Self‐perceived social stratification in low‐income transitional countries

Purpose Against a background of rising inequalities in transitional countries, the purpose of this study is to focus on the analysis of the self‐perceived social stratification in the low‐income countries of the South Caucasus. Design/methodology/approach Using data from the recent multi‐country comparative survey conducted in Armenia, Azerbaijan and Georgia, this study examines the factors explaining self‐perceived stratification in the region. Ordered logit regression model is fitted to assess the determinants of the stratification. Findings One of the most important findings of this paper is that the majority of the people in the examined region consider themselves as middle class, although a considerable share of the general population are actually at the lowest level of society. Self‐perceived social stratification in the countries of this region can largely be explained by a set of factors within the direct social policy domain. Practical implications Active promotion of job intensive economic growth, supporting small businesses, improving effectiveness of social protection policies, affordability of healthcare and education, and active integration of migrants and investment in public infrastructure should also be priorities. Social implications Addressing the identified policy priorities will permit counterbalancing stratification, supporting the middle class and reducing the poverty in the countries of the region. Originality/value To the best of the authors' knowledge, this is one of the first studies on the self‐perceived social stratification in the region of the low‐income countries of the South Caucasus.