bonded labor

Examples of bonded labor in the following topics:

• Chesapeake Slavery

  • The economy of the Chesapeake region revolved around tobacco and relied heavily on slave labor.
  • The scarcity of indentured servants meant that the price of their labor contracts increased, and Chesapeake farmers began to look for alternative, cheaper sources of bonded labor.
  • As a result, many Chesapeake farmers turned toward imported African slaves to fulfill their desire for cheap labor.
  • In the late 17th century, indentured servants made up the majority of laborers in the region.
  • These agriculturalists owned small amounts of property and a limited (if any) enslaved labor force.

• Community

  • The bond between two people who are both lawyers is an example of gemeinschaft, or mechanical solidarity; the two share a community because they have their occupation in common.
  • Unlike gemeinschaften, gesellshcaften emphasize secondary relationships rather than familial ties, resulting in an individual feeling less of a bond and less loyalty to society at large.
  • Social cohesion in gesellschaften typically derives more from an elaborate division of labor.
  • In 1893, French sociologist Émile Durkheim incorporated the ideas of gemeinschaft and gesellschaft, particularly their influences on their respective divisions of labor, into his theory of social solidarity, published as The Division of Labor in Society.
  • Mechanical solidarity speaks to the moderate division of labor and close resemblance in social norms exhibited by Tönnies's gemeinschaft.

• Bond Order

  • Bond order is the number of chemical bonds between a pair of atoms.
  • Bond order is the number of chemical bonds between a pair of atoms; in diatomic nitrogen (N≡N) for example, the bond order is 3, while in acetylene (H−C≡C−H), the bond order between the two carbon atoms is 3 and the C−H bond order is 1.
  • Bond order indicates the stability of a bond.
  • Bond order is also an index of bond strength, and it is used extensively in valence bond theory.
  • For a bond to be stable, the bond order must be a positive value.

• Taxes and Bond Prices

  • Taxes can cause bond prices and interest rates to differ.
  • For example, the U.S. government bonds have a lower risk of default and higher liquidity than municipal bonds, whereas municipal bonds are the state and local government bonds.
  • Government has exempted municipal bonds from federal taxes.
  • On the other hand, the taxed bonds are not as attractive as an investment, so investors buy fewer bonds, causing bond prices to fall and interest rates to rise.
  • Therefore, municipal bonds have a lower interest rate than U.S. government bonds.

• Types of Bonds

  • The most common secured bonds.
  • This bears the owner's name on the bond certificate and in the register of bond owners kept by the bond issuer or its agent, the registrar.
  • A term bond matures on the same date as all other bonds in a given bond issue.
  • Serial bonds in a given bond issue have maturities spread over several dates.
  • A bond with nondetachable warrants is virtually the same as a convertible bond; the holder must surrender the bond to acquire the common stock.

• Durkheim and Social Integration

  • Emile Durkheim studied how societies maintained social integration after traditional bonds were replaced by modern economic relations.
  • Population growth creates competition and incentives to trade and further the division of labor.
  • Modern societies, on the other hand, are based on organic solidarity, in which people are connected by their reliance on others in the division of labor.
  • Thus, although modern society may undermine the traditional bonds of mechanical solidarity, it replaces them with the bonds of organic solidarity.
  • Specialization and the division of labor require cooperation.

• Bond Valuation Method

  • A bond's value is measured by its sale price, but a business can estimate a bond's price before issuance by calculating its present value.
  • The bond's contract rate is another term for the bond's coupon rate.
  • If the market rate is greater than the coupon rate, the bonds will probably be sold for an amount less than the bonds' face value and the business will have to report a "bond discount. " The value of the bond discount will be the difference between what the bonds' face value and what the business received when it sold the bonds.
  • If the market rate is less than the coupon rate, the bonds will probably be sold for an amount greater than the bonds' value.
  • The business will then need to record a "bond premium" for the difference between the amount of cash the business received and the bonds' face value.

• Other Types of Bonds

  • Other bonds include register vs. bearer bonds, convertible bonds, exchangeable bonds, asset-backed securities, and foreign currency bonds.
  • Fixed rate bonds have a coupon that remains constant throughout the life of the bond.
  • Convertible bonds are bonds that let a bondholder exchange a bond for a number of shares of the issuer's common stock.
  • A serial bond is a bond that matures in installments over a period of time.
  • Eurodollar bond - U.S. dollar-denominated bond issued by a non-U.S.

• Labor Standards

  • Economists attribute some of America's economic success to the flexibility of its labor markets.
  • Perhaps as a result, the bonds between employers and employees have become weaker.
  • Some of the most important federal labor laws include the following.
  • The Fair Labor Standards Act of 1938 sets national minimum wages and maximum hours individuals can be required to work.
  • It also sets rules for overtime pay and standards to prevent child-labor abuses.

• Redeeming Before Maturity

  • For bond issuers, they can repurchase a bond at or before maturity.
  • To be detailed, the bond issuer will repurchase bonds with callability.
  • These bonds are referred to as callable bonds.
  • Most callable bonds allow the issuer to repay the bond at par.
  • In this case, the price at which bonds are redeemed is predetermined in bond covenants.