World-systems theory

World-systems theory (also known as world-systems analysis or the world-systems perspective) is a multidisciplinary approach to world history and social change which emphasizes the world-system (and not nation states) as the primary (but not exclusive) unit of social analysis. "World-system" refers to the inter-regional and transnational division of labor, which divides the world into core countries, semi-periphery countries, and the periphery countries. Core countries focus on higher-skill, capital-intensive production, and the rest of the world focuses on low-skill, labor-intensive production and extraction of raw materials. This constantly reinforces the dominance of the core countries. Nonetheless, the system has dynamic characteristics, in part as a result of revolutions in transport technology, and individual states can gain or lose their core (semi-periphery, periphery) status over time. This structure is unified by the division of labour. It is a world-economy rooted in a capitalist economy. For a time, certain countries become the world hegemon; during the last few centuries, as the world-system has extended geographically and intensified economically, this status has passed from the Netherlands, to the United Kingdom and (most recently) to the United States. Components of the world-systems analysis are longue durée by Fernand Braudel, "development of underdevelopment" by Gunder Frank, and the single-society assumption. Longue durée is the concept of the gradual change through the day-to-day activities by which social systems are continually reproduced. "Development of underdevelopment" described that the economic processes in the periphery are the opposite of the development in the core. Poorer countries are impoverished to enable a few countries to get richer. Lastly, the single-society assumption opposes the multiple-society assumption and includes looking at the world as a whole. World-systems theory has been examined by many political theorists and sociologists to explain the reasons for the rise and fall of states, income inequality, social unrest, and imperialism.