The decline and fall of the American middle class

[marmar]

The decline and fall of the American middle class
The heart of our political malaise is that the middle class, so long a powerhouse of US prosperity, is being crushed as never before

Paul Harris
guardian.co.uk, Tuesday 13 September 2011


No one can accuse the candidates on stage at Monday's Republican debate of not discussing a broad range of topics. They talked about big issues like social security, the wars in Iraq and Afghanistan, energy independence, repealing healthcare reform and the need for job creation. And they talked about small issues for political point-scoring: like HPV vaccines for girls.

But missing from the debate – and, in fact, much current discussion of America's politics – is the single biggest issue facing the country: the destruction of the American middle class. For stories on how America is bifurcating into haves and have-nots, with precious little in between, you have to dive behind the headlines of the latest Washington political bun-fight and find the devil in the details.

Take a story that appeared in the Wall Street Journal Monday. The tale is nominally one about marketing strategy and it looks at how giant firm Procter & Gamble sells its household goods to its customers. But the picture that emerges is terrifying. P&G, it transpires, is cutting back on marketing to the disappearing middle classes, instead selling more and more to either high-income or low-income customers and abandoning the middle. Other big firms, like Heinz, are following suit. The piece reveals there is even a word for this strategy, helpfully coined by Citibank: the Consumer Hourglass Theory – because it denotes a society that bulges at the top and bottom and is squeezed in the middle.

The story contains some scary figures, such as the fact that the net worth of the middle fifth of American households has plunged by 26% in the last two years. Or that the income of the median American family, adjusted for inflation, is lower now than in 1998. ...............(more)

The complete piece is at: http://www.guardian.co.uk/commentisfree/cifamerica/2011/sep/13/american-middle-class-poverty

[AnneD]

1. Consumer Hour Glass Theory??????

We use to call that a third world country. Damn I hate political correctness.

[ThomWV]

2. Our middle class didn't decline and fall, it was pushed down and kicked over.

[OHdem10]

3. Lose the Middle Class an d we lose Democracy. This is serious.

This is about more than jobs. It is about our whole way of life.

[Bragi]

4. Quite so, but I think it's already over

The infrastructure for the police state is in place, the public information systems are corrupted, and elections are bought.

Meanwhile, the middle class has seen its savings stolen, its houses foreclosed, its pensions looted, jobs shipped overseas, support systems dismantled, etc., etc.

None of this is hidden from view. It just isn't talked about much.

[mdmc]

5. ..

[mdmc]

6. ..