Urban society in the late 1980s included virtually all members of the elite. Centered mainly in the capital, this class was composed of old families of Spanish descent and a few, newer families of immigrants. All elite families were wealthy, but the assets of the immigrant families were more tightly linked with commerce and Panama's twentieth-century development as a transit zone. Older families were inclined to think of themselves an aristocracy based on birth and breeding. Newer families, lacking such illustrious antecedents, had less prestige and social status. Until the advent of Torrijos, whose power base was the National Guard, an oligarchy of older elite families virtually controlled the country's politics under the auspices of the Liberal Party (see Organizing the New Republic and the Oligarchy Under Fire , ch. 1).

The upper class was a small, close-knit group that had developed strong ties of association and kinship over the years. Prominent family names recurred frequently in the news of the nation: Arias, Arosemena, Alemán, Chiari, Goytía, and de la Guardia. People without a claim to such a family background could gain acceptance, at least for their children, by marriage into an elite family.

Since colonial times, education had been recognized as a mark of status hence, almost all men of elite status received a university education. Most attended private schools either at home or abroad, and many studied a profession, with law and medicine the most favored. The practice of a profession was viewed not as a means of livelihood, but as a status symbol and an adjunct to a political career. The elite maintained a dual cultural allegiance, because families usually sent their sons to Western Europe or the United States to complete their education. Increasing numbers of women also attended college, but most families did not see such education as essential.

Politics was the quintessential career for a young man of elite background. The old, aristocratic families had long provided the republic's presidents, its cabinet ministers, and many members of the legislatures. Young women were increasingly finding employment in public administration and commerce in the 1980s.

Older elite families were closely interrelated and were careful to avoid racially mixed unions. Antillean blacks enjoyed little success in attaining elite status, although a wealthy, Spanishspeaking , Roman Catholic black could gain acceptance. There was an increasing degree of admixture with mestizo and more recent immigrant elements. Many such families entered the elite and intermarried with members of the older families. In a sense, commercial success had in large measure become a substitute for an illustrious family background. "Money whitens everyone" was a popular saying describing the phenomenon.

Data as of December 1987