Thomas Hobbes is a foundational figure in social contract theory. In his work 'Leviathan', he proposed that individuals voluntarily surrender their natural rights to a sovereign authority in exchange for the protection and stability that only a state can provide. This 'social contract' serves as the rational basis for the legitimacy of government authority, moving society from a chaotic state of nature to a structured civil society.

The law of supply and demand describes the market mechanism where prices fluctuate to reach equilibrium. When supply exceeds demand, prices fall to clear the surplus; when demand exceeds supply, prices rise due to scarcity, balancing the market.

The dialectic, often associated with Hegel and Marx, is a method of reasoning where a 'thesis' encounters an opposing 'antithesis.' The conflict between these two forces leads to a 'synthesis,' which resolves the contradiction and creates a new, higher level of understanding or social structure. It is a process of evolution through the resolution of opposing forces rather than simple polarization.

Unlike domestic governance, which features established legislative, executive, and judicial branches, the international system lacks a centralized sovereign authority. International organizations like the U.N. operate based on state consent rather than supreme governing power, meaning global governance remains largely theoretical or rudimentary compared to the structured authority found within individual nation-states.

Biological and cultural differences are inherent, but their impact on social life is determined by the meaning and value a society assigns to them. It is the social interpretation of these traits—rather than the traits themselves—that leads to stratification, discrimination, or social inclusion within a community.

Property rights are defined as the legal and social authority to determine how a resource is used. Ownership encompasses the bundle of rights, including the right to possess, use, exclude others, and transfer the asset, which is fundamental to the functioning of market economies.

The factory system is a method of manufacturing that emerged during the Industrial Revolution. It replaced the cottage industry, where production occurred in individual homes. By centralizing labor and capital equipment in one location, the factory system allowed for greater division of labor, economies of scale, and increased output, which were essential for the rapid economic growth observed during the 18th and 19th centuries.

The Industrial Revolution fundamentally altered social structures by shifting labor from agrarian settings to factories. This transition led to the emergence of the industrial proletariat, a distinct working class that relied on wage labor, thereby creating new social dynamics and class distinctions that were previously absent in feudal or agrarian societies.

When individuals encounter situations that fall outside the scope of established social norms or predictable patterns, they often engage in collective behavior. This behavior is characterized by a group-oriented response to uncertainty, where participants look to one another to interpret the situation and determine appropriate actions, as existing social guidelines are insufficient to address the novel circumstances.

Functionalism views society as a complex system whose parts work together to promote stability. In this framework, the state serves as a vital institution responsible for maintaining social order, regulating behavior, and providing the necessary infrastructure for society to function smoothly. By enforcing laws and resolving disputes, the state ensures that the collective needs of the population are met.