Max Weber sees present days and the future ones greatly influenced by pessimistic diagnosis. The concept of the "iron cage", which was developed by Weber, is the result of the rationalization of the business activity, which has led to a surprising economic growth. However, it has created the "iron cage" of capitalism. The negativity of this "iron cage" of capitalism is that it establishes a framework of human lives. Capitalism in its cultural and historical integrity is the main subject of Weber's research. This paper analyzes, whether social capitalism has an alternative or it is an inevitable level of social evolution, based on Weber's concept of the "iron cage."
The theory of "the iron cage is closely linked with the growing rationality in the world. The problem is that the eternal postulates become demystified and devalued as a result of the economic rationality of a lifeless world. As science frees the world from the “religious-metaphysical content", it increases people`s need for existential meaning. However, this can not be satisfied with science.
No one can deny that today`s society lives in the era of capitalism, which is closely associated with the bureaucracy. Moreover, Weber argues that a person living in a bureaucratic state feels just like in the "iron cage." This condition is considered to be a social phenomenon, mainly due to the fact that the work does not require a personal contribution. People tend to feel like a part of a large machine with atrophies personal qualities. These bureaucratic frameworks are actually the “walls” of the Weber`s "iron cage."
The cause of social capitalism, which has already occupied the modern world, happened a long time ago, in a certain period and in a certain locale, where several phenomena, which bare a rational principle, met together. Anyway, modern capitalism, associated with experimental science, is also deeply associated with the technique. Rational Roman law, rational way of farming and rational science were the rational preconditions for the emergence of social capitalism. As a result, this new type of society, Industrial, which is unparalleled in history, first emerged in Europe.
Weber talks about the development of capitalism in the post-feudal Europe, highlighting its characteristic features. The spirit of rational calculation promotes capitalist economic system emergence, under which workers receive their wages, freely and legally sell their labor. In capitalist society, economic exchange market restrictions have been lifted; technologies develop constantly and are well organized on the basis of rational principles. There is a clear distinction between the concepts of home and workplace. Moreover, capitalism strengthens the legal form of a business partnership, expands the system of public credit and trade, as well as creates a productive, not just commercial enterprises. Capitalism is usually characterized by rational organization structure of social life, and in the modern world the further development of the bureaucracy is imminent. According to Weber`s theory, the description of capitalism is undoubtedly the most advanced among all ever existing economic systems. However, its technical rationality threatens to infringe and destruct some of the most obvious values of Western civilization. Thus, the humankind voluntarily puts itself into the "iron cage" of capitalism.
The rationalization of the life in modern societies is manifested in the formation of complex major structures - the bureaucratic organizations, commercial organizations, technical systems, all of which are alienated from the person. These organizations are acting on the basis of a schemes, like a kind of formalized rules for "machines." Therefore, people are forced to subordinate their lives to the logic of these structures` functioning. Moreover, most people often even do not understand the principles of that structures` work, thought they (people) work in that systems. As a result of such rationalism, capitalism puts each individual under irresistible compulsion to form their lifestyle. Thus, all people become almost prisoners in the" iron cage "of capitalism. Moreover, this applies not only to those people who are directly related to the capitalism system because of their activities. The “iron cage” makes all people plunged into that mechanism from the moment of birth. Bureaucracy is characterized by a strict hierarchy among the organization posts, by a clear division of responsibilities, impersonal communication with customers or visitors and with a strict following the rules and instructions for use.
It seems that social capitalism is completely inevitable. It is a consequence of the rationalization of life in the modern society. Formation of modern rational capitalist economy implies taking into account profits and costs, and also the desire to increase the efficiency of every process. It would seem that improving the efficiency of the company (for instance) is a good goal. However, as a result of modern capitalist behavior, the sanctity of tradition is devalued for the benefit of a colorless and impersonal rationality.
Many researchers have been interested in the Weber`s ideology and his concept of the "iron cage." As a result, today there are many explanations for the interpretation of this concept. For example, Kalberg et al. argue that in spite of some impropriety, such as the dualism of modern society (self-reliant individuals against public sphere penetrated by civic ideals), Weber`s theory of the “iron cage” in general shows the real historical and sociological events of the present-day political culture (Kalberg et al. 178). Thus, the authors (Kalberg et al.) generally agree that the concept of the "iron cage" reflects the real being of modern American society.
Another study provides the following understanding of the "iron cage" of capitalism. James R. Barker finds a positive outlook the "iron cage." He argues that although the "iron cage" appeared in response to changes in the hierarchical and bureaucratic control, it eventually evolved into a form of self-managing teams (Barker 408-410). This trend has many obvious advantages because people are transformed from the unconscious elements of a great capitalist machine into the conscious participants of social capitalism, which also continues to evolve today.
Works Cited
Barker, J. R. (1993). Tightening the iron cage: Concertive control in self-managing teams. Administrative science quarterly, 408-437.
Kalberg, Stephen, Kari Palonen, and David Chalcraft. "The Modern World as a Monolithic Iron Cage? Utilizing Max Weber to Define the Internal Dynamics of the American Political Culture Today." Max Weber Studies 1.2 (2001).