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The designation middle class common in the German linguistic area (in former times more than 2005) covers the free occupations and small and middle entrepreneurs (KMU) or Small and medium sized Enterprises (SME). See historical also middle class.

Politics

Conventionally a Stabilierung of a state and a society is attributed to a strong middle class. That is sociologically unfundiert, since he can resist the large-scale enterprises and the "“political class"” efficiently and a realistic ascending chance can offer and entradikalisieren thus their disfavor to the social layers present under it against "“those up there"”.

Economical classification

This suggested economicalally a further partitioning into small and middle enterprises. Some authors oppose the Kleinstunternehmen to the small enterprises, e.g. the owners of kiosk or family AGs under the small firms. The designation middle class therefore covers the subsets of the small and of the Kleinstunternehmen as well as a quantity of enterprises, which can be determined more near, which do not belong to these subsets. From quantitative view the middle class term refers to enterprises made of trade, handicraft, industry, production and services as well as free occupations, which do not exceed a certain size. Auxiliary way for the size regulation the criteria annual turnover, number of the jobs, balance sheet total and participation height are consulted with connected enterprises and this quite contradictory.

There the industries economical peculiarities regarding Kapitaleinsatz, number of the jobs and conversion exhibit, are to be asked whether qualitative criteria the middle class term help to define. Unit of property, line, adhesion and risk, thus unit of economic existence and guidance as well as the responsible person co-operation of the management at all enterprise-politically relevant decisions (company independence) are not only called here of Institut for middle class research (IfM). Expression for it is the minority clause for participation in the context of the European Union definition. In the international comparison the Small Business or the medium sized enterprise is by the way defined on the basis an upper limit, which varies depending upon state between 100 and 500 persons employed.

KMU definition of the European Union

The European commission has to 6. May 2003 a new recommendation European commission: Recommendation 2003/361/EG: KMU definition, [13.12.2005] assumed for the definition of the Kleinstunternehmen as well as the small and middle enterprises. This recommendation is used since 1 January 2005 in the European marketing area and addresses themselves to the member states, the European Investitionsbank and the European investment funds.

Middle enterprises coworkers to 249 and conversion to 50 million euro or balance sheet total to 43 million eurosmall enterprises to 49 persons employed, conversion to 10 million euro or balance sheet total to 10 millions EuroKleinstunternehmen to 9 coworkers, conversion or balance sheet total to 2 millions euro (both financial threshold values were not here so far defined)

Solidarity criterion: To all KMU it applies besides that they do not stand for one or more enterprises together, which do not fulfill the definition of the KMU to 25% or more of the capital or the being correct portions in the possession of.

KMU definition of the European Union since 1 January 2005
TypePerson employedConversion (million "€)Balance sheet total (million "€)
Middle enterprises< 250and= 50or= 43
Small enterprises< 50and= 10or= 10
Kleinstunternehmen< 10and= 2or= 2

Meaning of the middle class

The middle class in the Federal Republic of Germany covers about 99.7 % of all value added tax-requiring enterprises, in which scarcely 76.3 % of all persons employed liable to social security 41.2 % of all conversions are trained to gain and 68.5 % of all training. Institut for middle class research (ifm) of the University of Mannheim: Meaning of the middle class in Germany, [13.12.2005] these numbers alone however already point on a large economic entwinement with the large enterprises and on a dependence of the middle class on the large-scale enterprises.

Financing of the middle class

The financing of the middle class covers an average own capital funds portion of 18% of the balance sheet total, whereby 80 % of the outside capital are financed by credits.

Honour of the middle class

Since March 1995 the German middle class is distinguished with the "“large price of the middle class"”. The "“large price of the middle class"” is one of the Erfurter artist Karsten Ith W. Kunert arranged bronze sculpture, which is lent each year to successful enterprises by the Oskar Patzelt donation.

See also

  • Levelled middle class company, conditions, central layer, social structure

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