The middle class is disappearing. Where did it go?

**frobn** · 11-23-2010, 04:32 AM

There are two Americas in terms of wealth and income: In terms of income, the top 10% earn about half the total income, and in wealth, the top 5% own roughly 70% of all financial wealth.

Wealth and Income Pyramid of the U.S. to illustrate this reality.Notice that the "middle class" is mostly a figment of nostalgia and/or political illusion. Only the top quintile (top 20%) are really doing well in terms of income, and only the top 5% are prospering in terms of assets and unearned income (non-wage income).

This goes a long way to explaining how "consumer spending" can be "recovering" even as the incomes of the bottom 80% stagnate or fall. The top 5% of Americans by income are responsible for 37% of all consumer spending-- about the same as the entire bottom 80% by income (39.5%).

**Elliot T. Munkman** · 11-24-2010, 11:21 PM

Well does anybody want to go below what you are now.What I think is that all middle class are trying to go up the ladder and reaching there with hard work..So obviously the middle class is disappearing...

**susan9240** · 12-02-2010, 12:17 PM

It's really depressing, I think. I just lived in Italy for a year, and middle/lower class seems to rule there. Most people that live in the cities are in little flats stacked on top of one another, and 80 year old ladies still walk to and from the grocery store and up 3 flights of steps. But everyone is happy. They break for 3 hours for lunch each day and go home and have these great times and great meals. I think it's astounding how far away the American culture is from just allowing ourselves to live within our means and be happy. Wanting more is not the key.

**misch.chief** · 01-17-2011, 06:40 AM

I believe that when people leave the middle class, upwardly mobile workings will populate the space they leave. Who defines class anyway? I'm a rat hole of an estate but hold a masters degree and have a good job.

**anthony.jenkins** · 01-21-2011, 01:01 PM

We became a consumer society. Everyone wants to buy everything nowadays. Most people are not satisfied anymore being in the middle class they are always trying to make more money and to step up in the ranks.