A middleman minority is a minority population whose main occupations link producers and consumers: traders, money-lenders, service providers, etc. This often results in the minority having a disproportionately large role in trade, finance or commerce, without holding the significant political power associated with a dominant minority.
A middleman minority does not hold an "extreme subordinate" status in society, [1] but may suffer discrimination and bullying for being perceived as outsiders to both elite and majority populations. [2] Middleman minorities are more likely to emerge in stratified or colonial societies, where significant power gaps may exist between dominant elites and subordinate consumers, thereby fulfilling a niche within the economic status gap. [1]
Middleman minorities often are associated with stereotypes of greed or clannishness. [3] During periods of economic or political instability, middleman minorities often arouse the hostility of their host society or are used as scapegoats, which has been theorized by Bonacich to perpetuate a reluctance to assimilate completely. [4] Economic nationalism or exclusion from gainful employment can further reinforce tendencies to start businesses or create new economic value outside of existing value chains. [5] [6]
The "middleman minority" concept was developed by sociologists Hubert Blalock and Edna Bonacich in the 1960s and by following political scientists and economists. [7]