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The Capability Threshold: Re-examining the Definition of the Middle Class in an Unequal Developing Country

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  • Ronelle Burger
  • Camren McAravey
  • Servaas van der Berg

Abstract

We argue that a multi-dimensional approach to categorizing the middle class is more appropriate for a polarized developing country and propose an alternative measurement rooted in the ideas of empowerment and capability. We find that the “empowered middle class” has expanded significantly since 1993 and also constitutes a larger share of vulnerable subgroups such as blacks, female-headed households and rural inhabitants. Differing trends between the middle class categorized based on income and based on capabilities are attributed to improved capabilities that have not been rewarded with a proportional increases in access to the labour market. It is disconcerting that links to the labour market improved only slightly and this is attributed to sluggish labour market growth and low quality of education. It is concerning that vulnerable individuals harbour unrealistically high expectations of the social mobility of their households and appear to not understand the determinants of social mobility and labour market prospects. This is attributed to heightened expectations following the political transition, but also the continued disconnection and marginalization of vulnerable subpopulations from the mainstream economy.

Suggested Citation

  • Ronelle Burger & Camren McAravey & Servaas van der Berg, 2017. "The Capability Threshold: Re-examining the Definition of the Middle Class in an Unequal Developing Country," Journal of Human Development and Capabilities, Taylor & Francis Journals, vol. 18(1), pages 89-106, January.
    • Handle: RePEc:taf:jhudca:v:18:y:2017:i:1:p:89-106
    DOI: 10.1080/19452829.2016.1251402
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    References listed on IDEAS

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    1. Solava Ibrahim & Sabina Alkire, 2007. "Agency and Empowerment: A Proposal for Internationally Comparable Indicators," Oxford Development Studies, Taylor & Francis Journals, vol. 35(4), pages 379-403.
    2. Ingrid Robeyns, 2005. "The Capability Approach: a theoretical survey," Journal of Human Development and Capabilities, Taylor & Francis Journals, vol. 6(1), pages 93-117.
    3. Deepa Narayan, 2002. "Empowerment and Poverty Reduction : A Sourcebook," World Bank Publications - Books, The World Bank Group, number 15239.
    4. Justin Visagie, 2015. "Growth of the middle class: Two perspectives that matter for policy," Development Southern Africa, Taylor & Francis Journals, vol. 32(1), pages 3-24, January.
    5. Deepa Narayan & Patti Petesch, 2007. "Moving Out of Poverty : Volume 1. Cross-Disciplinary Perspectives on Mobility," World Bank Publications - Books, The World Bank Group, number 11840.
    6. Servaas van der Berg & Cobus Burger & Ronelle Burger & Mia de Vos & Gideon du Rand & Martin Gustafsson & Eldridge Moses & Debra Shepherd & Nicholas Spaull & Stephen Taylor & Hendrik van Broekhuizen & , 2011. "Low quality education as a poverty trap," Working Papers 25/2011, Stellenbosch University, Department of Economics.
    7. Alsop, Ruth & Heinsohn, Nina, 2005. "Measuring empowerment in practice: structuring analysis and framing indicators," Policy Research Working Paper Series 3510, The World Bank.
    8. Marianne Hill, 2003. "Development As Empowerment," Feminist Economics, Taylor & Francis Journals, vol. 9(2-3), pages 117-135.
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    Cited by:

    1. Simone Schotte & Rocco Zizzamia & Murray Leibbrandt, 2022. "Snakes and ladders and loaded dice: Poverty dynamics and inequality in South Africa between 2008 and 2017," South African Journal of Economics, Economic Society of South Africa, vol. 90(2), pages 214-242, June.
    2. Schotte, Simone & Zizzamia, Rocco & Leibbrandt, Murray, 2018. "A poverty dynamics approach to social stratification: The South African case," World Development, Elsevier, vol. 110(C), pages 88-103.
    3. Rocco Zizzamia & Simone Schotte & Murray Leibbrandt, 2019. "Snakes and ladders and loaded dice: Poverty dynamics and inequality in South Africa, 2008-2017," WIDER Working Paper Series wp-2019-25, World Institute for Development Economic Research (UNU-WIDER).
    4. Simone Schotte & Rocco Zizzamia & Murray Leibbrandt, 2017. "Social stratification, life chances and vulnerability to poverty in South Africa," SALDRU Working Papers 208, Southern Africa Labour and Development Research Unit, University of Cape Town.

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    More about this item

    JEL classification:

    • I32 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Measurement and Analysis of Poverty
    • I38 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Government Programs; Provision and Effects of Welfare Programs
    • N97 - Economic History - - Regional and Urban History - - - Africa; Oceania
    • D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution

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