Analysis of Max Weber's Theory of Capitalism
Max Weber’s original theory on the rise of Capitalism in Western Europe has been an often studied theory. In its relationship to Protestantism, specifically Calvinism, Weber’s theory has been in scholarly debate since it’s release in 1904. “The Protestant Ethic and the Spirit of Capitalism” puts forth not capitalism as an institute, but as the precursor to the historical origins of capitalism. Weber’s attempts to use statistical data, as well as church doctrine to prove his theory, has been the foundation for the main arena of debate amongst his peers.
Weber, although touching on other religions and countries, specifically focuses on the Reformation and its correlation to the dominance of capitalism in Western civilizations. He centers his work on the thesis ‘that the chances of overcoming traditionalism are greatest on account of the religious upbringing’, thus ‘it is worthwhile to ask how this connection of adaptability to capitalism with religious factors occurred in the early days of capitalism(1).’ This break with tradition could be attributed to the ‘calling’ as depicted in the Protestant faith. Weber believes Protestants saw the ‘calling’ as finally sanctifying the earning of a profit and as a sign of salvation. In this, he saw a breaking of the ‘backward-sloping supply curve’ for labor by instilling a new work ethic and the bringing forth of capitalistic values.
Amintore Fanfani in his critical work “Catholicism, Protestantism, and Capitalism” disagrees with Weber on the role Protestantism played in the development of capitalism. He argues that “Europe was acquainted with capitalism before the Protestant revolt” and thus “…we have ruled out that Protesta...
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...hat inconsistent, there will always be an idea before a movement, and until one man can be proven to be the founder of capitalism Weber’s thesis still stands.
Bibliography
(1)Anderson, Hughes, and Sharrock: Classic Disputes in Sociology. London: Unwin and Hyman, 1987.
(2)Green,Robert W.Protestantism and Capitalism: The Weber Thesis and Its Critiques. Boston: D.C. Heath and Company, 1959.
(3)Dickson, Tony and McLachlan, ”In Search of ‘The Spirit of Capitalism’: Weber’s Misinterpretation of Franklin,” Sociology, Vol.23, No.1 (81-89).
(4)Weber, Max: General Economic History. New Brunswick, NJ: Transaction, Inc., 1979.
(5)Weber, Max: The Protestant Ethic and the Spirit of Capitalism. New York: Charles Scribner’s Sons, 1958.
(6)Algazi, Gadi: Max Weber on Market Relations, Freedom and Coercion. Dept. of History, Tel Aviv University: WWW.Criticism.Com.
Based on this segment from Max Weber’s The Protestant Ethic and the Spirit of Capitalism, it appears that the primary focus of the work was to refute the proposal of “”superstructure” theorists” (Weber in Calhoun 2012: 299), by providing examples to indicate that a capitalist economy is an unnatural social system, and does not unfold as these theorists claim. Weber focuses primarily on Benjamin Franklin as a proponent of Capitalism, (seemingly)
Weber identifies an evolution of capitalism stemming from traditionalism then moving into the early modern period and the introduction of the “spirit of capitalism” which lays the foundation for his notion of modern capitalism. Economic traditionalism is based around the resistance to social change, where individuals desired to continue living the life they led and the bare minimum of what was required instead of working harder and partaking in a motivated market system; this relates to the idea that workers work less as pay increases. The traditional approach is distinctly
...hown to be a fundamental socioeconomic transformation. My paper has shown many aspects of the market society, by using a number of theorists’ concepts. I focused on the characteristics of a market society, as well as why this transformation from traditional society was so significant. I also discussed the changes that have taken place in the workplace and the impact on the workers, which these material conditions became apparent throughout time. Lastly, I explained Weber’s idea of “economic rationality” and the worldview of people in a market society, to show how workers rationalized the work they put into the production and distribution of material goods. Generally, this paper’s purpose was to show how the market society has established itself over time, and how both material and ideological conditions interacted and changed the ways we view market society today.
In the closing of The Protestant Ethic and the Spirit of Capitalism, Max Weber writes, “it is, of course, not my aim to substitute for a one-sided materialistic an equally one-sided spiritualistic causal interpretation of culture and history. Each is equally possible, but if it does not serve as the preparation, but as the conclusion of an investigation, accomplishes equally litte in the interest of historical truth” (125). This closing statement presents Weber's main argument in The Protestant Ethic in a slightly different view than what many scholars think . Does Weber's essay merely criticize the theories of Karl Marx? Or is Weber simply trying to deepen the understanding of the cultural origins of capitalism, which includes Marx's materialist conception of history? In this paper, I will explore the ways in which Karl Marx and Max Weber might actually be compatible. By examining the two theorists' analyses in The Protestant Ethic and Marx's writings, including Capital and various essays, this paper will show how the difference between the two is not a matter of historical versus contemporary or historical materialism versus idealism. Rather, the two are compatible in their attempt to comprehend the connection between modern capitalism and history, their mutual understanding of religion as a practicality, and their pursuit of a diachronic analysis.
Unlike Marx who didn’t believe that culture influenced capitalism, Weber focused primarily on that and ideas. Weber says that traditional capitalism was when the elite kept their traditional values and status in the society, they didn’t have to take any actions to keep living as they normally had. Where as in rational capitalism, the spirit of capitalism shows that the culture has duties they need to keep up with instead of just keeping the norms that have already been in place. They have to work for what they get. Through rational capitalism, according to Weber, Life is to be lived with a specific goal in mind, which is making money. As humans, if we are organized, honest and overall good we believe that making more, and more money will come to us.
Ribuffo, L. (1981). Jesus christ as business statesman: bruce barton and the selling of corporate capitalism. American Quarterly, 33(2), 206-231.
In The Victory of Reason by Rodney Stark, he argues that spread and complete acceptance of capitalism as we know it is not only attributed to the Europeans but to the rise of Christianity. In his book, he hopes to explain why capitalism only developed in Europe and not in Asia or Islamic countries. This is arguably attributed to the fact that European Christians “embraced reason and logic as the primary guide to religious truth” (x).
Williams, O. F. Catholic Social Teaching: A Communitarian Democratic Capitalism for the New World Order. Journal of Business Ethics, 1993.Vol.12, no.12 p. 919-923.
A Discussion and Analysis Of some of his Contributions As Well as their Social, Political and Economic Impacts Since the Thirteen Colonies first united, the United States has had one of the strongest economies in the world. Over the years, many theorists have had varying opinions concerning the reason for this nation's strong economic standing. One reason that has often been overlooked is that a great many of this nation's workers have been influenced by the Protestant work ethic. The philosophy behind this work ethic has driven many workers to attain as much as possible at their jobs during their lifetimes. If one man were to be given credit for the development of the Protestant work ethic it would have to be Martin Luther. In the course of the next several pages this researcher will examine the ethic that has had such a great impact on the United State's economy and on the economies of other nations. It has been suggested by such writers as Weber and Smith that the Protestant work ethic first developed around the word "calling." Basically, this term has a religious connotation which is a task set by God. However, gradually this term was expanded to the point where it covered many of man's activities. During the Protestant Reformation, the term "calling" started to take on a new meaning. Fulfilling one's duty in worldly affairs became a task of extreme importance. gradually, fulfilling one's duty was not only important but it became the moral obligation of every individual (the highest form of moral activity). Before the Reformation, the Catholic Church did not believe that everyday world activities had a religious significance. As a result of Luther these world activities were quite important in adhering to God's wishes. Rather than devote one's life to worshipping God through prayer, and instead of sacrificing all worldly goods to follow Christ, the Protestants believed that the task of every person is to fulfill (to the best of his/her ability) their tasks on earth. This unique conception of the word "calling" was developed by Luther during his first active decade as a reformer. At first he believed, like many other theologians, that everyday world activities were activities of the flesh. Although these activities were willed by God, they were nonetheless morally neutral. However, gradually Luther began to protest against ...
Max Weber’s outlines his views on religion and capitalism in his book, The Protestant Ethic and the Spirit of Capitalism. Weber held the important theory that an individual’s views are significant in promoting social change, not material things as believed by former theorists. In his work, Weber compares two waves of “the calling” as preached by different Protestant leaders and describes the teaching and spread of ascetic beliefs in followers. This paper considers the context of the calling, explores the outward signs of grace which helped develop capitalism and, lastly, how capitalism, through rationalization, transformed Calvinist ideals for its advancement.
With the writings of Martin Luther in the sixteen century, a large portion of Europe and the eventually the rest of the west converted from Roman Catholicism to Protestantism. Max Weber conjectures that under Protestantism citizens were encouraged to show their faith in God through hard work. (Weber, 377) . Over the
Max Weber’s main contention in this work is that what he calls the “Protestant Ethic” played a vital role in fostering the development of industrial capitalism in Europe and the United States. The Protestant Ethic was the idea found in some sects of Protestantism that one had a duty to God to succeed in their life’s work, but were bound to a lifestyle of asceticism that prevented them from spending the wealth they earned on themselves. The wealth that was accumulated through this lifestyle was reinvested into the work process in order to create more wealth. This continual reinvestment of wealth provided the necessary capital and conditions that allowed for the development of modern capitalism.
Once capitalism came about, it was like a machine that you were being pulled into without an alternative option. Currently, whether we agree or disagree, for example if you want to survive you need to have a job and you need to make money. Weber believed that social actions were becoming based on efficiency instead of the old types of social actions, which were based on lineage or kinship. Behavior had become dominated by goal-oriented rationality and less by tradition and values. According to Web...
Lynn Harsh (Nov. 2002). ‘Capitalism – A Deal with the Devil?’. Retrieved on Mar. 23 from:
Weber also thought there was a link between capitalism and the Protestant work ethic. Specifically he looked at Calvinism. Calvinism was a simple way of life in which you were to do good for others. The way into heaven was to do the greatest good for the greatest number of