Social Stratification in the United States

Tahu KukutaiDepartment of Sociology

Stanford Universitytkukutai@stanford.edu

What is social stratification?

The study of systematic inequality between groups of

people

The 3 axis of inequality

• RACE

• GENDER

• SOCIAL CLASS

America the Beautiful

What does the U.S. symbolize?

• Land of opportunity– “rags to riches” : anyone can become rich, famous,

the President (or at least the Governor of California)– Jobs and education are available to all (who want it)

• Social class is achieved, not ascribed– Individuals decide what class to belong to– Open mobility between classes

• Meritocracyskill + effort = rewards

Rags to Riches ?

What are the key features of social class?

• WEALTH– Valued possessions : cash, land, buildings, property– Income : money from employment, shares etc. – Tends to be intergenerational

• POWER– Ability to carry out one’s will, even if opposed by others– Who has power???

• PRESTIGE– Respect given to people with valued positions or resources

Occupational Prestige

– What kinds of jobs are prestigious and why?– Ratings by Americans about the prestige of different

occupations

Physician 82Lawyer 76School Teacher 60Computer Programmer 51Secretary 46Baker 34Taxi Driver 22Shoe Shiner 9ALC Professor ?Sociology Professor ?

Class in the New York Times

5 social classes in the U.S.

UPPER CLASS

Alice Walton -

Walmart Heir

Upper Class Facts

Q. What % of Americans belong to the upper class? – 0.5%

Q. Extent of wealth?– Top 1% owns more than one third of ALL net worth in the U.S. – 50% U.S. stocks, 60% bonds; corporations, property, inheritances;

income mostly from investments not employment

Q. Source of power?– Ownership of resources - money makes money– Economic power and political power intertwined

Q. Source of prestige?– family name & resources (old: Rockefeller, Carnegie, Walton, Getty;

new: Gates)

Corporate Class

Ken Lay & Jeff Skilling

Former Enron CEOs

Corporate Class Facts

Q. What % of Americans? – 0.5%

Q. Extent of wealth?– A lot, but not as much as the upper class– Usually not major owners of companies– median CEO salary $10.8 million– President of the U.S. $400,000 (why do it then??)

Q. Source of power?– Heads of companies, government

Q. Source of prestige?– Position of influence

Middle Class

The Cosby Show

America’s first black middle class TV family

Middle Class FactsQ. What % of Americans? – 43%

Q. Extent of wealth?– Some– Ownership—own home– Income—mid to high income

– Engineer, $58,000– Teacher, $34,000– ALC Professor, ??

Q. Source of power?- Limited within context of occupation

Q. Source of prestige?– Some more than others, White collar job

Working Class

Photograph from a book

Working Class Facts

Q. What % of Americans? – 43%

Q. Extent of wealth?– Little– Ownership—little or no property

– Income—mid to low – Factory worker, $24,000– Machine operator, $23,000

Q. Source of power? – Limited, sometimes collective power through unions

Q. Source of prestige?– Very little, Blue collar jobs

Lower Class

Homeless man in New York - one of thousands

Lower Class Facts

Q. What % of Americans? – 13%

Q. Extent of wealth?– Very little, usually none– Ownership: none

– Income: low – Poverty rate in 2001: 9.9%– Only about 1/3 of poor get welfare

Q. Source of power? – Limited to none

Q. Source of prestige?– Limited to none

Distribution of Wealth

Wealth Class 1998 Net Worth

Top 1% 38.1% $10,204,000

Next 4% 21.3% $1,441,000

Next 5% 11.5% $623,500

Next 10% 12.5% $344,900

Next 20% 11.9% $161,300

Middle 20% 4.5% $61,000

Bottom 40% 0.2% $1,900

How do Americans perceive social stratification in their own country?

• Mixed optimism

• A general belief in meritocracy (what does this mean again?)

• A general belief that mobility and opportunities to advance have increased

Importance of Education

Better off over Generations

Trap of Poverty?

American Dream for Everyone?

“American Dream” for all?

Racial gaps in the labor market

Race Unemployment, 2000

Hispanic or Latino 9.3%

White 4.3%

Black 11.8%

American Indian 12.4%

Asian 5.1%

Native Hawaiian or Pacific Islander

10.9%

Gender gaps in the labor market

• More men work full time than women, but comparing men and women who work:

Median IncomeMale $29,458

Female $18,957

– For every dollar men make, women make 64 cents

Why does the gender gap exist?

• Education?– Women make up over 50% of students in college

Men and Women with a BA (1999) Male $47,126 Female $34,455

• Men work more hours?– Women in full-time work earn less than men with the

same educational qualification

Revisiting the American Dream

• Land of Opportunity?– “rags to riches” or “the rich get rich?” classes tend to reproduce themselves (e.g. occupational &

wealth inheritance, legacy admits)– are all jobs open and equal for everyone? clearly not

• Social class is achieved or ascribed? between 40 to 60% of parental income advantage passed on

to children

• A meritocracy?– barriers to channels of upward mobility (e.g. a good

education)

America the Beautiful?

Or is it more complicated?

And our very own Palo Alto: A tale of two cities