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Ch. 9 S. 2: The American Class System Obj: Identify the characteristics of the American class system; explain how different motivations and cultural values influence the American class system. By definition, social inequality exists in all class systems. What form inequality takes varies from society to society-the fewer the number of ascribed characteristics used to determine access to rewards, the more open the class system. The US has a fairly open system. The law forbids discrimination based on ascribed characteristics such as race, religion, ancestry, or sex. In theory, all Americans have equal access to the resources needed for social advancement. However, the US has a wide range of social classes, and the rate of social mobility is not equal for every segment of American society. To understand why such conditions exist, one needs to look at the characteristics of social class and the patterns of social mobility in the US. Determining Social Class Sociologists do not agree on the number of class divisions that exist in the US. Some researchers identify three social classes: upper class, middle class, and lower class. Other researchers divide each of these three broad classes into upper and lower divisions. Still others use a five-category classification system of upper class, upper middle class, lower middle class, working class, and lower class. Today most sociologists use a sixclass system: adding working poor and underclass. Sociologists rely on three basic techniques to rank individuals according to social class-the reputational, subjective, and objective methods. In the reputational method, individuals in the community are asked to rank other community members based on what they know of their characters and lifestyles. This method is suitable only when studying small communities in which almost everyone knows almost everyone else. The findings from these studies cannot be used to make conclusions about other communities. In the second technique, the subjective method, individuals are asked to determine their own social rank. When the choices are limited to upper, middle, and lower class, most people say they are middle class. Researchers have found that people do not like to place themselves in the upper or lower classes. This problem can be partially eliminated by including the upper middle class and working class in the list of choices. The third classification technique is the objective method. In this approach, sociologists define social class by income, occupation, and education. The statistical basis of this method makes it the least biased determination of class. However, it is not without its shortcomings. This technique’s major problem involves the selection and measurement of social factors. Each combination of factors produces a slightly different picture of social-class membership. Social Classes in the US Regardless of the method used to identify class membership, sociologists generally agree on the basic characteristics of the American social-class system. Many of them also agree on the relative distribution of the population within the system. Estimates suggest that about 1% of the population of the US belongs to the upper class. Another 14% of Americans are part of the upper middle class, while the lower middle class makes up about 30% of the population. Another 30% comprise the working-class category. Of the remaining 25% of Americans, 22% are members of the working poor, and 3% are members of the underclass. However, recent figures suggest that the underclass may be shrinking. One major difference between the classes is income. Classes also differ in terms of lifestyle and beliefs. A brief look at the general characteristics of each class will help you understand how social class affects life patterns. • The Upper Class – Although the upper class makes up just 1% of the population, it controls a sizable proportion of the country’s wealth. Generally the upper class can be divided into two groups- “old money” and “new money”. America’s old money includes such families as the Rockefellers, Vanderbilts, Du Ponts, and Kennedys. The term old money refers to the fact that these families have been wealthy for generations. The great bulk of their wealth comes from inheritance. Yet in terms of social rank, the family name and the accomplishments of previous generations are as important as the size of the family fortune. Members of this class are born into an atmosphere of wealth and power. They are able to attend prestigious schools, eat at the best restaurants, and vacation at the most exclusive resorts. Most have some of the world’s richest and most famous people among their friends. The term new money refers to the newly rich. They generally have acquired wealth through their own efforts rather than through inheritance. New money is not as prestigious as old money because it is not backed by a long family heritage. However, it does purchase most of the privileges of upper-class membership. These privileges include luxurious homes, expensive cars, and fine art collections. Some of those with old money look down on the newly rich for their conspicuous consumption. This term was coined by economist Thorstein Veblen in 1899 to describe the purchase of goods for the status they bring rather than for their usefulness. Not surprisingly, membership in the upper class sometimes carries with it great power and influence. Members often fill top positions in government and private enterprise. Upperclass members also use their wealth to support charities. Some - particularly oldmoney families – consider helping those less fortunate than themselves an obligation of their social rank. Many members of this class hold traditional views and are politically conservative. • The Upper Middle Class – Members of the upper-middle class are primarily high-income businesspeople and professionals. Most have a college education, and many have advanced degrees. Their money buys them large houses and expensive cars, yearly vacations, a college education for their children, and many added luxuries. Class membership is generally based on income rather than on assets. Consequently, many in the upper middle class are career oriented. Many people in this class are politically and socially active. However, their power and influence are limited to the community level and do not extend to the national level. • The Lower Middle Class – Most individuals in the lower middle class also hold white-collar jobs – work that does not involve manual labor. Many of their jobs require less education and provide a lower income than the jobs held by the upper middle class. Lower middle class jobs include nursing, middle management, and sales. Owners of small businesses also belong to the lower middle class. Members of this class live a comfortable life but must work hard to keep what they have achieved. Many of them also hold traditional values and are politically conservative. • The Working Class – Many members of the working class hold jobs that require manual labor. Factory workers, tradespeople, less skilled workers, and some service workers fall into this category. Such jobs have traditionally been labeled blue-collar jobs. Some of these jobs pay as much or more than many of the positions held by members of the lower middle class. However, these jobs do not carry as much prestige. Other working-class people hold clerical, lower-level sales, and various service jobs that do not require manual labor. These types of jobs are sometimes called pinkcollar jobs because women have traditionally held them. Many members of the working class have few financial reserves. Consequently, unexpected crises – such as medical emergencies or the loss of a job – can push working-class individuals into lower class levels. • The Working Poor – Members of the working poor work at the lowest-paying jobs. Theses jobs are often temporary or seasonal- such as housecleaning, migrant farmwork, and day laboring. Even though the working poor work hard, they rarely make a living wage. Many depend on gov-support programs to make ends meet. Most are high-school dropouts and, because of their lack of education and skills, their future prospects are often bleak. Most are not involved politically. They believe their situation will remain the same regardless of which party is in power. • The Underclass – Families that have experienced unemployment and poverty over several generations are considered part of the underclass. Some members of the underclass do work, but usually only at undesirable, lowpaying jobs. Their chief source of income is often public assistance. Life for people in the underclass is a day-to-day struggle for survival. Typically, only 50% of children in the underclass make it into a higher class. Social Mobility The US has an open class system, Social mobility – the movement between or within social classes or strata – is an important feature of the open class system. Sociologists generally study three types of social mobility, horizontal mobility, vertical mobility, and intergenerational mobility. The term horizontal mobility refers to movement within a social class or stratum. When an individual moves from one job to another of equal social ranking, that individual experiences horizontal mobility. An accountant may consider a move from one firm to another an important step up his or her career ladder. However, if the move does not involve any major change in the accountant’s wealth, power, or prestige, sociologists view it as horizontal mobility. Vertical mobility, on the other hand, is the movement between social classes or strata. This type of mobility can be either upward or downward, depending on whether an individual moves to a higher or lower position in the stratification system. The monetary and social rewards of promotion from a secretarial to a management position may move an individual from the working class to the lower middle class. Sociologists consider intergenerational mobility – status differences between generations in the same family – a special form of vertical mobility. When sociologists examine patterns of vertical mobility, they generally focus on changes during adulthood. With intergenerational mobility, the focus is on differences between people’s class of origin – their parent’s social class – and their current social position. For example, the son or daughter of an automobile mechanic who becomes a doctor experiences intergenerational mobility. Most Americans believe that all people in the US are free to reach their own particular level of achievement. They believe that people who possess enough ability and motivation will rise to the top. Others, they believe, will rise or fall to various levels according to their efforts and abilities. Although this theory appears to be true, the reality is somewhat different. Research indicates that even though the majority of Americans achieve a higher occupational status than their parents, most remain within the same social class. When individuals do experience vertical mobility, they rarely move more than one social class above or below their class of origin. • Structural Causes of Upward Mobility – Individual effort often plays a major role in a person’s movement up the social-class ladder. However, sociologists are more interested in the structural factors that influence social mobility. The structural factors that affect upward mobility include advances in technology, changes in merchandising patterns, and increases in the population’s general level of education. When technologies change, the jobs available to workers also change, which can result in downward mobility for individuals caught in the shift. However, it often means upward mobility for the next generation of workers. For example, advances in farming technology have made it possible to grow more food with fewer people. Consequently, the percentage of the workforce engaged in agriculture has declined from 40% in 1900 to less than 3% today. Similarly, mechanization has drastically reduced the need for less skilled labor. The result has been intergenerational upward mobility as the sons and daughters of farmers and laborers have sought employment in higher-status occupations. The same process is now at work in the manufacturing sector of the economy. The disappearance of millions of factory jobs over the past three decades has forced some new workers into higher-status jobs, primarily in the service industry. Changes in merchandising patterns in the US have also affected social mobility. Recent changes include an explosion in the credit industry, a greater emphasis on insurance, increased real-estate transactions, and an extraordinary growth in personal services. These changes have created a larger whitecollar work-force. In 1940 approximately 31% of all workers held white-collar jobs. Today nearly 73% of the labor force is engaged in traditional white-collar and service-industry jobs. Another structural factor that has promoted upward mobility is an increase in the general level of education. In 1940 more than 75% of the population aged 25 and older had not completed high school. Today that figure is approximately 9%. It has also become more common for Americans to have a college education. In 1940 less than 5% of the population aged 25 and older had graduated from college. Today 26% of people aged 25 or older have completed a bachelor’s degree or higher. Research has shown that upward mobility increases with level of education. • Structural Causes of Downward Mobility – Although upward mobility is more common, movement down the social-class ladder also occurs. Downward mobility can result from such personal factors as illness, divorce, widowhood, and retirement. Once again, sociologists are more interested in the structural causes of this movement. Changes in the economy are the primary structural causes of downward mobility. Breakthroughs in technology can alter the demand for labor. Workers may suddenly find themselves without jobs and with skills that are no longer marketable. If these workers are unable to find new jobs that produce incomes comparable to what they were earning, they may experience downward mobility. For younger workers, the drop in social status is often temporary. However, for older workers the shift may be permanent. Economic changes also can affect intergenerational mobility. In times of economic growth and low unemployment, individuals just entering the job market have less difficulty finding desirable employment. However, in times of economic recession good jobs are not as plentiful. As a result, even highly qualified recent college graduates sometimes cannot find jobs in their chosen fields.