Economy and Society

“Sociology... is a science concerning itself with the interpretive understanding of social action and thereby with a causal explanation of its course and consequences. We shall speak of "action" insofar as the acting individual attaches a subjective meaning to his behavior - be it overt or covert, omission or acquiescence. Action is "social" insofar as its subjective meaning takes account of the behavior of others and is thereby oriented in its course.”

“Social action, like all action, may be oriented in four ways. It may be:”

“The term "social relationship” will be used to denote the behavior of a plurality of actors insofar as, in its meaningful content, the action of each takes account of that of the others and is oriented in these terms. The social relationship thus consists entirely and exclusively in the existence of a probability that there will be a meaningful course of social action – irrespective, for the time being, of the basis of this probability.”

“The continual utilization and procurement of goods, whether through production or exchange, by an economic unit for purposes of its own consumption or to procure other goods for consumption. will be called "budgetary management" (Haushalt).”

“Men differ in … social status. … Simple observation shows that in every such situation he who is more favored feels the never ceasing need to look upon his position as in some way “legitimate,” upon his advantage as “deserved,” and the other’s disadvantage as being brought about by the latter’s “fault.” That the purely accidental causes of the difference may be ever so obvious makes no difference.”

“Bureaucracy develops the more perfectly, the more it is "dehumanized," the more completely it succeeds in eliminating from official business love, hatred, and all purely personal, irrational, and emotional elements which escape calculation.”

“Characteristics of Modern Bureaucracy”

“The principles of office hierarchy and of levels of graded authority mean a firmly ordered system of super- and subordination in which there is a supervision of the lower offices by the higher ones.”

“The management of the modern office is based upon written documents ('the files'), which are preserved in their original or draught form. There is, therefore, a staff of subaltern officials and scribes of all sorts. The body of officials actively engaged in a 'public' office, along with the respective apparatus of material implements and the files, make up a 'bureau.' In private enterprise, 'the bureau' is often called 'the office.'”

“IV. Office management, at least all specialized office management-- and such management is distinctly modern--usually presupposes thorough and expert training. This increasingly holds for the modern executive and employee of private enterprises, in the same manner as it holds for the state official.”

“Bureaucratization offers above all the optimum possibility for carrying through the principle of specializing administrative functions according to purely objective considerations. Individual performances are allocated to functionaries who have specialized training and who, by constant practice increase their expertise. "Objective" discharge of business primarily means a discharge of business according to calculable rules and "without regard for persons."”