What is a definition of poverty which is understood as a corner of society where things are done to people without anybody noticing them. The poor are other people. The rich are a kind of economic class, the middle class is an independent social category, which, however, are not always grouped into the upper class.
In the broad sense, the term “middle class” means a part of society that, from the first encounter with the world, was chosen and preserved by the economic activity of the vast majority of people, until the emergence of a truly worthy, sovereign nation. Through its maintenance, widening and strengthening, the state can prevent high income inequality.
In the system of class relations, the middle class is one of the most important social groups, because it occupies a special place. Its position is much higher than the position of the impoverished, impoverished or semi-poor people.
The main social movements occur both within the middle class and with participation of other elements of the social structure. Free channels of upward vertical mobility, clear prospects for social growth based on education and high qualifications should ensure a sufficient level of welfare for the middle class.
It should be noted in essays on social inequality that, in addition to the stabilizing of social mobility, the middle class plays an important role in other social processes. In the sphere of economic relations, representatives of the middle class are the most important actors. They make a significant contribution to the dynamics of the processes of economic growth, are the first to take part in the distribution of incomes, are the first to experience the overall difficulties in the economy, to have a dominant position in the labor market, to lead the social movement from the bottom.
In the cultural sphere, the middle class is the custodian and distributor of values, norms, traditions, laws of society. Also, it is the source of cadres of officials and managers of different ranks – both for the state apparatus and for business. Self-regulation of civil society is based on the activity of representatives of the middle class too. This role is called the function of the administrative-executive regulator.
In order to address the problems of inequality, the middle class plays the role of the social institution forming a paternal role. It is called the institution of social protection. Its tasks are the organization of social protection and assistance to the poor.
To guarantee economic growth, the middle class performs several functions: regulator, distributor, and borrower.
Because of their activity, the middle class uses the activities of the regulatory system on the economy. As a regulator, it ensures the financial and economic stability of the state. As a distributor, it encourages and stimulates political efforts of minorities and pushes forward political reforms.
The main tasks of the regulator are to keep the composition of the population within the middle class. This goal is achieved through several measures:
creation of a large number of small entrepreneurs who can compete on the market;
the creation of small farmers who may compete on the market;
the creation of other entrepreneurs.
To achieve this goal, through its maintenance, widening and strengthening, the state can control the situation in the market, the cost of regulatory regulation is reduced.
The advantages of this function can be described in the essay on the economic growth of the middle class. The reduction in the number of individuals led to a strengthening of entrepreneurial activity, increased productivity of economic activity, as well as the increase in the industrial factor. The middle class is a part of the entrepreneurial class, which, in turn, may be considered as the entrepreneurial class in the process of economic inequality.
The relatively small percentage of the middle class (about 3.5%) performs a function of the middle of the capitalist class, positions the beginnings of the economic struggle. Since the middle class is relatively well-to-do, it is easy to identify its similarities with the elite of society, industry and financial institutions, relatively small percentage of which also performs functions of the middle class.
In the process of economic stratification, the middle class, like the elite of society, faces multiple problems at the same time. These are the reasons for the lack of development of the middle class in the United States: the weakens the movement of lower class into the middle class, the dominance of the middle class in the economic elite, the emergence of a large middle class, the decrease in the number of entrepreneurs and, especially, in the lower strata of the population, may be considered as one of the main reasons for the economic inequality in the United States.