural development strategies are actions taken on variables to influence agricultural development. These measures depend on the groups in power. Strategies work if implemented by groups engaged in agricultural development, but they may fail in a highly integrated market economy led by foreign groups.
8. Agriculture’s Precedence in England’s Industrial Revolution
The shift from a biennial to a triennial system, involving pasture cultivation for three consecutive years, encouraged livestock development, sheep raising, and cotton production. The textile industry, a foundation of the Industrial Revolution, benefited from this agricultural progress.
9. Foundation Industries of England’s Industrial Revolution
The Industrial Revolution in England was primarily based on three industries:
- Textile Industry
- Steel Industry
- Coal Industry
10. Impact of the Industrial Revolution in England
The Industrial Revolution led to the development of the capitalist system.
11. Adam Smith and Ricardo’s Theories vs. Mercantilism
Adam Smith and Ricardo developed the theory of free trade, opposing mercantilism. Their objectives were:
- Reduce income restrictions.
- Establish free trade.
They represented the emerging bourgeois groups.
12. Major Changes in England during the Industrial Revolution
- Division of labor
- Specialization in goods production
- Restructuring of production and distribution
13. England’s Colonial Industrial Policy
Colonialist England hindered the development of the textile industry in its colonies to protect its own textile industry. India, for example, was made a cotton producer and an importer of looms from England.
14. Role of French Aristocracy
The French aristocracy was protective of industry, while England adopted a liberal approach.
15. Contradictions Between Gentry and Industrial Sectors in England
The landed aristocracy favored protectionism (e.g., the Corn Laws) for high tariffs, prices, and revenues. Emerging industrial sectors advocated free trade for low prices, wages, and higher industrial profits.
16. Mercantilist Policies in 18th Century England
Mercantilist policies, such as high tariffs and export subsidies, favored landowners by ensuring high prices and absolute income.
17. French Agricultural Policy in the Early 20th Century
French agricultural policy was protectionist, fostering agricultural development, technical advancements, and a belated connection with industry.
18. Common Agricultural Policy (CAP) and its Initial Objectives
The initial objectives of the CAP were:
- Increase productivity.
- Stabilize agricultural markets.
- Ensure the supply of agricultural products.
19. Major CAP Policies at the Beginning of MCE
The major CAP policies at the beginning of MCE were:
a) Pricing and market policy.
b) Political structures.
c) Regional policy.
20. Price and Market Policy of the CAP
The CAP’s price and market policy involved price controls and market interventions to maintain high domestic prices and protect domestic production.