Michael is a member of the working class. He tells his son thaor every working class person who moves up to the middle class, there is a person that moves down to a lower class. Michael is teaching his son about:

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Michael is describing Exchange Mobility, which is the concept that societal positions are exchanged among individuals without altering the overall distribution of positions within the society. This means that if someone moves up in class, someone else must move down, keeping the overall class structure stable.

Michael Is a Member of the Working Class