Measuring the Middle Class: A Look at Philippine Social Class
The “middle class” is a term often discussed but seldom precisely defined. Governments around the world, including the Philippines, are increasingly focused on strategies to both alleviate poverty and expand the middle class.
Decoding Social Class in the Philippines
Understanding social class in the Philippines requires more than just a casual definition. Accurate measurement is crucial for informed policymaking and understanding social trends. This article explores various methods used to define and quantify social class in the Philippines, shedding light on the complexities of this important topic.
The ABCDE System: Dwellings as a Proxy
The ABCDE system, primarily used in market research, categorizes households based on dwelling characteristics. Survey interviewers use guidelines to place homes into various classes:
- Class AB: Exclusive subdivisions with spacious, well-maintained homes.
- Class C: Homes in non-exclusive subdivisions, generally considering factors like size, materials, and garage presence.
- Class D: Smaller, often concrete homes needing major repairs, typically found in less affluent neighborhoods.
- Class E: Homes in slum areas characterized by temporary structures and limited resources.
According to a recent SWS survey, Classes A, B, and C collectively represented a mere 5.8% of the national sample, while Class D constituted a significant 87.4%. Class E accounted for 6.8%.
Income as a Defining Factor
At the Philippine Institute for Development Studies (PIDS), senior research fellow Jose Ramon G. Albert defines middle class by income.
He divides the population into three middle-income groups:
- Lower-middle class: Two to four times the official poverty line.
- Middle-middle class: Four to seven times the official poverty line.
- Upper-middle class: Seven to twelve times the official poverty line.
PIDS data indicates a fluctuating middle-class proportion, fluctuating between rises and falls, commonly settling around 40%
Self-Reported Social Class: A Subjective Lens
Internationally, the International Social Survey Program (ISSP) periodically asks respondents to self-identify their social class. In 2019, participants could choose from six categories: lower class, working class, lower middle class, middle class, upper middle class, and upper class.
Analyzing the Philippines’ data from the ISSP shows that 28% of Filipinos classified themselves as lower-middle class, 21% as middle class, and 3% as upper middle class. Across all participating countries, the average for middle classes combined was 60%.
Improving the Understanding of Social Class
While existing methodologies provide valuable insights, SWS suggests refining these approaches. A possible improvement could be adding a question about individuals’ income level before asking them to classify themselves as middle or upper class. This could provide a richer understanding of how people perceive their social standing.
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