Classic sociological theory and the subprime mortgage industry: Marx, Weber and Durkheim in a contemporary context

This thesis has three goals. The first is to demonstrate the relevance of the classic sociological theories of Weber, Durkheim and Marx to contemporary socio-economic situations. The second is to examine the critical outlooks expressed by these three authors toward capitalism. The third is to examine the sociological content of the subprime lender-borrower relationship through the lenses of classic sociological theory. I examine Weber's conception of the vocational attitude toward work as well as his multiple forms of rationalities in the context of lenders' explanations for their actions. I explore Durkheim's concepts of anomie at both the societal and individual level as well as his arguments regarding professional ethics in the economic sphere of society, applying the concepts specifically to subprime practices. From Marx's work, I focus on his conception of exploitative relationships and the reification of interest-bearing capital in the context of the lender-borrower relationship and risk mechanisms.