The question of whether Asians are middle class is one that has been asked for decades but is still relevant today. While the answer to this question can vary from person to person, it can generally be said that the majority of Asians fall within the middle class spectrum, but there is a lot more to the answer than that.
In this article, we will take a look at the definition of the middle class, the socio-economic factors that play a role in determining who is considered middle class, and ways to improve the wealth gap that exists in the Asian communities.
What is the Middle Class?
The middle class is defined as a socio-economic group that falls in between the upper and lower classes and is typically home to individuals and families with higher incomes than those of the lower class, but lower incomes than those of the upper class. Generally, middle class people have a higher education than lower class people and tend to have higher paying jobs.
While the definition of the middle class can vary from country to country and is typically measured with regard to income, there are some other factors that can influence the definition. For example, in the United States, factors like cost of living and location can play a role in determining the definition of the middle class. In other countries, factors like educational attainment, job type, and rural or urban living may also be considered in defining the middle class.
In the United States, the 2020 median household income was estimated to be $63,179 and the median household income for Asian households was estimated to be around $82,937, according to the Pew Research Center. Additionally, a 2019 Gallup survey found that Asian- American households had the highest median income when compared to other racial and ethnic groups. These two factors suggest that most Asian families in the United States would likely be considered middle class due to their higher-than-average median incomes.
Socio-Economic Factors
Aside from income, there are other socio-economic factors that play a role in determining who is considered to be a part of the middle class. For example, access toeducation is often a factor.
In the United States, Asian Americans are the most likely to have attained a college degree when compared to other races, with the majority of Asian Americans having a bachelor’s degree or higher. Additionally, the type of work in which a person is employed alone can have an influence on whether they are middle class. A 2020 study conducted by the Pew Research Center found that Asian Americans had the highest median annual earnings among race and ethnicity groups.
This suggests that those with high-paying jobs like computer scientists, physicians, engineers and attorneys may classify as middle class even if their income is just below the national or state median. Access to health care is another important factor.
According to the Kaiser Family Foundation, Asian Americans and Pacific Islanders are more likely to have health insurance than the average U. S. population.
This higher rate of access likely makes it easier for the group to stay within the middle class bracket.
Closing the Wealth Gap
Despite falling within the middle class, many Asian Americans are still struggling financially. A 2020 survey conducted by the Asian Pacific Islander American Scholars indicates that 66% of those surveyed struggle with economic hardship due to the COVID-19 pandemic. This is due, in large part, to a significant wealth gap between Asian households and other racial and ethnic groups.
In an effort to close the wealth gap, there are a few things that can be done at both the individual and societal level. On the individual level, individuals should look into ways to increase their income, such as engaging in investments or taking on additional work.
Additionally, individuals should look for ways to reduce their expenses, such as living in a more affordable area or cutting back on unnecessary spending. At the societal level, there are a few initiatives that can be taken in order to close the wealth gap.
For example, initiatives such as tax incentives for small businesses, job training programs and access to capital for lower-income households can all play a role in helping to close the wealth gap over time. Additionally, programs aimed at providing financial education to underserved households can also be helpful. Finally, in order to really close the wealth gap, there needs to be greater economic collaboration between communities of different racial, economic and social backgrounds.
This can be done through initiatives such as mentorship programs that pair individuals of various backgrounds with mentors who have had success in the same industry, jointly advocating for economic fairness, or advocating for economic reforms that create an equal playing field.
Conclusion
In conclusion, the answer to the question of whether Asians are middle class is not a simple yes or no. The definition of the middle class and which individuals qualify as part of it differs from country to country and can be influenced by a number of socio-economic factors.
With that being said, Asians tend to fall within the middle class spectrum, but that does not mean that everyone within the group is in the same financial situation. Closing the wealth gap between the middle class and other racial and ethnic groups can be a daunting task, but with the right initiatives and collaboration, it can be achieved.