The endangered middle class? A comparative analysis of the role played by income redistribution
Journal of European Social Policy
2013
23
1
February
83-101
comparison ; income distribution ; welfare state ; middle class
Income distribution
www.doi.org/10.1177/0958928712456573
English
Bibliogr.
"Contributing to the debate on the decline of the middle class, this article provides a comparative and longitudinal analysis of changes to the relative position of middle income groups in 19 (post)industrial countries between 1985 and 2005. How much did the income position of the middle worsen compared with more vulnerable groups? To what extent did public policies mitigate the market position of different income groups? The analysis is based on microdata of the Luxembourg Income Study. It divides the broad category of ‘middle class' into three groups. Results suggest little change in the income position of the middle classes with respect to both market and disposable incomes. In most countries market incomes in the top quintile increased remarkably while the bottom quintile group lost out. The scale of government income redistribution has improved the position of the lowest income group, while burdening the highest income group. But it failed to fully compensate for the growing gap between the top and bottom income groups. The distance between the middle and the top incomes grew significantly, which might be one reason for the current public debate about an endangered middle class."
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