Expanded Key Terms

A person’s position relative to the economic sector.

Class is a person’s position in a social hierarchy in society, as determined by several factors. Class is based on social status, economic earnings, education level, and more that all intersect and combine to shape how a person is viewed in society and what services and/or opportunities are available to them. Many societies, such as the U.S., have and continue to favor white, wealthy individuals over people who identify as poor and members of minority groups.

Money that comes into a family or household from a variety of sources, such as earnings, unemployment compensation, workers’ compensation, social security, pension, or retirement income, interest, and dividends.

Income is the term used to describe an individual or group’s total amount of financial earnings over a period of time. Income is often generalized as an annual level and is used to determine the amount of money an individual or household makes, which also affects their socioeconomic status and social class. Income is a factor that over time is dependent on how one can retire, afford medical services, and other life services that are vital to survival.

A social system in which individuals get ahead and earn rewards based on their individual efforts and abilities.

A meritocracy is the ideal social system in the understanding that people receive rewards and promotions based on their performance and effort. A meritocracy is not an ideal form of society in action, however, because very few societies follow this rule. Examples of meritocracies in action are corporate organizations that promote based on performance as demonstrated in the completion of tasks.

Deficiencies in necessary material goods or desirable qualities, including economic, social, political, and cultural. 

Poverty is the term used to describe the state where an individual cannot easily meet all basic needs of survival. The basic needs of survival fall into various categories, such as economic, social, political, and cultural needs. Poverty can be heavily affected in one or many of these areas for each individual. Poverty as a concept is based on larger social ideas of what is considered normal in terms of accessing goods and services for survival.

Measures of poverty used by the U.S Census Bureau that take into account age, family size, and number of children in a household.

Poverty thresholds are used as indexes to understand the specifics for groups that are in states of poverty. The poverty thresholds identify the age, family size, and number of children a person in poverty has and needs to be able to support. Poverty thresholds are designed to collect additional information about groups in poverty to better form solutions and services to meet these people’s needs.

Federally subsidized housing that is owned and operated by local public housing authorities.

Public housing is a term used to describe federally subsidized and available housing that is owned and operated by local public housing authorities through the government but is available for use by individuals in society. Public housing is often a highly needed resource due to overpopulation and the lack of housing for individuals in many areas. Public housing often is discussed as being low-cost to develop and a smaller size and footprint to be able to house more people in more space with more buildings being built.

Any government system that provides monetary assistance to people with inadequate or no income.

Social Security is a government system that individuals can opt into during their lifetime, and the program provides monetary assistance to people with little or no income. The Social Security system is a way for individuals to receive funding and financial income to support themselves, such as medical operations, food, and other aspects of life. Social Security is an often highly debated topic among individuals who do or do not believe in funding individuals who are not working in society. Social security includes funding for retirement, disability, spouses, dependents, survivors, and Medicare.

The differentiation of a given population into hierarchically organized classes.

Social stratification is a term that is used to describe how individuals and groups are broken up and divided within the hierarchy of a society. Social stratification relates to the idea of social classes in the fact that there are different social classes, which have a hierarchy of power with one raining over the other, and ultimately one at the top and one at the bottom. Social stratification can occur at birth or can happen over time based on earnings and/or loss of finances, during one’s life with the spending of money or even as various events shape life perception and outcomes

Any government system that provides monetary assistance to people with inadequate or no income.

Social Security is a government system that individuals can opt into during their lifetime, and the program provides monetary assistance to people with little or no income. The Social Security system is a way for individuals in their lives, or often later in life during retirement, to receive funding and financial income to support them, such as medical operations, food, and other aspects of life. Social Security is an often highly debated topic among individuals who do or do not believe in funding individuals who are not working in society.

Federally subsidized housing that is owned and operated by local public housing authorities.

Public housing is a term used to describe federally subsidized and available housing that is owned and operated by local public housing authorities through the government but is available for use as an occupation by individuals in society. Public housing is often a highly needed resource due to overpopulation and the lack of availability of available housing for individuals in many areas. Public housing often is discussed as being low-cost to develop and a smaller size and footprint to be able to house more people in more space with more buildings being built.

Assets or net worth (the difference between the value of assets and the amount of debt) for an individual, family, or household.

Wealth is the total amount of assets that are net worth that an individual family or household has, and has attained over time. Wealth can span over multiple generations and can be accumulated over time and grow, or it can span multiple generations, grow over time, and then be spent and cause someone’s wealth to decrease dramatically. Wealth is different from income in the sense that income is the amount of money one makes periodically while financial wealth is the amount of money and finances one has collected over time, and has been passed down from generation to generation.

Individuals who spend at least 27 weeks per year in the labor force but whose income falls below the poverty level as set by the federal government.

The term working poor describes individuals who spend at least 27 weeks per year working but are not able to meet their necessities of daily life and, therefore, qualify as being poor. The working poor are  differentiated from other individuals with financial instability in the sense that the working poor fall below the poverty line. Working poor occupy many aspects of the economy and occupy many roles that are not necessarily high-paying but are vital to upholding any structures and services that individuals in society rely on, such as fast food and grocery store employees. This can also apply to other industries and jobs, such as the healthcare field with home nurses and workers.