Far more than a mere economic upset, the 2008 financial meltdown in the United States and the ensuing long-term recession have affected all aspects of society, perhaps in permanent ways. The high unemployment rates, soaring indebtedness on the part of the average American consumer, and the inevitable impact that these aspects of personal finance have on every facet of an individual’s or family’s well-being, have changed the structure of American society for the worse. Albert Hughes’ 2014 short film documentary, We the Economy: City on the Rise—What Happens When Jobs Disappear, presents a poignant case study of the impact of economic changes in Detroit, Michigan. Detroit is a particularly compelling case study for sociologists in this regard, for as the narrator states, the area was “the fourth largest city in the United States in 1950, but is now a poster child for urban decay” (2014).
Indeed, the plight of Detroit can well be said to be a microcosmic portrait of all the ills that are presently afflicting the United States economy, as well as the larger society. Once home to major automobile manufacturers who could provide the average American with a middle-class income without having to invest years and thousands of dollars in a college education, this entire structure collapsed when the major employers in the city opted to move to Southern states or to outsource labor to overseas nations such as China or India (Hughes, 2014). When this occurred, many Detroit residents suddenly found themselves without a reliable income, and with inadequate educational background to simply transition to another industry. Thus began a precipitous decline into urban blight, higher crime rates, and increased rates of drug and alcohol abuse and mental illness. The example of Detroit, as presented in Hughes’ documentary, is an excellent functionalist case study, as it demonstrates how the collapse of one sector in society affects all the other sectors, such as family, education, and religion.
One of the Detroit residents interviewed for the We the Economy documentary stated that when she graduated high school in the 1970’s and went to work for one of the local automobile manufacturers, “life was good for everyone” (2014). The interviewee then went on to detail how “everyone” worked for one of the “big three” automakers, and this resulted in a social milieu in which church, work and community were all intertwined (2014). As this particular interviewee, as well as others, described the social environment of 1970’s-1990’s-era Detroit, the city was a middle-class American dream come true, and it was also an exemplar of how important the institutions of family, education and religion are to maintaining the social fabric of any community.
Obviously, the availability of stable employment and a paycheck that is sufficient to support a comfortable lifestyle are of utmost importance in supporting domestic tranquility (Lounsbury & Hirsch, 2010). When the basic survival needs of all family members, such as adequate shelter, food, and warmth, are met, each individual can turn their attention to the health of the larger unit, namely the family. Further, when children are not preoccupied with hunger, or with the worry of their parents that they may not be able to provide shelter due to foreclosure, their minds are free to focus on their schoolwork (Graham, 2010). Additionally, children tend to be better behaved in school when their material needs are adequately met. The familial happiness that a steady job ensures also extends into other aspects of life, such as participation in a local church community (Lounsbury & Hirsch, 2010). Not only do churches provide a place of worship, but they also facilitate crucial social bonds and a sense of community that can be of immense help to a family when they find themselves facing tough times. Thus, the example of Detroit as depicted in Hughes’ film is an extraordinary illustration of the claims of the functionalist school, in sociology.
The participants in Hughes’ documentary seemingly acknowledge the intertwined nature of all aspects of society in the healthy functioning of a community, as illustrated toward the end of them film. One of the interviewees stated that she expects any new corporations who decide to set up shop in Detroit to give back to the city by investing in educational ventures and community recreational activities (Hughes, 2014). As Graham argues, it is vital that national or multinational corporations behave as if they are an integral part of the community in which they operate, and not as an extractive predatory force, or the entire social structure may collapse (2010). Major employers, of any ilk, need to recognize that they have a moral and ethical obligation to their surrounding communities, as their role in the local economy can impact multiple social institutions, including the family, educational institutions, and the church.
Traditional social institutions such as family, education, and religion all play a vital role in the proper functioning of the greater social “machinery” of a given community. However, as the example of Detroit demonstrates, economics undergird the entire social structure. As soon as the “Big Three” automotive manufacturers left Detroit in search of greener pastures, the social fabric of Detroit almost immediately began to unravel at an appallingly rapid pace. Too often, major employers delude themselves into thinking that they are “apart from” or “above” the society in which they operate, and that social institutions such as the school system and local churches will take up the slack of social responsibility, but as the functionalist school of sociology and Hughes’ documentary show, this is absolutely not the case. Corporations need to recognize their responsibilities as another social institution.