The document discusses social class divisions in the United States. It identifies 6 social classes - upper class, upper middle class, lower middle class, working class, working poor, and underclass. It provides details on the estimated population size, education levels, occupations, and income ranges for each class. Upward and downward mobility between classes is also addressed, as well as factors like education, technology, health, and unemployment that can impact social mobility. Poverty in the US is also summarized, including government assistance programs.

1. How America Divides SOCIAL CLASSES

2. Social Class Divisions Sociologists have labeled six classes that exist in the United States: 1) Upper Class 2) Upper Middle Class 3) Lower Middle Class 4) Working Class 5) Working Poor 6) Underclass

3. Social Class Divisions The Upper Class  1% of the population Education Level: Prestigious Universities Occupations: Owners of large businesses Investors Heirs to family fortunes Top Business Executives Income = MILLIONS!

4. Old $$$ vs. New $$$ Old Money = wealth that has been in the family for generations (born into, inherit) Ex: The Kennedy’s, Rockefeller’s, Vanderbilt’s New Money = newly rich, acquired their money through own efforts rather than inheritance. (Not as prestigious, but can still buy it) Ex: Bill Gates, Mark Cuban, Michael Jordan

5. The Upper Class The Richest Americans

6. Upper Class- Bill Gates’ Home

7. Reception Room- Gates’ home

8. View from Gates’ home

9. Bill Gates’ Car

10. The Upper Class Facts about: The Richest Americans 1 in 10 Americans makes over $100,000 Less than 0.5% makes a $1,000,000 (150,000) There are currently 371 billionaires in the United States. You are twice as likely to be struck by lightning than you are of becoming a billionaire.

11. Social Class Divisions Upper Middle Class  10% of population Education Level: College/ University Degree Occupation: High income business people, professionals Membership based on income, not assets (career oriented) Influence in community, not nationally. Income: $100,000-$250,000

12. Social Class Divisions Lower Middle Class  20% of the population Education Level: High School, some College Occupation: White collar workers (management, supervisors, sales) Income: $50,000- $100,000 They live well, but have to work to keep their way of life and position in society.

13. Social Class Divisions The Working Class  20% of the population Education Level: High school diploma Occupation: Blue Collar or Manual labor jobs (factory workers, tradespeople, low service jobs) Income: $30,000- $50,000 They work very hard and often do not have much reserve to deal with extra expenses.

14. Social Class Divisions The Working Poor  45% of the population Education Level: Some high school, (often dropouts) Occupation: Lowest paying jobs, (housecleaning, minimum wage jobs, migrants) Income: less than $30,000 They rarely make a living wage.

15. Social Class Divisions The Underclass  3% of the population Education Level: some high school Occupation: some work, but it is undesirable, experienced unemployment and poverty over several generations. They require public assistance to survive. 50% move up to a higher class.

16. Types of Jobs/ Salaries The divide b/t rich and poor: Bill Gates = $50 billion net worth Dave Matthews= $28 million/ yr. Jerry Seinfeld = $98 million/yr. Tyra Banks= $14 million/ yr. Lawyer= $98,930/ yr. Firefighter= $39,090/ yr. Janitor= $19,390/ yr. Cashier= $16,260/ yr.

17. Social Mobility How can you move between or within the classes? 1) Horizontal- movement within a social class to a job of equal social ranking (doesn’t change status) 2) Vertical- movement up or down classes that changes a person’s social standing 3) Intergenerational- a status change in a family between generations.

18. Social Mobility Factors that affect upward mobility: - Individual Effort - Technology shifts - Education Level Factors that affect downward mobility: - Illness - Divorce - Retirement - Technology changes - Low Unemployment- lack of quality jobs in field

19. Poverty 31 million or 11% of Americans live below the poverty level. Poverty- standard of living that is below the minimum level considered adequate by society. (varies by society) **What is poor in US, may be comfortable living in another country. (Due to differences in standard of living)

20. Poverty US Census- defines poverty as: minimum annual amount of income needed to survive The poverty line is established by: calculating the cost of an adequate diet (USDA standards) and multiplying that by 3 (1/3 of income is spent on food) In 2000, 1 Person = $8,794 2 People = $11,239 3 People = $13,738 4 People = $17, 603 5 People = $20,819

21. Poverty States with the largest rates of poverty (over 15%):

22. Poverty Other Factors Age: Children most likely group to be in poverty (37%) Sex: Women more likely than men (57%) Race and Ethnicity- African Americans and Hispanics are more likely to be poor in the US. 11% of total White population are poor. 26.5% of total African American population are poor. 27.1% of total Hispanic population are poor.

23. Poverty Patterns of Behavior More likely to be divorced. More likely to be arrested, convicted and sent to prison. (commit crimes that police pursue more- burglary, auto theft) More likely to be victims of crimes.

24. Poverty Government Response to Poverty: - 1960’s, LBJ declared a “War on Poverty” - Increased social welfare programs to aid the poor. Two methods of assisting the poor: Giving tax money to groups to assist the needy. --TANF (Temporary Assistance to Needy Families) Giving goods to those who are poor. -- Food stamp/ LINK program (Giving a card or coupon in exchange for food.

25. Poverty Welfare A program designed in the 1980’s to aid those who could not afford a living wage. Financial assistance is given to recipients in the form of money and goods (such as food) to those who are in need. Initially, it created a “welfare class”, a group of people who refused to find work and lived off the government until 1996. Limits were put into effect that required welfare recipients to find work within in a two year period. **the number of recipients has decreased from 14.1million in 1993 to 6.3 million in 1999.

26. Poverty Welfare (con’t) Some Barriers to getting off of welfare: - very poor mental or physical health - education less than high school - last worked three or more years ago - has an infant - Spanish interview Those reporting barriers: NONE = 22.9 ONE = 33.3 TWO = 43.8