chapter  20
14 Pages

‘Max Weber and Economic Sociology: A Response to Peukert’, American Journal of Economics and Sociology, 65, pp. 1111—24

A bstra ct . Peukert (2004) argues that W eber’s w ork is only of limited relevance to present-day econom ic sociology because it incorporates “a rather narrow and static understanding of rationality and the econom y.” This article disputes that claim. It is argued that W eber differentiates betw een econom ic and sociological perspectives on the econom y through incorporating uncertainty into the latter. H ence W eber’s econom ic sociology develops the distinction betw een “before” and “after” perspectives on action, incorporates expectations, and defines capital w ith reference to time and uncertainty. Further­ m ore, W eber’s analysis of formal rationality p resupposes uncertainty. W eber’s econom ic sociology thus assum es a dynam ic econom y, w here uncertainty is prevalent, and formal rationality can reduce uncertainty. P eukert’s analysis thus (a) fails to consider W eber’s differentiation betw een econom ic and sociological investigations, and (b) does no t engage w ith W eber’s know ledge of Austrian econom ics.