Arapesh and Embedded vs. Disembedded economy

  • Length: 913 words (2.6 double-spaced pages)
  • Rating: Excellent
Open Document

- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -

Text Preview

More ↓

Continue reading...

Open Document

Arapesh and Embedded vs. Disembedded economy

Polanyi says, regarding the economy, “the economic process….is embedded in noneconomic institutions.” An embedded economy is an economy in which economic activities occur such as, production and distribution; however other activities, which are not economic also occur. Activities such as forming friendships or helping other people may be happening, but it might just seem like the normal economic process because it is an embedded economy.

When Polanyi says that the economy is “embedded in noneconomic institutions” he means that while economic activity is occurring, it is occurring for noneconomic reasons. The economic activity may be occurring in order to continue a friendship or help someone. Activities in an embedded economy often seem like they are not economic activities. They seem like this because usually the reason the economic activity is occurring is for noneconomic reasons. For example, if two bakers both produce wheat bread, but do not eat their own, instead they exchange bread, because they want to have a reason to be friends. This situation does not seem like economic activity, it seems like two people sharing their food. It actually is economic activity, because the two bakers are both producing and distributing their bread. So, even though the bakers are only exchanging the bread because they want to maintain their friendship, what they are doing is an economic activity that would happen in an embedded economy.

Today most economic activity is considered to be part of a disembedded economy. In a disembedded economy, economic activity occurs only for economic reasons, so it is the opposite of an embedded economy. Economic activity is completely independent from such institutions as family or friendship. An example, of activity in a disembedded economy is a person going to a grocery store and buying bread. There is no other institution involved in the economic process of production and distribution of the bread which is why this would occur in a disembedded economy. The producer of the bread is making the bread so that he can sell it and get money for it, the consumer is buying the bread so it will belong to him.

Economic activities of production and distribution are perceived by the Arapesh to just be part of their society. Everything that the Arapesh use and take care of daily belongs to someone else, whether it is their trees or pigs. The Arapesh believe that they must share what they own with the other Arapesh to help them survive.

Need Writing Help?

Get feedback on grammar, clarity, concision and logic instantly.

Check your paper »

How to Cite this Page

MLA Citation:
"Arapesh and Embedded vs. Disembedded economy." 21 Jun 2018
Title Length Color Rating  
Essay on The Effects of the Economy On Business Administration - The Effects of the Economy On Business Administration The career I choose to pursue is the career of Business Administration. This career consists of running a small or big business and being able to run it and be capable of making small or very important decisions. A business runs and depends on the people and how people spend their money. If people spend their money responsibly and they know how to administrate their money and will make the economy to be stable and be good. As we all know, the economy has been really bad for the past year and it has made millions of people loose their homes and their jobs....   [tags: Economy] 927 words
(2.6 pages)
Better Essays [preview]
Essay on The Overall State of the Economy - The overall state of the economy M r. President. It is with due respect that I would like to express my gratitude for the invitation. Owing to the major issue at hand, we are aware that most countries are still grappling as a result of the after effects of the Economic crunch that has been taking place. The meltdown has mainly been triggered by our banking system liquidity crises which resulted to the collapse of large financial institutes in a short span of time. The housing market suffered tremendous losses; this lead to increased cases of eviction mostly experienced by the middle class (Miller, 2010)....   [tags: Economy]
:: 3 Works Cited
721 words
(2.1 pages)
Better Essays [preview]
Judaism and the Economy Essay - Judaism and the Economy While the Jewish population is small, its impact on the economy is extensive. For a group of people making up less than two percent of the United States populace, Jews are certainly a topic of much conversation and controversy. For a race so often targeted negatively and used as a scapegoat, it is surprising to realize the Jewish hand in America today. A question circulating for a while is whether or not Jews control America; Jews rule the film industry, the news and communication business is a Jewish kingdom, the American financial industry is essentially a Jewish franchise, and the professions are so dominated by Jews its shocking, so where does their influence ru...   [tags: Religion, Economy]
:: 5 Works Cited
1214 words
(3.5 pages)
Strong Essays [preview]
The Downward Sprial of the United States Economy Essay - The Downward Spiral of the United States Economy In the world to date, there seems to be an increase of world governments needing bailouts, and people of the world needing assistance from the United States. This idea has caused many Americans to come to the conclusion that if the United States closed off borders to foreign trade, it would increase it’s standard of living and make America more profitable. However, this idea is false. The United States must not close off it’s borders to foreign trade because if trade borders were to close, American manufacturing plants would begin to shut down, the American transportation system and public services would suffer resulting in American job loss....   [tags: Economy]
:: 4 Works Cited
905 words
(2.6 pages)
Better Essays [preview]
Essay on The Australian Economy - Many opportunities and challenges await the global economies of today. The balancing of one country’s financial position has the capability to bring down an entire nation in an instant. One country’s financial gains require financial losses of another. The Australian economy is currently undergoing a major shift that is leading to low productivity and increased unemployed. Despite its current growing pains, the Australian economy remains resilient and is positioned to continue into its “23rd year of uninterrupted annual economic growth”....   [tags: Australian Economy]
:: 8 Works Cited
1495 words
(4.3 pages)
Powerful Essays [preview]
The Promising Future of China's Economy Essay - The Promising Future of China's Economy If China's economy grows as fast for the next 20 years as it has for the past 14, it will be the biggest economy on earth: I feel that China's drastic improvements over the last 14 years are overwhelming, with their Real GNP growing at a rate of 9% a year, which means by, 1994, China's economy will match the performance of countries like Japan and Taiwan. China's standard of living has also increased, and the number of people who were considered absolutely poor decreased approximately 63%....   [tags: Economy] 969 words
(2.8 pages)
Strong Essays [preview]
Global Economy Essay - Global Economy’s Impact on Labor The global economy has had great impact on the labor force, affecting each country in its own way whether it deals with outsourcing and offshoring or unemployment. The term global economy means integrating the world economy through trade, production, and distribution while consuming goods and services. Globalization has progressively integrated its way into all countries and the United States has seen that on the rise with diverse ethnic, economic, and religious groups that work together in everyday tasks....   [tags: Impacts, Labor Force, Economy]
:: 3 Works Cited
1369 words
(3.9 pages)
Strong Essays [preview]
Political Economy Essay - The UK economy has undergone structural, financial, and political change over the last thirty years. Different ideologies and policies have served to shape the relationship between government and economy in varying directions. Some elements, such as state intervention, have remained as a point of debate. Other factors, like globalization, have just recently developed. The policy of UK governments as a whole has been shaped quite heavily by major economic events during this period, and the legacy left by the Conservative and Labour governments can still be seen today....   [tags: UK Economy, Politics] 2085 words
(6 pages)
Strong Essays [preview]
Paraguay Economy Essay - Intro With a GDP per capita of $4,100 Paraguay is the second poorest country in all of South America right behind Bolivia. In this paper I will look to explain some of the reasons behind the lack of growth in the Paraguayan economy. I believe that being a landlocked nation without direct access to a major ocean waterway, political instability over the last 110 years, and a large portion of the population that severely lacks proper water and sanitation resources, all combine to play a crucial role in Paraguay’s poor economic development....   [tags: South America, Poverty, Economy]
:: 10 Works Cited
2080 words
(5.9 pages)
Powerful Essays [preview]
Lithuanian Economy Essay - Introduction In my research project I will be talking about the history of Lithuanian economy and how it had changed since the country became independent and took a place as a member of a European Union. In my work you will be able to see different points of view of being a citizen of the EU and the problems the countries are facing to get this membership. Lithuania’s membership in the European Union would be impossible without the public assent and support. This support was made most explicit during the referendum on the membership in the European Union on 10-11 May 2003, when 91.07% of those participating (the turnout was 63.37%) approved of Lithuania’s accession to the EU....   [tags: Economy, Low Cost Transactions] 2882 words
(8.2 pages)
Powerful Essays [preview]

The Arapesh believe that they cannot eat their own meat; they must give their meat to other Arapesh because in their culture it is a crime to eat the meat that they caught themselves. They see trading meat as an activity that is beneficial for them because they maintain kinship with other Arapesh, however it is really economic activity.

In the Arapesh society there does seem to be some exchange of products. The Arapesh, in their society, trade meat that one group of people catches, for meat that another group catches. The odd part about the exchange of meat is that the meat that the Arapesh are exchanging is almost exactly the same. The exchange does not occur for economic reasons or survival purposes; the Arapesh could keep their own meat and survive. The Arapesh are involved in exchange in order to keep kinship with the other Arapesh. By giving the meat that one group of Arapesh have to another group they are making certain that they all stay in contact with each other and help each other, which results in better relations between the Arapesh.

This type of exchange is much different than the exchange that occurs in today’s economy, because today’s economy is a disembedded economy. In the current economy exchange is most often thought of as giving money for a product. In this case the consumer gets a product that he needs and the producer or distributor gets the money that he needs. In exchange in the current economy each product is given a monetary value which allows the consumer and distributor to easily and fairly exchange what they have. However, the Arapesh had no monetary system with which to use and give their meat value. Today it is illogical to exchange identical products, because there is no gain for either of the people participating in the trade. The economy is also no longer an embedded economy, so there is no other reason to participate in economic activity, unless it is for economic reasons. Today, exchanging products as the Arapesh did would only create controversy because both groups would have to agree on what amounts of meat would be equal.

Exchange in today’s society does have one concept in common with the exchange that occurred in the Arapesh society. In both economies, both parties involved in the exchange agreed with the arrangement in which they were involved. For example, in the modern economy when most people go to grocery stores they do not argue about the price of the products. They accept that they have a certain monetary value and are willing to give that amount of money to purchase the product. In Arapesh society, the Arapesh accepted the fact that they had to exchange meat and other necessities with other Arapesh in order to live peacefully. The Arapesh also got the benefit of kinship from their trade, so they actually got more benefit out of their economic activity than people do in the current economy.

Return to