Theories of Inequality Marxist Social Conflict Perspective
View of Society Causes of Inequality Plan for Action Problems with Marx Useful Insights from Marx
Weber’s Social Conflict Perspective View of Society Multidimensional View of Inequality Outlook on the Future
Structural Functional Perspective (Davis & Moore) View of Society Explanation of Inequality Problems with Davis and Moore’s Perspective Useful Insights from Davis and Moore
Karl Marx1818-1883
View of Society
Economic contextPolitical contextModes of production
Means of productionRelations of production
Key assumptions for Marx
Causes of Inequality and theLabor Theory of Value
Selfishness of capitalists under capitalism
Leads to exploitation of the workerLeads to sharp divisions between
classesLeads to feelings of alienation and
frustration by workers.
Plan for Action:Becoming Class ConsciousConcentration and Communication Deprivation Economic Insecurity Alienation at Work Polarization Homogenization Organization and Struggle
Problems with MarxRevolution did not occur Capitalism was more prosperous for
the worker class than Marx predicted Profits don’t necessarily come solely
from labor Marx did not account for other
divisions in society besides class Marx does not account for authority
Useful Insights from Marx
Marx was right that once in large factories workers would organize
Useful Insights from Marx
There is a growing gap between upper and lower classes, e.g. CEO salary compared to worker salary:197345 x’s1991141 x’s 2002500 x’s
CEO pay and other trends (original figures have been converted into constant 96 dollars) (10) 1990 1995 Percent change --------------------------------------------------------------------- Average CEO pay $2.34 million $3.86 million +65% Average worker pay $27,615 $27,448 -0.6% Corporate profits $212 billion $317 billion +50% Worker layoffs 316,047 persons 439,882 persons +39%
In 1996, Business Week published the findings of an income survey of the top two executives at 362 of the nation's largest companies.
Current CEO compensation and the bailout.
Useful Insights from Marx
Class conflict does exist Trends in the deskilling of
American workers
Useful Insights from Marx
Capitalism has generated greater concentrations of wealth owned by fewer people 1950--top 100 of top 200,000 corps.
controlled 40% of industrial assets 1986--top 100 controlled 61%
Source: Wolff, Edward N. 2007. “Recent Trends in Household Wealth in the United States:Rising Debt and the Middle-Class Squeeze.” p. 15 (http://www.levy.org/pubs/wp_502.pdf).
Max Weber1864-1920
Weber’s Approach to Inequality
Weber’s view of society.Weber’s multidimensional view
of inequality.Weber’s outlook on the future.
Weber’s View of Society
Society is located in ideasReligion as source of ideas
leading to capitalismThe Protestant EthicThe Spirit of Capitalism
The Emergence of Capitalism
Protestant Ethic Protestant Reformation—
Luther’s idea of a “calling” Notion that God expected
people to master the world and master nature
Doctrine of predestination (Calvin)
The Emergence of CapitalismProtestant ethic established a rational
approach to the unlimited pursuit of profit = capitalism
Weber’s Multidimensional View of Inequality
ClassStatusPower/Party
Weber’s view of the future
Inequality is inevitableIron Cage of Bureaucracy
Structural Functionalist Approach to Inequality (Davis and Moore)
View of SocietyExplanation of InequalityFlaws and Useful Insights
Kingsley Davis (1908-1997)
Wilbert E. Moore (1914-1987)
View of Society
Basic ideas of functionalism--society is like an organism with interdependent parts
Davis & Moore--society is a hierarchy of positions
Key assumptions
Explanation of Inequality Inequality is necessary
Motivate best people to take appropriate positions
Insure people perform once in those positions
How are positions ranked? Functional importance Scarcity of skill
Explanation of InequalityHow are people matched to positions?
Differential rewards are attached to more important positions (i.e. those that require greater skill or training)
Economic Prestige Ascetic
Flaws of Davis & Moore’s TheoryLeads to blaming the victim.Equality of opportunity is impliedTraining is not always costlyOver-emphasizes the value of
economic rewardsMost important jobs are not always
highly rewarded (and vice versa)Who gets to decide which jobs are the
most functionally important?
Useful InsightsUnderstanding of the importance of
occupation to the placement of individuals in society
Taps into our notion of how things should work--meritocracy
Inequality
Inequality
Change
Conflict
Class Consciousness
Conflict
ChangeRationality
Marx
Weber Communism
Rationality
Three Perspectives on How Society is Divided
Capitalist (Bourgeoisie)
Worker (Proletariat)
Marx
Class Status Party
Weber
Hierarchy of Positions
Davis and Moore
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