American upper class
The American upper class is a social group within the United States consisting of people who have the highest social rank, due to economic wealth, lineage, and typically educational attainment. The American upper class is estimated to be the richest 1% of the population.
The American upper class is distinguished from the rest of the population because its primary source of income consists of assets, investments, and capital gains rather than wages and salaries. Its members include owners of large private companies, heirs to fortunes, and top executives of certain publicly traded corporations.
Definitions
The American upper class is seen by some as simply being composed of the wealthiest individuals and families in the country. The American upper class can be broken down into two groups: people of substantial means with a history of family wealth going back a century or more and families who have acquired their wealth more recently, sometimes referred to as "new money".The main distinguishing feature of this class, which includes an estimated 1% of the population, is the source of income. While the vast majority of people and households derive their income from wages or salaries, those in the upper class derive their primary income from business profits, investments, and capital gains. Estimates for the size of this group commonly vary from 1% to 2%, based on wealth.
Many heirs to fortunes, top business executives such as CEOs, owners of large private companies, successful venture capitalists, and celebrities may be considered members of the upper class.
Upper class versus rich
In some academic models, the rich are considered to constitute 5% of U.S. households, and their wealth is largely in the form of financial assets, such as stocks, bonds, real estate, and private businesses. Other contemporary sociologists, such as Dennis Gilbert, argue that this group is not part of the upper class but rather part of the upper middle class, as its standard of living is largely derived from occupation-generated income and its affluence falls far short of that attained by the top percentile. In a 2015 CNBC survey of the wealthiest 10 percent of Americans, 44% described themselves as middle class and 40% as upper middle class. Some surveys have indicated that as many as 6% of Americans identify as "upper class."Sociologist Leonard Beeghley considers total wealth to be the only significant distinguishing feature of this class and refers to the upper class simply as "the rich." Beeghley divides the rich into two sub-groups: the rich and the super-rich. This demographic constitutes roughly 1% of American households.
Power and influence
Sociologists such as W. Lloyd Warner, William Thompson, and Joseph Hickey recognize prestige differences among members of the upper class. Established families, prominent professionals, and politicians may be deemed to have more prestige than some entertainment celebrities; national celebrities, in turn, may have more prestige than members of local elites. However, sociologists argue that all members of the upper class have great wealth and influence, and derive most of their income from assets rather than income.In 1998, Bob Herbert of The New York Times referred to modern American plutocrats as "The Donor Class", referring to political donations. In 2015, the New York Times carried a list of top donors to political campaigns. Herbert had noted that it was "a tiny group – just one-quarter of 1 percent of the population – and it is not representative of the rest of the nation. But its money buys plenty of access."
Theories regarding social class
Functional theorists in sociology assert that the existence of social classes is necessary to ensure that only the most qualified persons acquire positions of power, and to enable all persons to fulfill their occupational duties to the greatest extent of their ability. Notably, this view does not address wealth, which plays an important role in allocating status and power. According to this theory, to ensure that important and complex tasks are handled by qualified and motivated personnel, society attaches incentives such as income and prestige to those positions. The more scarce that qualified applicants are and the more essential the given task is, the larger the incentive will be. Income and prestige—which are often used to indicate a person's social class—are incentives given to that person for meeting all qualifications to complete an important task that is of high standing in society due to its functional value.As mentioned above, income is one of the most prominent features of social class, but is not necessarily one of its causes. In other words, income does not determine the status of an individual or household, but rather reflects that status. Income and prestige are the incentives created to fill positions with the most qualified and motivated personnel possible.
Sociologist William Lloyd Warner also asserts the existence of class markers:
Warner asserts that social class is as old as civilization itself and has been present in nearly every society from before the Roman Empire, through medieval times, and to the modern-day United States. He believes that complex societies such as the United States need an equally complex social hierarchy.
Assortative mating in humans has been widely observed and studied. It includes the tendency of humans to prefer to mate within their socio-economic peers, that is, those with similar social standing, job prestige, educational attainment, or economic background as they themselves. This tendency has always been present in society: there was no historical era when most of the individuals preferred to sort, and had actually sorted, negatively into couples or matched randomly along these traits.
Education
Members of the upper class in American society are commonly distinguished by their extensive education and affiliations with prestigious institutions, such as the Ivy League and other private universities.Religion
Within the American upper class, Mainline Protestantism stands out in terms of religious representation. Among its various denominations, Episcopalians and Presbyterians notably feature among the affluent segment of society. These denominations, steeped in historical connections to prosperous communities and esteemed institutions, have fostered networks of privilege and influence that permeate economic realms. In terms of social status, in the 1940s survey data showed the "top rank" comprised Christian Scientists, Episcopalians, Congregationalists, Presbyterians and Jews. In the 1980s the top ranked were Unitarians, Jews, Episcopalians, Presbyterians and United Church of Christ. In terms of occupation, according to sociologist Andrew Greeley, in the 1960s and 1970s, "Jews, Episcopalians and Presbyterians represent the elite of non-Spanish white Americans; Methodists, Catholics and Lutherans represent the middle class; and Baptists are the less successful."Episcopalians frequently originate from socioeconomically advantaged backgrounds and have traditionally occupied leadership roles in many spheres such as business, academia, high culture, and politics.
Bradley J. Longfield argues, "Presbyterians, as articulate and educated members of the dominant culture in America, were significant shapers of that culture for generations." Presbyterians have exerted significant influence on American economic and cultural landscapes, leveraging their cohesive community dynamics and shared values to advance financial prosperity. Rooted in Calvinist principles emphasizing diligence, discipline, and stewardship, Presbyterian congregations have cultivated an ethos of entrepreneurship and accomplishment congruent with the pursuit of material success in the United States.