The enormous and continuous growth in demand for engineers has created a new mass occupation. On the one hand, this has, along with other new professions such as accounting, given a place to those thrust out of the old middle class by the relative decline of the petty entrepreneurial occupations in trade and other erstwhile arenas of small business. But on the other hand, having become a mass occupation engineering has begun to exhibit, even if faintly, some of the characteristics of other mass employments: rationalization and division of labor, simplification of duties, application of mechanization, a downward drift in relative pay, some unemployment, and some unionization.

Monopoly capital had its beginnings, it is generally agreed, in the last two or three decades of the nineteenth century. It was then that the concentration and centralization of capital, in the form of the early trusts, cartels, and other forms of combination, began to assert itself; it was consequently then that the modern structure of capitalist industry and finance began to take shape. At the same time, the rapid completion of the colonization of the world and the international rivalries and armed clashes over the division of the globe into spheres of economic influence or dominance opened the modern imperialist era. Monopoly capitalism thus embraces the increase of monopolistic organizations within each capitalist country, the internationalization of capital, the international division of labor, imperialism, the world market and the world movement of capital, and changes in the structure of state power.

The scale of capitalist enterprise, prior to the development of the modern corporation, was limited by both the availability of capital and the management capacities of the capitalist or group of partners. These are the limits set by personal fortunes and personal capabilities. It is only in the monopoly period that these limits are overcome, or at least immensely broadened and detached from the personal wealth and capacities of individuals. The corporation as a form severs the direct link between capital and its individual owner, and monopoly capitalism builds upon this form. Huge aggregates of capital may be assembled that far transcend the sum of the wealth of those immediately associated with the enterprise. And operating control is vested increasingly in a specialized management staff for each enterprise. Since both capital and professional management—at its top levels—are drawn, by and large, from the same class, it may be said that the two sides of the capitalist, owner and manager, formerly united in one person, now become aspects of the class. It is true that ownership of capital and the management of enterprises are never totally divorced from each other in the individuals of the class, since both remain concentrated in a social grouping of extremely limited size: therefore, as a rule, top managers are not capital-less individuals, nor are owners of capital necessarily inactive in management. But in each enterprise the direct and personal unity between the two is ruptured. Capital has now transcended its limited and limiting personal form and has entered into an institutional form. This remains true even though claims to ownership remain, in the last resort, largely personal or familial in accordance with the rationale and juridical structure of capitalism.

To belong to the capitalist class by virtue of ownership of capital, one must simply possess adequate wealth; that is the only requirement for membership in that sense. To belong to the capitalist class in its aspect as the direct organizer and manager of a capitalist enterprise is another matter. Here, a process of selection goes on having to do with such qualities as aggressiveness and ruthlessness, organizational proficiency and drive, technical insight, and especially marketing talent. Thus while the managerial stratum continues to be drawn from among those endowed with capital, family, connections, and other ties within the network of the class as a whole, it is not closed to some who may rise from other social classes, not through the acquisition of wealth on their part but through the co-optation of their talent on the part of the capitalist organization which they serve. In this case the ownership of capital later follows from the managerial position, rather than the other way around. But this is exceptional, not just because top management is drawn as a rule from within the class, but also because the stratum as a whole is not a large one.

The overall purpose of all administrative controls is, as in the case of production controls, the elimination of uncertainty and the exercise of constraint to achieve the desired result.* Since markets must remain the prime area of uncertainty, the effort of the corporation is therefore to reduce the autonomous character of the demand for its products and to increase its induced character. For this purpose, the marketing organization becomes second in size only to the production organization in manufacturing corporations, and other types of corporations come into existence whose entire purpose and activity is marketing.

These marketing organizations take as their responsibility what Veblen called “a quantity-production of customers.” His description of this task, while couched in his customarily sardonic language, is nevertheless a precise expression of the modern theory of marketing: “There is, of course, no actual fabrication of persons endowed with purchasing power ad hoc…; nor is there even any importation of an unused supply of such customers from abroad,—the law does not allow it.” Rather, as he points out, there is “a diversion of customers from one to another of the competing sellers.” But, from the point of view of each seller, this appears as “a production of new customers or the upkeep of customers already in use by the given concern. So that this acquisition and repair of customers may fairly be reckoned at a stated production-cost per unit; and this operation lends itself to quantity production.” Veblen goes on to point out that “the fabrication of customers can now be carried on as a routine operation, quite in the spirit of the mechanical industries and with much the same degree of assurance as regards the quality, rate and volume of output; the mechanical equipment as well as its complement of man-power employed in such production of customers being held to its work under the surveillance of technically trained persons who might fairly be called publicity engineers.”8

Most purchased foods came into the urban home in their natural, unprocessed, uncanned, unpackaged state. Perhaps the majority of wives undertook a strenuous annual bout of preserving, pickling, canning, and jelly-making, and most baking was done in the family kitchen. Among 7,000 working-class families investigated by the U. S. Bureau of Labor between 1889 and 1892, less than half purchased any bread, and almost all bought huge amounts of flour, an average of more than 1,000 pounds per family per year. Even among the families of skilled craftsmen, who earned more than most other workingmen, one fourth bought no bread, and flour consumption averaged over two pounds per family per day.

No respectable home in 1890 was without a well-used sewing machine—one of the first items widely sold on the installment plan. Most men’s clothing was bought, but most of the clothing of women and children was still made at home. In addition, there were curtains and sheets to be hemmed, caps and sweaters and stockings to be knitted and darned. Every prospective mother was expected to knit and sew a complete wardrobe for her first child, and to replenish it thereafter as needed.

The manner in which this transition was accomplished includes a host of interrelated factors, not one of which can be separated from the others. In the first place, the tighter packing of urbanization destroys the conditions under which it is possible to carry on the old life. The urban rings close around the worker, and around the farmer driven from the land, and confine them within circumstances that preclude the former self-provisioning practices of the home. At the same time, the income offered by the job makes available the wherewithal to purchase the means of subsistence from industry, and thus, except in times of unemployment, the constraint of necessity which compelled home crafts is much weakened. Often, home labor is rendered uneconomic as compared with wage labor by the cheapening of manufactured goods, and this, together with all the other pressures bearing on the working-class family, helps to drive the woman out of the home and into industry. But many other factors contribute: the pressure of social custom as exercised, especially upon each younger generation in turn, by style, fashion, advertising, and the educational process (all of which turn “homemade” into a derogation and “factory made” or “store bought” into a boast); the deterioration of skills (along with the availability of materials); and the powerful urge in each family member toward an independent income, which is one of the strongest feelings instilled by the transformation of society into a giant market for labor and goods, since the source of status is no longer the ability to make many things but simply the ability to purchase them.

This process is but one side of a more complex equation: As the social and family life of the community are weakened, new branches of production are brought into being to fill the resulting gap; and as new services and commodities provide substitutes for human relations in the form of market relations, social and family life are further weakened. Thus it is a process that involves economic and social changes on the one side, and profound changes in psychological and affective patterns on the other.

In a society where labor power is purchased and sold, working time becomes sharply and antagonistically divided from nonworking time, and the worker places an extraordinary value upon this “free” time, while on-the-job time is regarded as lost or wasted. Work ceases to be a natural function and becomes an extorted activity, and the antagonism to it expresses itself in a drive for the shortening of hours on the one side, and the popularity of labor-saving devices for the home, which the market hastens to supply, on the other. But the atrophy of community and the sharp division from the natural environment leaves a void when it comes to the “free” hours. Thus the filling of the time away from the job also becomes dependent upon the market, which develops to an enormous degree those passive amusements, entertainments, and spectacles that suit the restricted circumstances of the city and are offered as substitutes for life itself. Since they become the means of filling all the hours of “free” time, they flow profusely from corporate institutions which have transformed every means of entertainment and “sport” into a production process for the enlargement of capital. By their very profusion, they cannot help but tend to a standard of mediocrity and vulgarity which debases popular taste, a result which is further guaranteed by the fact that the mass market has a powerful lowest-common-denominator effect because of the search for maximum profit. So enterprising is capital that even where the effort is made by one or another section of the population to find a way to nature, sport, or art through personal activity and amateur or “underground” innovation, these activities are rapidly incorporated into the market so far as is possible.

The ebbing of family facilities, and of family, community, and neighborly feelings upon which the performance of many social functions formerly depended, leaves a void. As the family members, more of them now at work away from the home, become less and less able to care for each other in time of need, and as the ties of neighborhood, community, and friendship are reinterpreted on a narrower scale to exclude onerous responsibilities, the care of humans for each other becomes increasingly institutionalized. At the same time, the human detritus of the urban civilization increases, not just because the aged population, its life prolonged by the progress of medicine, grows ever larger; those who need care include children—not only those who cannot “function” smoothly but even the “normal” ones whose only defect is their tender age. Whole new strata of the helpless and dependent are created, or familiar old ones enlarged enormously: the proportion of “mentally ill” or “deficient,” the “criminals,” the pauperized layers at the bottom of society, all representing varieties of crumbling under the pressures of capitalist urbanism and the conditions of capitalist employment or unemployment. In addition, the pressures of urban life grow more intense and it becomes harder to care for any who need care in the conditions of the jungle of the cities. Since no care is forthcoming from an atomized community, and since the family cannot bear all such encumbrances if it is to strip for action in order to survive and “succeed” in the market society, the care of all these layers becomes institutionalized, often in the most barbarous and oppressive forms. Thus understood, the massive growth of institutions stretching all the way from schools and hospitals on the one side to prisons and madhouses on the other represents not just the progress of medicine, education, or crime prevention, but the clearing of the marketplace of all but the “economically active” and “functioning” members of society, generally at public expense and at a handsome profit to the manufacturing and service corporations who sometimes own and invariably supply these institutions.