Determinants of Subjective Social Status in South Africa

Abstract

Recent studies suggest that South Africa has experienced increased income polarization and is dealing with a struggling middle class. However, with some studies reporting a strong middling tendency, there seems to be a large discrepancy between how people perceive their social position and their actual economic status. Surprisingly, even with the most unequal society label, South Africa has received little attention on the dynamics behind how people perceive their social status. This study uses an ordered probit regression to analyze the determinants of individuals’ subjective social status in South Africa. Results show that objective factors, education, and occupation status positively influence subjective social status. However, subjective social mobility and class imagery are as crucial, confirming the multidimensionality behind subjective social status. Given the high-income polarization and racial inequality in South Africa, the study also showed that factors driving subjective social status are heterogeneous for different race and income groups. The results confirm this and find that discrepant objective and subjective factors influence different populations’ and income groups’ subjective social status.