Gap in incomes gets wider and wider

Should we in any way be concerned that middle income Americans are no longer America’s economic majority?  Concerned or not, it is reported that the middle income set is no longer the economic majority as there are now more low-income and high-income Americans than there are people earning middle incomes. According to a PEW Research Center report, there were 120.8 million adults living in middle-income households and 121.3 million in lower- and upper-income households combined in 2015. This marks the first time in the center’s four decades of tracking this data that the size of the two lower and upper groups have been greater than the middle group. The study defines middle incomes as adults earning two-thirds to double the national median, translating nowadays to a range from $42,000 to $126,000 a year in a 3-person household.  Meanwhile, the Pew folks report that since 1971, the percentage of adults living in the low income bracket (below $42,000) has increased from 25 percent to 29 percent, and the percentage of adults living in the highest income bracket (above $126,000) has increased from 14 percent to a stratospheric 21 percent.  The middle class has diminished to near 50 percent from 61 percent. These percentages can be viewed as good news, meaning that shrinking middle incomes have gone into the upper class ranks, and bad news that as many formerly in middle incomes have gone downhill to be among the low income Americans....

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