What is Middle Class Anymore?
Is it the $40-50K avg income per household?
Is it the top 10% of American household incomes, i.e., $90K on up?
Does the avg wage per household include the top 1% making it approx.flat a complete exageration?
An excerpt from Pete Murphy’s “Five Short Blasts”, Chapter 1, The Economy’s Doing So Great, [bear in mind the book was written in 2007, before the horrifying collapses of household incomes in 2008-2009]:
“…Here, once again, we see that at least half of all American families, represented by the medium line, have faired poorly over the last three decades. Medium income was growing nicely until the mid-70s. From that point it declined sharply until 1992, at which time it began a slow rebound. Yet, as of 2004, it remained 1.5% below its peak in 1976. Why is this? You have to wonder. Did something happen at that time in the mid-70s, that caused the earning power of most Americans to grind to a halt?…” [I'd add too, household incomes started adding more wage earners per house about that time too, what good it did]
Pete also makes it clear in Chapter 1:
“…The rich are getting richer – much, much richer – while the poor are getting poorer and while the middle class melts away. Virtually all the growth in wages and salaries, household and family incomes is concentrated in the upper class elite of American society….”