With reference to Bourdieu's theory of distinction and other Essay

With reference to Bourdieu's theory of distinction and other relevant theorists on social class, give a detailed example of how a specific habitus shapes consumer behaviour - Essay Example In this status hierarchy a person develops his/her social class. With reference to 1960s -70s France; Pierre Bourdieu has analysed the society in great detail. He worked on how the knowledge and usage of different cultural relics have shaped over time. In addition to this he also examined how people develop certain taste for food, clothing, music and their overall lifestyle. Bourdieu also studied the uncountable struggles between various classes and the emergence of their fragmentation in today’s capitalist society. He taught people how to alter their perceptions and expectations when they are at a stage of the hierarchy and at the same time he provided options to people to compete for the class position they desire (Bourdieu, 1984). Some of the concepts explained by Bourdieu are clarified in the following section. â€Å"The projection of capital on to a particular axis with an aim to create a constant, linear and homogenous series which helps in identifying the social hierarchy involves a tough operation. In doing this, various types of capital are brought down to one single standard. This theoretical phenomenon has an objective foundation; exchange rates differ according to the power relation amongst the owners of the capital (Giddens, 1994). There is a prerequisite for reducing the spaces between the capital to one dimension, however, if someone willingly converts the capital, the creation of a two-dimensional space clarifies that the importance of exchange rates. Therefore, Bourdieu has extended the phenomenon of capital on the basis of an underlying idea in which capital is converted in normal sense. Although Bourdieu has not explicitly spelled out the foundation of different types of capitals and their conversion rates; they can be deduced by further researches. Capital is capable of bu ilding a relation between two people in a particular social space, but this principle does not necessarily create an absolute order of the society, along

Chinese Foreign Currency Reserves Swell by Record Amount Article

Chinese Foreign Currency Reserves Swell by Record Amount - Article Example This article tries to raise public alarm over the swelling foreign exchange reserve levels of China and how this contributes to the country’s â€Å"worsening inflation problem† (Bradsher, 2011). This has to do with its effect on the renminbi’s exchange rate vis a vis the US dollar.   A high level of reserves causes the renminbi to appreciate against the dollar.   The problem is this will make China’s substantial exports more expensive; thus, losing its competitive advantage.  Ã‚   This then could lead to the loss of jobs by millions of people working in the export industry.   This led to China’s central bank’s decision to keep the value of its currency low.   To do this, it prints renminbi at a â€Å"furious pace in order to buy the dollars and euros† that come in through trade surpluses and foreign investment (Bradsher, 2011).   However, this spawns another problem.   The additional renminbi issued causes the money suppl y in the country to rise even further.   What was not discussed in the article is the direct impact of the level of money supply on inflation.   A high level of money supply circulating in the economy causes aggregate demand to rise.   This increased demand for goods and services is what pushes general prices to go up. Looking at China’s foreign reserve levels, in the third quarter of 2010, it increased by $194 million.   In the fourth quarter, it jumped by $199 million to raise the total to $2.85 trillion.   This increase was much larger than what economists had expected.   During this time, China â€Å"doubled its intervention in the currency markets to about $2 billion a day† (Bradsher, 2011).   And so, the country’s money supply was 19.7 percent higher in December than a year earlier. The increase in money supply though is not solely due to the central bank’s efforts to keep the value of the renminbi in check.   Banking loans have also risen and measures taken by the central bank to slow down lending, primarily by increasing bank reserve requirements have proven to be ineffective.