Term
| corporate class - relation to means of production |
|
Definition
| not ownership, but CONTROL |
|
|
Term
|
Definition
1. class may not be united
2. too many people are considered to be upper class for it to have unity and organization
3. what is the criteria to be upper class? old money? |
|
|
Term
| economic concentration that sets the stage for upper class to exist is based on the following: |
|
Definition
1. size of major corporations and their ability to dominate the market for their particular industrial products or services
2. concentrated control of stock in major corporations by other corporations
3. network of interlocking directorates that ties top corporate personal together |
|
|
Term
| how many industrial corporations are operating in the economy today? |
|
Definition
|
|
Term
| interlocking directorates |
|
Definition
| linking of two or more corporations through at least one of their board members |
|
|
Term
|
Definition
two corporations tied together by their board members through a 3rd corporation
ex: board members A and B are both on board C. |
|
|
Term
| why are corporate interlocks important? |
|
Definition
1. reduce competition among corporations
2. represent outside influences over corporation
3. provide a means of sharing information about corporate plans
4. help provide unity among top corporate officials in the economy
5. help provide unity in corporate dealings with the government |
|
|
Term
| Unseem (1984) interlocking corporations |
|
Definition
| the most important reason for interlocking directorates was to gain information from other corporate leaders that could be used for economic advantage |
|
|
Term
| Galaskiewicz (1985)interlocks |
|
Definition
| found that interlocks were more common with chief executive officers from the biggest corporations and that high status people that would more likely have the most information were sought out for these interlocks |
|
|
Term
| galaskiewicz & wasserman (1981) |
|
Definition
| found out that corporations often seek out directors from financial institutions to secure good relations with possible sources of capital |
|
|
Term
| inner group of the corporate class |
|
Definition
| the most powerful members of the corporate class, who have multiple corporate positions and often represent the corporate class in government and civic organizations |
|
|
Term
| characteristics of inner group of corporate class |
|
Definition
1. tend to have more positions in corporate boards
2. are more likely to be board members of larger corporations
3. often represent large banks on corporate boards
4. more often belong to social elite clubs
5. have worked their way up the corporate ladder to top positions rather than stated at the top from wealthy family backgrounds
6. represent general corporate interests in other institutions such as foundations, universities, and the government |
|
|
Term
|
Definition
social class differences are discrete and objective
class boundaries are clear and define distinctive social groupings |
|
|
Term
|
Definition
social class differences are continuous and subjective
people with similar life chances are categorized according to occupation, education, and income |
|
|
Term
|
Definition
| distribution of resources and opportunities within a social system that affect people's health, survival, standard of living, and happiness |
|
|
Term
| Life chances according to WEBER |
|
Definition
-considered life chances to be the most crucial component of social class differences
social class differences are based on distribution of wealth, power, and status honor |
|
|
Term
| Weber's synthetic approach: nominalist or realist? |
|
Definition
|
|
Term
|
Definition
consists of a large number of individuals and families that share similar life chances
share similar resources and lifestyles |
|
|
Term
| 3 essential methods of ascertaining class stratification |
|
Definition
1. residential method: evaluates difference in residential real estate values.
2. Reputational method: based on status judgments. interview outsiders, gossips, etc
3. SES (socioeconomic status) method: compares occupational prestige and years of schooling. square root of occupation times years of schooling |
|
|
Term
| what is the problem with the residential method? |
|
Definition
| it is only valid in communities having economically discrete and internally homogenous residential areas |
|
|
Term
| What are the 3 dimensions of Weber's multidimensional approach? |
|
Definition
1. economic (wealth)
2. political (power)
3. Prestige (status-honor) |
|
|
Term
| What is the wealth portion of Weber's multidimensional approach? |
|
Definition
Income
Wealth
Access to credit
Control over wages and working conditions
Control over prices and the quality of products and services |
|
|
Term
| What is the Political (power) portion of Weber's synthetic approach? |
|
Definition
Force
Influence
Incumbency and prestige of office
creation of laws
Rights of citizenship |
|
|
Term
| What is the Prestige (status-honor) portion of Weber's synthetic approach? |
|
Definition
access to economically and politically powerful people + groups
access to other prestigious people
access to the media and the public |
|
|
Term
| What is the casual chain in Weber's multidimensional approach? |
|
Definition
| Economic -> political -> prestige |
|
|
Term
| Edward's SES index formula |
|
Definition
√O*E
O = occupation
E = Years of schooling
|
|
|
Term
| What were the occupational divisions used for the SES in 1970? |
|
Definition
White collar workers
Blue collar wokers
Service workers
Farm workers |
|
|
Term
| What were the occupational divisions used for the SES in 1980? |
|
Definition
Managerial and professional specialty
Technical, sales, and administrative support
Service occupations
Precision production, craft, and repair
operators, fabricators, and laborers
farming, forestry, fishing |
|
|
Term
| What is the SES of a plumber (O = 3) that has been going to school for 12 years? |
|
Definition
|
|
Term
| NORC scale: how is it calculated? |
|
Definition
National Opinion Research Center
asked to rank occupations and explain why they are ranked as such |
|
|
Term
| NORC scale: what reasons were given for ranks? |
|
Definition
1. the job pays well
2. it serves humanity; essential job
3. preparation requires much education, hard work, and money
4. the job carries social prestige
5. it requires high moral standards, honesty, and responsibility
6. it requires intelligence and ability
7. it provides security, steady wok
8. the job has a good future, the field is not overcrowded
9. the job is pleasant, safe, and easy
10. it affords maximum chance for initiative and freedom |
|
|
Term
|
Definition
used NORC scale
found that high income was most frequently mentioned by the public as the most important for an excellent rating
parents would rather have their son work a labor job that pays more than a white collar job that pays less |
|
|
Term
| Hollingshead Two-factor index of social position (ISP) |
|
Definition
assigns a value from 1-7 to occupation and education level
7 occupation levels used:
1. higher executives, proprietors of large concerns, and major professionals
2. business managers, proprietors of medium-sized businesses, and lesser professionals
3. administrative personnel, small independent businesses, and minor professionals
4. clerical and sales workers, technicians, and owners of little businesses
5. skilled manual employees
6. machine operators and semi-skilled employees
7. unskilled employees |
|
|
Term
| which scales did Gross use for the Marquette Youth Survey? |
|
Definition
| Duncan and Hollingshead scales |
|
|
Term
| what is the most common indicator of social class differences? |
|
Definition
|
|
Term
|
Definition
| industries (groups of corporations with the same economic functions) are divided between core and periphery industries |
|
|
Term
| 5 characteristics of core industries |
|
Definition
1. a few large corporations do most of the business
2. higher productivity
3. higher profits
4. more capital-intensive production
5. less economic competition (monopoly)
examples: petroleum, auto production. primary metal production |
|
|
Term
| examples of periphery industries |
|
Definition
| department stores, service stations, restaurants |
|
|
Term
| 3 outcomes for workers employed in core industries |
|
Definition
1. higher wages
2. better-than-average working conditions
3. more fringe benefits |
|
|
Term
| From the dual economy approach, the industries that have high assets, productivity and profits are called ____________ industries. |
|
Definition
|
|
Term
| ___________ occurs when work becomes external to the worker, or when it is only a means for satisfying other needs. |
|
Definition
|
|
Term
| Workers are usually better off financially and in terms of work conditions if they work in ____________ industries. |
|
Definition
|
|
Term
| Which country ranks the lowest on both voting related to class issues and the percentage of poverty reduction through government action? |
|
Definition
|
|
Term
| People who hold jobs in which they receive orders from above while giving orders to those below are in the __________ class. |
|
Definition
|
|
Term
| Which of the following countries has the lowest percentage of its labor force in unions? |
|
Definition
|
|
Term
| The Kerbo text defines the _________ class as being high to mid-level in occupation, mid-level in bureaucratic authority, and a non-owner of the means of production. |
|
Definition
|
|
Term
| In the United States, from the mid 1980s through 2006, there has been a loss of skilled middle class and working class jobs and an increase in low-skill jobs. This is called: |
|
Definition
|
|
Term
|
Definition
| nonprofit cooperatives that are collectively owned and professionally managed to provide savings accounts, certificates of deposit and to make consumer loans to members |
|
|
Term
|
Definition
| state-chartered and federally regulated to provide individual savings accounts and certificates of deposit and provide home mortgage loans |
|
|
Term
|
Definition
state and federal chartered to make business loans and personal loans for major consumer purchases such as houses and automobiles and to issue credit cards
ex: wells fargo |
|
|
Term
|
Definition
federally chartered institutions whose primary purpose is to provide loans for major business ventures.
ex: golden sachs - largest investment bank in US |
|
|
Term
|
Definition
solely-owned and managed businesses in which the owner's business and personal assets are essentially inseparable
these do not last long |
|
|
Term
|
Definition
join businesses ventures involving two or more individuals whose business assets are held in common and whose personal assets are legally tied to their business liabilities
involve considerable risk to owners |
|
|
Term
|
Definition
| state-chartered entities in which personal and business assets and liabilities are legally separated |
|
|
Term
|
Definition
| privately held and profits are taxed at the individual owners' marginal tax rate |
|
|
Term
|
Definition
| shares (Stock) that are publicly-traded to raise capital for investment in personnel, technology, and plant and equipment. corporate profits are taxed at the lower corporate rate and individual dividends and profits from stock trades (sales) are taxed at the 15% capital gains rate |
|
|
Term
|
Definition
(holding companies)
parent corporations that hold a controlling interest in a large number of smaller corporations, often businesses unrelated to that of the parent company.
ex: phillip morris = largest conglomerates in US |
|
|
Term
| what % of the population is upper class? |
|
Definition
|
|
Term
| what % of the population is upper middle class? |
|
Definition
|
|
Term
| what % of the population is lower middle class? |
|
Definition
|
|
Term
| what % of the population is working class? |
|
Definition
|
|
Term
| what % of the population is poverty/lower class? |
|
Definition
|
|
Term
| the blue collar elite is part of what social class? and what proportion of this class is blue collar? |
|
Definition
| 1/4 of the WORKING CLASS is blue collar elite |
|
|
Term
| The underclass is part of what social class? and what proportion of this class is the underclass? |
|
Definition
| 1/3 of the poverty/lower class is underclass |
|
|
Term
| why are the poor in Thailand and Vietnam not full of despair, compared to other countries? |
|
Definition
1. there is some hope in their lives
2. they are less likely to feel there is no place to turn if things get worse
world leaders in reducing poverty
strong family network |
|
|
Term
|
Definition
economic definition of poverty
established by determining what it costs a family to buy food, housing, and other necessities |
|
|
Term
|
Definition
economic definition of poverty
established by determining what it costs a family to buy food, housing, and other necessities |
|
|
Term
| family of 4 with no children under age 18: considered to be poor below what poverty level? |
|
Definition
|
|
Term
| Criticisms of poverty line |
|
Definition
1. government does not consider poverty to exist when only adequate standard of living is maintained; need to be extremely below adequacy
2. Official measure of poverty considers only pretax income. does not subtract how much money is taken away by taxes
3. poverty is underestimated; poverty line should consider the relative aspects of poverty. half of the income of the population should be the poverty line
4. value of welfare is not added to family's income. food stamps, health care, pension, royalties, rent, investments, etc. |
|
|
Term
| what are the problems of establishing the value of income-in-kind benefits and using this to estimate the poverty rate? |
|
Definition
1. how do we value the medical benefits from the medicaid program?
---people could become nonpoor by becoming ill and needing medicaid |
|
|
Term
| Purchasing Power Parity (PPI) |
|
Definition
-estimate what a set amount of basic necessities would cost in each country around the world so we can make better comparisons across countries with differing costs of living
helps overcome the problem of shifting exchange rates that do not realistically represent actual cost-of-living differences |
|
|
Term
|
Definition
| belief that individual is more important than the social group |
|
|
Term
| what does individualism suggest? |
|
Definition
1. government should not infringe upon the rights of individuals
2. importance of free competition in business affairs and of having government not interfere in "free" economic pursuits (laissez faire)
3. ideal of equality of opportunity - have opportunity to better yourself and prosper as talents and motivation allow |
|
|
Term
|
Definition
blame poor for being poor, because of their own characteristics
ex: lazy -> poor
IQ = low |
|
|
Term
| Culture-of-poverty theory |
|
Definition
subculture of poverty that has developed to allow for the poor to cope with their position, but it is counterproductive in getting out of poverty
social conditions originally helped produce poverty, poverty produces people with unique personal characteristics that help ensure that the poor + their children remain poor |
|
|
Term
| Poverty: Situational Theory |
|
Definition
| social conditions cause poverty, which cause poor to have certain characteristics (not necessarily bad) |
|
|
Term
|
Definition
| complete stress on political-economic forces on poverty (social conditions) |
|
|
Term
|
Definition
-those at the top are genetically inferior
-bad to help poor people, because they are unfit to survive
SPENCER + SUMNER |
|
|
Term
|
Definition
| one of the largest slums in the world. |
|
|
Term
| Which of the following countries has the highest "relative" poverty rate (as a percentage of all persons)? |
|
Definition
|
|
Term
| Which of the following countries has the greatest reduction in the poverty rate after welfare benefits are calculated into the equation. |
|
Definition
|
|
Term
| Which term is used to describe a society in which the government has taken broad responsibility for the social problems and the general social welfare of its citizens? |
|
Definition
|
|
Term
| he most important cause for increase in welfare benefits given out by the government is: |
|
Definition
|
|
Term
|
Definition
| The people at the bottom of the occupational structure who can be laid off to protect corporate profits in times of economic stagnation, then rehired when needed to increase profits in time of economic expansion |
|
|
Term
| 5 characteristics of multinational corporations |
|
Definition
1. seek to maximize personal profits of elite corporations
2. are not subject to strict regulation + control by the national governments of countries where they do business
3. only loosely accountable to most of their stockholders
4. reduce global competition + consumer discretion + control
5. increase wealth + political influence of elites at expense of working class at home + abroadMich |
|
|
Term
|
Definition
| claims that old upper class + corporate class of top executives have merged into a UNIFIED CAPITAL CLASS or "new" upper class |
|
|
Term
| Functional theory of power |
|
Definition
DURKHEIM
stratification is necessary to match scarce talents with societal needs. |
|
|
Term
| Ruling class model: according to conflict + functional theorists |
|
Definition
| Both functional (Parsons) + conflict (mills) versions of RULING CLASS MODEL state that command posts of power are concentrated in major corporations + federal government |
|
|
Term
|
Definition
Parsons + Baltzell
elites are essential to maintaining political + economic stability. most meritable people become elite, so they are expected to do community service |
|
|
Term
| Power elite: according to conflict theory (Mills) |
|
Definition
| dysfunctional, not essential for society |
|
|
Term
| Reform movements: according to Baltzell |
|
Definition
| reform movements can easily evolve into a totalitarian movement, if the wrong person gets hold of that power |
|
|
Term
| noblesse oblige: according to Baltzell |
|
Definition
concerned that the patrician class is losing a sense of noblesse oblige. upper class is handing off their authority to the corporate class. this robs the patricians of their legitimacy.
if you're not doing things for your community, there's no justification for your entitlement |
|
|
Term
|
Definition
| always have it, so you get used to it. feel like you are entitled to it. normal human trait |
|
|
Term
|
Definition
stratification arises from conquest, protects + promotes elite interests, is divisive and destructive.
class is based on means of production |
|
|
Term
| Critical elite perspective: who? |
|
Definition
|
|
Term
| Critical elite perspective |
|
Definition
mills + domhoff
U.S. is led by exploitive power elite that works to promote self-interest. corporate elite is cooperative, instead of competitive. |
|
|
Term
| Corporate elite: cooperative or competitive? |
|
Definition
|
|
Term
| 3 Consequences of economic concentration |
|
Definition
1. worlds highest corporate profits
2. world's lowest corporate taxes
3. reduced wages and benefits for workers |
|
|
Term
|
Definition
| power becomes concentrated in hands of very few people at the top of an organization |
|
|
Term
| Iron law of oligarchy: why does power become concentrated in the hands of very few people at the top of an organization? |
|
Definition
1. higher efficiency if only a few people have responsibility for administration and decision making.
2. leaders are adept at manipulating people: destroy people that don't like them and reward those that support them |
|
|
Term
|
Definition
exclusive ownership + control
ex: nintendo + standard oil |
|
|
Term
|
Definition
group of companies with control of goods and services
ex: cigarettes, meat, cereal |
|
|
Term
|
Definition
| control companies in fields quite different than that of the parent company |
|
|
Term
|
Definition
conglomerates
oligopoly
monopoly |
|
|
Term
| 3 ways that corporations concentrate their power |
|
Definition
| vertical expansion, horizontal expansion, interlocking directorates |
|
|
Term
|
Definition
controlling each stage of the production process
ex: Ford - made all own parts for cars + sold parts to others. self-reliant company |
|
|
Term
|
Definition
acquiring control of companies in fields different than the parent company.
ex: gulf and western petrolium: movies and oil |
|
|
Term
| Interlocking directorates |
|
Definition
boards of directors have some members in common, so that the corporations are basically under the same control
ex: virginia tech board provided direct interlock for gulf and western |
|
|
Term
| 6 problems with concentrated power |
|
Definition
1. monopolies and oligopolies reduce competition and consumer power
2. confict between corporate profits and public welfare (ex: off-shore operations for tax avoidance, off-shore drilling, sulfide mining)
3. undermines democratic decision-making by manipulating public opinion
4. reduces worker control over wages + working conditions with threats
5. displacement and impoverishmentof american workers (outsourcing, illegal labor, etc)
6. encourages political corruption |
|
|
Term
| what is the poverty cut-off for a single adult? |
|
Definition
|
|
Term
| what is the poverty cut-off for a family of 4? |
|
Definition
|
|
Term
|
Definition
provides absolute economic measure of poverty
3 times cost of food |
|
|
Term
| what is wrong with orshansky's index? |
|
Definition
| -when first used, housing cost was 25% of poor family's budget + now it is 45%. index has not been changed |
|
|
Term
| what would happen if the orshansky index was updated |
|
Definition
| if adjusted, then more people would be defined poor |
|
|
Term
| what % of americans are poor? |
|
Definition
|
|
Term
| what % of americans lack health care? |
|
Definition
|
|
Term
| how many americans are homeless? |
|
Definition
|
|
Term
| what % of people seeking emergency food have a family member that works full-time? |
|
Definition
|
|
Term
| what % of people live in a household with 1 full-time worker? |
|
Definition
|
|
Term
| what % of poor are white? and ratio? |
|
Definition
|
|
Term
| what % of white people are poor? |
|
Definition
|
|
Term
| what % of blacks are poor? |
|
Definition
|
|
Term
| what ratio of children live in poverty? |
|
Definition
|
|
Term
| what is the #1 predictor of poverty? |
|
Definition
| illegitimacy (have a single mother) |
|
|
Term
| what % of infants are born to unmarried women? |
|
Definition
|
|
Term
| in the last 50 years, the illegitimacy rate for african americans has increased by how much? |
|
Definition
|
|
Term
| in the last 50 years, the illegitimacy rate for whites has increased by how much? |
|
Definition
|
|
Term
| what ratio of all pregnancies are terminated through abortion? |
|
Definition
|
|
Term
| after 5 years of divorce, women and children suffer what ratio? |
|
Definition
|
|
Term
| after 5 years of divorce, men gain how much? |
|
Definition
|
|
Term
| what % of US population will experience poverty for at least one year during any given 10-year period? |
|
Definition
|
|
Term
|
Definition
think that life sucks + pass this attitude on to kids
describes underclass |
|
|
Term
| Wilson: what do the poor lack? |
|
Definition
-public safety
-adequate and stable income
-family stability and support
-schooling |
|
|
Term
| relative measure of income: what should it be? |
|
Definition
families living with incomes below 50% of median household income
$25,100
if this was actually used, it would raise from 14% to 20% |
|
|
Term
| what is the national median wage necesary to afford a 2-bedroom apartment? |
|
Definition
|
|
Term
| what is the dominant view of poverty in the US? |
|
Definition
|
|
Term
| individualistic approach to poverty |
|
Definition
| poor = lack of effort + ability + morals. drug addicts |
|
|
Term
| Herrnstein: the bell curve |
|
Definition
says that most poor are biologically inferior and have low mental ability
social darwinism |
|
|
Term
| clinton's welfare reform bill |
|
Definition
eliminated AFDC welfare program + replaced it with temporary aid to needy families
5 year cap, actively seeking a job |
|
|
Term
| Lewis: culture of poverty |
|
Definition
claim that poor behave in a self-defeating manner
fail to defer gratification; involved in sex at early age, pregnancy out of wedlock, family abandonment, debt, no jobs
blame the victim |
|
|
Term
| situational view of poverty |
|
Definition
| not poor because of lifestyles; lifestyles are because of poverty |
|
|
Term
|
Definition
| set goals that you know are realistic, not that you would like to achieve |
|
|
Term
| Wilson: structural view of poverty |
|
Definition
structure -> culture -> behavior
deindustrialization -> chronic unemployment -> culture of poverty -> behavior (self-defeating) |
|
|
Term
| how can the cycle of poverty be broken? |
|
Definition
| improve opportunity (jobs, schools, public safety) |
|
|
Term
| Jencks: how to get rid of poverty |
|
Definition
establish policies that emphasize the importance of working and self-sufficiency
-provide health care, childcare, household subsidies |
|
|
