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Ponyboy and Johnny just want to avoid all of the greaser-soc conflict, and being associated with Greasers which causes them considerable trouble, " 'Well, I won't. But I gotta do something. It seems like there's gotta be someplace without greasers or Socs, with just people. Plain ordinary people.' "(48).

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How does S. E. Hinton develop the theme through setting, characters, and plot over the course of the text?

S.E. Hinton makes the main characters long for independence from a setting and situation where everyone is either one or the other.
Throughout the text, Ponyboy is shown to long for escaping the Soc versus Greaser reality. He is even willing to leave behind what he is to avoid the conflict, " 'Well, I wont. But I gotta do something. It seems like there's gotta be someplace without greasers or Socs, with just people. Plain ordinary people'." (48). Ponyboy would rather be separate and alone, or with ordinary, plain people than intertwined in the prejudice against greasers, and violence against the Socs and greasers.
S.E. Hinton also makes it clear that Ponyboy does not quite fit in with the rest of the Greasers or Socs. Ponyboy, unlike the other Greasers or many Socs, enjoys quieter, more relaxing and thoughtful things like movies and looking at sunsets, "Johnny and I stretched out on our backs and looked at the stars." (47). Ponyboy was always smarter than the rest of his Greaser family as well, and focused on school, rather than messing around like his peers and siblings.
Over the course of the plot, it appears multiple times that Ponyboy has an inner conflict with his belonging. It even comes to the point that he runs away from his family for a while, "I turned and ran out the door and own the street as fast as I could." (50). After the conflict with Darry, and his inner doubt of being a Greaser his whole life, Ponyboy exploded and (irrationally) ran away out of anger and fear.
S. E. Hinton makes Ponyboy clearly desire to be independent from a violent and controversial situation involving his social class.

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Transcript:
Ponyboy never wanted to be a hood--a greaser. He always desired to be normal without the prejudice, [QUOTE]

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Greasers were too busy trying to have their persona of their wealth class to watch sunsets, " 'It was because we're greasers.', Johnny said," (47). Ponyboy is being himself by watching the sunset as he likes.

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"I don't want to be a hood, but even if I don't steal things and mug people and get boozed up, I'm marked lousy." (132), shows that he does not wish to be a part of the generalized identity of a Greaser. He would rather be seen as his smart, more presentable self.

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Ponyboy's favorite thing to do alone is to watch sunsets. Greasers don't watch sunsets, they focus on looking "tuff", and acting cool.

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Johnny and Ponyboy, instead of smoking and driving and drinking like greasers, are watching the sunset.

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The Theme of The Outsiders by S.E. Hinton is about personal versus group identity.