“Fewer, Poorer, Gloomier”
prospect.org — Another day, another survey charting the decline of the American middle class. Yesterday, the Pew Research Center weighed in with “The Lost Decade of the Middle Class,” to which they appended the kicker, “Fewer, Poorer, Gloomier.” The median net worth of the middle-tier households declined from $152,950 in 2007 to $93,150 in 2010, reflecting the sharp loss in home value. Taking the longer view, people in the middle tier made 62 percent of all the household income in the United States in 1970, but just 45 percent in 2010. Middle tiersters didn’t lose to the lower tier, whose share of the national income also declined, from 10 percent to 9 percent. They lost it to the upper tier (who else?), whose share of national income rose from 29 percent to 46 percent. It’s not so much the bottom but the middle that’s fallen out of the economy.