Chapter 8

1. Chapter 8 Social Class in the United States

2. Chapter Outline • The American Class Structure • Poverty • Government-Assistance Programs • The Changing Face of Poverty • Consequences of Social Stratification • Why Does Social Inequality Exist?

3. Class Structure • A social class consists of a category of people who share similar opportunities, similar economic and vocational positions, similar lifestyles, and similar attitudes and behaviors. • A society that has several different social classes and permits social mobility is based on a class system of stratification. • Class boundaries are maintained by limiting social interaction, intermarriage, and mobility into that class.

4. Social Classes in the United States • Upper class • Upper-middle class • Lower-middle class • Working class • Lower class

5. Question • If you were asked to use one of the following four names for your parents' social class, which would you say they belong in? • Upper class • Middle class • Working class • Lower class

6. Social Classes in the United States

7. Social Classes in the United States

8. Question • Bernie is a factory worker and his wife, Harriet, is a waitress. They dropped out of school in the eleventh grade to get married. They can pay their bills each month but don't have anything left for luxuries. Bernie and Harriet are members of the: • lower class. • working class. • lower-middle class. • upper-middle class.

9. Answer: B • Bernie and Harriet are members of the working class.

10. Family Income by Quintile, 2004

11. Income Distribution • In 2000, the richest 1/5 of families earned 49.7% of the total income for the year while the poorest 1/5 earned only 3.6% • The richest 20% of American families owns more than 3/4 of all the country’s wealth. • The richest 5% of all families owns more than 1/2 of America’s wealth. • The number of people in poverty grew from 24.5 million in 1978 to 31.1 million in 2000.

12. Question • Many poor people simply don't want to work hard. • Strongly agree • Agree somewhat • Unsure • Disagree somewhat • Strongly disagree

13. Poverty • Prefers to a condition in which people do not have enough money to maintain a standard of living that includes the basic necessities of life. • Between 14 and 45 million Americans live in poverty, but we do not have an unequivocal way to determining how many poor people there are in the U.S. • In 2004, 12.7% of all Americans lived below the poverty level.

14. Poverty Rates by Race and Hispanic Origin, 1959 to 2004

15. The Feminization of Poverty • A phrase referring to the disproportionate concentration of poverty among female-headed families. • In 2001, a family with both a husband and wife present had a median income of $60,471. • For a male householder without a wife the figure was $40,715. • For a female householder without a husband it was $28,142.

16. Single Women With Children • 12.7% of all people were below the poverty line in 2004 and 28.4% of all single women with children were living in poverty. • If trends continue, 60% of all children born today will spend part of their childhood in a family headed by a mother who is divorced, separated, unwed, or widowed. • Almost half of female-headed families with children younger than 18 live below the poverty line.

17. Income Levels: Individuals and Families Considered to Be Living in Poverty 2004

18. How Do We Count the Poor? • The federal government has devised a poverty index of specific income levels, below which people are considered to be living in poverty. • According to the index, the poverty level for a family of four in 2004 was $19,484. • The poverty index is based solely on money income and does not reflect the fact that many low income people receive noncash benefits such as foodstamps, Medicaid, and public housing.

19. Calculating Poverty • The definition of poverty used for the index was developed by the Social Security Administration. in 1964. • It was calculated by estimating the average dollar cost of a frugal but adequate diet. • The poverty index was not intended to certify that any individual or family was in need.

20. Criticisms of the Poverty Index: Overestimates the Poor • When the federal government developed the poverty index, about 1/4 of welfare benefits were in the form of goods and services. Today, noncash benefits account for 1/3 of welfare assistance. • The poverty measure looks only at income, not assets. • Food accounts for a smaller proportion of family expenses today than it did previously.

21. Criticisms of the Poverty Index: Underestimates the Poor • Money used to pay taxes, alimony, child support, health care, or work-related expenses should be excluded when considering assets because these sums cannot be used to buy food or other necessities. • There is no geographic cost-of-living adjustment. • Poverty status should be determined by comparing a person’s financial situation with that of the rest of society.

22. Number in Poverty and Poverty Rates, 1959–2004

23. Myths About the Poor Myth 1: People Are Poor Because They Are Too Lazy to Work • Half of the poor are not of working age. • About 40% are under 18; another 10% are over 65. • A person working 40 hours a week at minimum wage, will not earn enough to lift a family of three out of poverty.

24. Myths About the Poor Myth 2: Most Poor People Are Minorities, and Most Minorities Are Poor • Most poor people are white, because there are many more whites than minorities in the U.S. • The poverty rate remains considerably higher for African Americans and Hispanics than whites.

25. Myths About the Poor Myth 3: Most of the Poor Are Single Mothers With Children • 60% of mothers receiving assistance have never married, however, most people in poverty live in other family arrangements: • 1/3 live in married couple families. • Nearly 1/5 live alone or with nonrelatives. • The remainder live in a male-headed or other family setting.

26. Myths About the Poor Myth 4: Most People in Poverty Live in the Inner Cities • In 2002, the poverty rate in rural areas was 14.2% compared with 11.6% in urban areas. • Rural residents have higher unemployment rates and earn lower wages than urban residents. • Rural residents tend to have below-average educational levels and limited job skills.

27. Myths About the Poor Myth 5: Welfare Programs for the Poor Are Straining the Federal Budget • Since welfare reform in 1996, the number of families receiving aid has decreased by 50%. • Assistance programs for the poor cost the federal government 1/3 as much as other types of assistance. • Social Security and Medicare mainly go to middle-class Americans, not the poor.

28. Question • The poor are poor because the American way of life doesn't give all people an equal chance. • Strongly agree • Agree somewhat • Unsure • Disagree somewhat • Strongly disagree

29. Government Assistance Programs • Government programs that provide benefits to families or individuals can be divided into two categories: • social insurance and cash benefits going to people of all income levels • means-tested programs and cash assistance going only to the poor.

30. Poverty Rates for People over 65 and under 18, 1960–2004

31. Consequences of Social Stratification • Low-income mothers are more likely to have low birth-weight babies. • The poor have a lower life expectancy, regardless of race or ethnicity. • Babies born in poverty are significantly more likely to die before their first birthday.

32. Consequences of Social Stratification • For the same criminal behavior, the poor are: • More likely to be arrested. • If arrested, more likely to be charged. • If charged, more likely to be convicted. • If convicted, more likely to be sentenced to prison. • If sentenced, more likely to be given longer prison terms than the middle and upper classes.

33. Child Poverty Rates in Rich Countries

34. Functionalist Theory of Stratification • Views social stratification as a social necessity. • Different positions in society make different levels of contributions to society. • Filling the more important positions in society requires talent that is scarce and has more training.

35. Conflict Theory of Stratification: Marx • Stratification is the outcome of a struggle for dominance between: • the bourgeoisie, the owners of the means of production • the proletariat, or working class. • Marx believed the moving force of history was class struggle, or class conflict.

36. Marx: Distribution of Wealth • Marx believed that people’s lives are centered on how they deal with the material world. • Wealth can be distributed in at least four ways: • To each according to need. • To each according to want. • To each according to what is earned. • To each according to what can be obtained—by whatever means.

37. Max Weber • Believed there were three sources of stratification: • Economic class • Social status • Political power. • Economic classes arise out of the unequal distribution of economic power.

38. Marx and Weber • Weber agreed with Marx on the following issues related to stratification: • Group conflict is a basic ingredient of society. • People are motivated by self-interest. • Those who do not have property can defend their interests less well than those who have property.

39. Marx and Weber • Economic institutions are of fundamental importance in shaping the rest of society. • Those in power promote ideas and values that help them maintain their dominance. • Only when exploitation becomes extremely obvious will the powerless object.

40. Question • Which of the following is not a view of social stratification that was shared by Marx and Weber? • People are motivated by self-interest. • Economic institutions are of fundamental importance in shaping society. • Those in power promote ideas and values that help them maintain dominance. • The belief that conflict and inequality will ultimately be eliminated.

41. Answer: D • The belief that conflict and inequality will ultimately be eliminated is not a view of social stratification that was shared by Marx and Weber.

42. Modern Conflict Theory: 5 Aspects • Social inequality emerges through the domination of groups by other groups. • Those who are dominated have the potential to express resistance toward those in power. • Conflict will most often center on the distribution of property and political power.

43. Modern Conflict Theory: 5 Aspects • What are thought to be the common values of society are really the values of the dominant groups. • Because those in power are engaged in exploitative relationships, they must find mechanisms of social control to keep the masses in line.

44. Comparison of Functionalist and Conflict Views of Social Stratification:

45. Comparison of Functionalist and Conflict Views of Social Stratification:

46. Comparison of Functionalist and Conflict Views of Social Stratification:

47. Quick Quiz

48. 1. Which of the following is a characteristic of a class system of stratification? • Class systems are usually found in preindustrial societies. • Social mobility is not permitted. • Class systems encourage striving and achievement. • All of these choices are correct.

49. Answer: C • The following is a characteristic of a class system of stratification: • Class systems encourage striving and achievement.

50. 2. Which of the following is not a myth about the poor in America? • Most people in poverty live in the inner city. • Most of the poor are single mothers with children. • People are poor because they are too lazy to work. • Most poor people are white.