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Article
Publication date: 27 January 2012

Zhang Yuan, Guanghua Wan and Niny Khor

Using official and household survey data, the purpose of this paper is to analyze the size of middle class in rural China, its trend and geographical distribution. Determinants or…

2010

Abstract

Purpose

Using official and household survey data, the purpose of this paper is to analyze the size of middle class in rural China, its trend and geographical distribution. Determinants or drivers of changes in the size of middle class are explored.

Design/methodology/approach

An absolute definition of middle class, adjusted by rural purchasing power parity (PPP) and spatial price index, is employed to measure the size and geographic distribution of rural middle class in 1988, 1995, 2002, and 2007. Biprobit models and OLS models are estimated to investigate the determinants and consumption behavior of middle class in rural China.

Findings

Major findings include: in 2007, as many as 398 million rural residents or almost 54 percent of China's rural population belonged to the middle class; the size estimate of China's rural middle class based on income is broadly consistent with that based on assets; factors enhancing the probability of a household entering the middle class include human capital, political capital and non‐farming employment while industrialization, urbanization and development of TVEs also play significant roles; and the middle class not only consume more, but also consume more durables.

Research limitations/implications

A limitation of the paper is the use of 2002 data. However, more recent data are not available.

Originality/value

The size of the middleclass is crucial for the stability of China, and the growth of the middle class in rural China is crucial for rebalancing the Chinese and global economy. Thus, the measurement results, the identified drivers, and the consumption behavior of rural middle class revealed in this paper can help shed light on nurturing middle class and adjusting development strategy for China to achieve a more sustainable and balanced economic growth.

Details

China Agricultural Economic Review, vol. 4 no. 1
Type: Research Article
ISSN: 1756-137X

Keywords

Book part
Publication date: 22 August 2022

Gunjan Saxena

This chapter challenges the urban bias in studies on the middle class in India and underlines the need to focus on the significant role rural middle class plays in economic…

Abstract

This chapter challenges the urban bias in studies on the middle class in India and underlines the need to focus on the significant role rural middle class plays in economic diversification. Given that more than 23% of the upper middle class are located in rural India, it is surprising to note that their contribution in supporting experience economy remains under-researched. Thus, this chapter fills a key gap in existing studies on rural tourism in India by underlining how rural middle-class has triggered a huge demand for travel within the country itself for rural cultural programmes and different schemes to promote rural heritage sights.

Book part
Publication date: 23 December 2010

Diane E. Davis

The growth of the middle class has become a subject of growing fascination for scholars as of late, not just because the numbers are so astonishing but also because the patterns…

Abstract

The growth of the middle class has become a subject of growing fascination for scholars as of late, not just because the numbers are so astonishing but also because the patterns suggest a shift in both global demographics and the regional geographies of development. Recent estimates from the World Bank indicate that the world's middle class is expected “to grow from 430 million in 2000 to 1.15 billion in 2030”;1 and that the greatest growth will occur in the developing world. While in 2000, only 56% of the world's middle classes lived in the developing world, this figure is expected to reach 93% by the year 2030 – with China and India alone expected to account for two-thirds of all this expansion.2 What may be most striking about the middle classes are not merely their mind-boggling numbers, or their location in the developing world, or the fact that these particular class actors have been ignored for years in studies of late industrializers, or even the fact that the newfound interest in the middle classes comes on the heels of a controversy about the relevance of class in the contemporary era more generally (see Portes, 2000). Indeed, what may be most noteworthy is the set of adjectives that come attached to the study of middle classes, as well as the fact that these qualifiers are different than those employed in prior periods.

Details

Political Power and Social Theory
Type: Book
ISBN: 978-0-85724-326-3

Article
Publication date: 13 February 2017

Mariam Shahzadi, Muhammad Faraz Riaz, Sofia Anwar and Samia Nasreen

Strengthening the middle class has become a major policy goal in both developed and developing economies due to its social, economic, cultural and political importance. Keeping in…

Abstract

Purpose

Strengthening the middle class has become a major policy goal in both developed and developing economies due to its social, economic, cultural and political importance. Keeping in view the importance of middle class, the purpose of this paper is to measure the size of the middle class in the province of Punjab (the biggest province of Pakistan by population).

Design/methodology/approach

The study calculates a weighted composite index to measure the size of the middle class in the province of Punjab using the microcosmic data set, and the Pakistan Social and Living Standards Measurement 2010-2011 survey data set. The index is composed of five major socioeconomic dimensions, that is, income, occupation, education, lifestyle and housing. The above-mentioned dimensions are weighted through “principal component analysis”.

Findings

The results show that 46 percent of the population of Punjab falls in the middle class. Furthermore, the findings explain that middle class is generally an urban phenomenon in Punjab with relatively high level of education and non-manual occupations.

Originality/value

Only a limited research is available for measuring the middle class in Pakistan. The current research is an attempt to fill this gap by providing some important insight to the research in this area.

Details

International Journal of Social Economics, vol. 44 no. 2
Type: Research Article
ISSN: 0306-8293

Keywords

Article
Publication date: 16 August 2013

Amit Mookerjee

The article aims to examine the rural‐urban divide used as a premise for idiomatic understanding of Indian rural consumers, and review current practices. This may be self…

830

Abstract

Purpose

The article aims to examine the rural‐urban divide used as a premise for idiomatic understanding of Indian rural consumers, and review current practices. This may be self limiting, and may trap marketers in an idiom that is not in touch with current realities in the rapidly evolving rural market. The paper highlights the rapid changes, emerging segments, the factors affecting change, and the need to revisit the rural idiom, with a more nuanced, stratified, granular look at the differences among rural consumer segments.

Design/methodology/approach

It looks at existing literature and recent consumer survey reports, and notes the existing practitioner mindset, and current practices reported in literature industry forums and popular press.

Findings

Recent surveys help posit the rise of the rural middle class, highlighting four sets of factors causing changes in the rural households' consumption patterns. It concludes that the most critical need is to understand values, needs, aspirations, social norms and realities, nature and pace of change to develop effective competitive strategies to address rural consumers, especially its middle class.

Research limitations/implications

It is limited in its opinions due to the dependence on reports of prior surveys and existing literature.

Practical implications

It identifies areas for future research to capture this change, and proposes the variables that must be kept in mind for generating adequate consumer insights. This is proposed through an initial re‐stratification and psychographic mapping of consumers for better rural marketing initiatives.

Social implications

Marketers have embarked on methods twining social uplift through economic empowerment, with programs building on distribution reach and efficiency helping them expand their own business. Better insights into rural diversity should help expand the programs and create more impact.

Originality/value

It has brought together diverse perspectives from practice and literature, and focussed attention on specific drivers of change, and how they will create greater diversity going forward. This will help focus on new segments, and proposes a newer paradigm for researching rural consumers.

Details

Journal of Indian Business Research, vol. 5 no. 3
Type: Research Article
ISSN: 1755-4195

Keywords

Article
Publication date: 5 July 2013

Peter Somerville

The purpose of this paper is to analyse and reflect on the changing relations of class and power in rural England, with a particular focus on housing.

Abstract

Purpose

The purpose of this paper is to analyse and reflect on the changing relations of class and power in rural England, with a particular focus on housing.

Design/methodology/approach

The paper reviews the evidence concerning the changing ownership of housing and land in English rural areas, and the problems relating to this.

Findings

The paper finds that, in spite of huge social changes over the course of the 20th century, relations of class and power in rural England have retained the same basic form, based on landownership. The countryside continues to be dominated by landowners, who now include large numbers of nouveaux riches, while the landless (and carless) find it increasingly difficult to access housing, employment and basic services and amenities in rural areas. Landowner dominance is maintained not only by the rule of private property and property markets, but also by a state planning system that is heavily biased towards landowning classes and against the poor.

Research limitations/implications

The paper recognises that the situation varies from one rural area to another, so that solutions to the rural housing problem need, so far as possible, to be locally negotiated. However, for reasons of space, the paper does not go into detail on this issue, apart from a few references to the situation in Lincolnshire.

Originality/value

The paper is original in the way it shows how “old” and “new” gentry, in spite of their differences in terms of “productivism” and “post‐productivism”, have shared class interests and values based on landownership rights. It is also the first to argue that rural gentrification is a form of revanchism – a thesis that has previously been applied only to urban areas. Data that have been previously argued to show the superiority of rural areas, e.g. fewer homeless, higher incomes, etc. can now be explained as effects of revanchism.

Details

International Journal of Law in the Built Environment, vol. 5 no. 2
Type: Research Article
ISSN: 1756-1450

Keywords

Article
Publication date: 21 July 2022

Fouzia Daoudim and Fatima Bakass

This paper aims to propose a dynamic multidimensional approach to identify the middle class and then to reliably study the structural changes that have marked it in terms of…

Abstract

Purpose

This paper aims to propose a dynamic multidimensional approach to identify the middle class and then to reliably study the structural changes that have marked it in terms of demographic and socioeconomic characteristics and aspirations.

Design/methodology/approach

This study uses Moroccan data from the 2007 and 2014 household expenditure surveys. The method consists in applying a factor analysis of mixed data on a set of variables inspired by Bourdieu’s concepts of social space and forms of capital, then performing a hierarchical ascending classification consolidated by the k-means clustering, along with adopting the same indicators and weighting for both years studied to ensure reliable comparison.

Findings

The classification results identified three social classes whose changing size reveals a decline of the lower class and an expansion of the upper and middle classes. Some characteristics of the middle class are becoming close to those of the upper class, like fertility behavior, while a significant gap remains between the two classes in other characteristics, like education. Moreover, middle-class perceptions reflect their downgrading, confirming that the so-called decline of the middle class is more related to feelings than to objective realities.

Originality/value

Middle class studies are generally based on a single criterion (income or consumption) with somewhat arbitrary boundaries that are often ill-suited to developing countries. This paper proposes a new dynamic multidimensional approach to overcome these problems while adopting a new technique for reliable intertemporal comparisons.

Details

International Journal of Development Issues, vol. 21 no. 3
Type: Research Article
ISSN: 1446-8956

Keywords

Article
Publication date: 28 February 2019

Wei-Fen Chen, Xue Wang, Haiyan Gao and Ying-Yi Hong

The purpose of this paper is to explore some specific, current social phenomena in China that may influence consumers’ ethical beliefs and practices, focusing on how some…

Abstract

Purpose

The purpose of this paper is to explore some specific, current social phenomena in China that may influence consumers’ ethical beliefs and practices, focusing on how some top-down, social and political changes could shape consumer behavior that needs to be understood in the Chinese context.

Design/methodology/approach

Extensive literature was critically reviewed to explore recent macro-societal reforms in China and their impact on consumers’ (un)ethical practices.

Findings

The authors lay out how China, a government-led society, underwent a series of political reforms resulting in demographic shifts that differentiate it from its western, industrialized counterparts. The authors connect these societal changes with Chinese characteristics to consumers’ ethical evaluations, forming a new angle to understand consumer ethics in China. The authors also draw on two empirical examples to illustrate the argument.

Originality/value

While consumer ethics are often explained by either cultural factors or individual variations, the authors discuss how one’s ethical practice is shaped by one’s social position, which is a product of national-level public policy. The discussions have ramifications for the study of consumers’ social class and ethical practices because they take into account the elusive social positions and ambiguous social class consciousness of the Chinese population that have resulted from social mobility. The discussions may give practitioners a better understanding of the ethical rationale behind consumers’ changing lifestyles especially in the Chinese context.

Details

Asia Pacific Journal of Marketing and Logistics, vol. 31 no. 3
Type: Research Article
ISSN: 1355-5855

Keywords

Book part
Publication date: 23 December 2010

Raka Ray

Questions about the role and composition of the middle class have been examined and debated in the academy and in the political sphere for more than 100 years. In analyses of the…

Abstract

Questions about the role and composition of the middle class have been examined and debated in the academy and in the political sphere for more than 100 years. In analyses of the Indian middle class specifically, two questions, both addressed by Diane Davis, seem to excite the most attention. The first has to do with the definition of a middle class, a term that has its origins in a very different social formation as well as its potentially mediating function in democracy. The second and more recent question has to do with what is variously called the “new” or “emerging” middle classes – in short, the middle classes of a liberalizing India.

Details

Political Power and Social Theory
Type: Book
ISBN: 978-0-85724-326-3

Expert briefing
Publication date: 22 March 2017

Household consumption in China.

Details

DOI: 10.1108/OXAN-DB219779

ISSN: 2633-304X

Keywords

Geographic
Topical
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