Two numbers that show how badly America’s middle class is hurting

[dmcowen674]

8-25-2014

http://www.vox.com/2014/8/25/606383...w-how-badly-america-s-middle-class-is-hurting

Two numbers that show how badly America’s middle class is hurting



Two recent reports show that almost seven years after the economy tumbled into recession, the middle class is a long way from recovery.


At The Upshot, Neil Irwin summarizes new data from Sentier Research, which shows that in June, "the median household income was $53,891, down from $55,589 in inflation-adjusted dollars when the economic expansion began in June 2009." So the middle class is poorer today than they were five years ago.




Scarier yet: that puts median household incomes today below where they were in 2000. "The middle-income American family is worse off, in other words, than it was 14 years ago," writes Irwin.

The numbers are, if anything, grimmer when you turn from income to wealth. A new US Census Bureau report shows that the median household's net worth fell from $106,591 in 2005 to $68,839 in 2011. That's a stunning drop.

 

[dmcowen674]

The numbers are shocking.

Of course most of those that frequent in here are not affected as they are uber rich.

 

[BoberFett]

Of course most of those that frequent in here are not affected as they are uber rich.

Do you ever say anything that doesn't make you look like a complete moron?

 

[Sattern]

Most of the income values from 2000 were because of the speculation and instability of the marketplace.

It is starting to pick up and you should see people having more money in the coming years.

Recessions/Depressions take awhile to fully recover and the people are much better off than before because they have security measures in place so they don't cross the verge of bankruptcy anymore.

 

[spacejamz]

Two recent reports show that almost seven years after the economy tumbled into recession, the middle class is a long way from recovery.

Still all Bush's fault though.....

 

[z1ggy]

Do you ever say anything that doesn't make you look like a complete moron?

No, seems like he just can't....

My house is worth about 10k more this year than in previous years. I also am lucky enough to be getting unlimited OT right now @ 1.5x time. I'm also getting a roommate, which will cut the majority of my costs in half. As long as he doesn't move on and I don't lose the OT, I will be doing just fine.

 

[Phynaz]

So Dave, you agree then that Obama's economic strategy is a failure

 

[dmcowen674]

Originally Posted by dmcowen674
Of course most of those that frequent in here are not affected as they are uber rich

Do you ever say anything that doesn't make you look like a complete moron?

Are you affected?

 

[dmcowen674]

So Dave, you agree then that Obama's economic strategy is a failure

It's not a failure for the rich elite especially those in here.

It is of course a failure for those affected by the Bush pro business rules relaxations and tax cuts and that would be me and the rest of the working poor in America that used to be the middle class.

 

[BoberFett]

Originally Posted by dmcowen674
Of course most of those that frequent in here are not affected as they are uber rich



Are you affected?

I'm making as much money as I ever have. That still doesn't mean you have anything intelligent to say. Stop posting. Go make something of yourself.

 

[First]

Do you ever say anything that doesn't make you look like a complete moron?

A rhetorical question that everyone already knows the answer to. No. Dave's barely sentient enough to look both ways before crossing the street.

 

[First]

Btw, housing prices were off the chart and clearly in a bubble by 2005 so of course nationally we're worse off now than we were in net wealth in 2005. The mid-00's will probably go down as the most overly exuberant period of housing prices in anyone's lifetime. Let's get back to 2005 net wealth levels in a more sustainable, intelligent way.

 

[Slew Foot]

Btw, housing prices were off the chart and clearly in a bubble by 2005 so of course nationally we're worse off now than we were in net wealth in 2005. The mid-00's will probably go down as the most overly exuberant period of housing prices in anyone's lifetime. Let's get back to 2005 net wealth levels in a more sustainable, intelligent way.

Except here in Silicon Valley, most houses are at or past where they were in 2005.

 

[Attic]

Housing is a big part of the net worth statistic. The crash hurt, build back of value varies quite a bit by region.

But yes, clearly the middle class in general is struggling to an impressive/note worthy/concerning degree during this recovery (but as if not more importantly, they have been since before the recovery).

Obama has quite a bit on his plate right now and the congress act like a bunch of teenage girls.


So,... more graphs or pie charts?, i'm particularly fond of cartoons depicting the situation.

 

[Phynaz]

It's not a failure for the rich elite especially those in here.

It is of course a failure for those affected by the Bush pro business rules relaxations and tax cuts and that would be me and the rest of the working poor in America that used to be the middle class.

If you are the "working poor" here's some advice from somebody you think is rich: Get off your ass an improve your life. 53,000 posts of time wasted on the internet instead of doing something about your situation. Whine some more Dave while you suck on the Govt. teat.

 

[Spungo]

The Economic Collapse Blog is an interest collection of sad numbers. I sometimes listen to My Chemical Romance while I read these articles:
30 signs the middle class is dying

The following are 30 stats to show to anyone that does not believe the middle class is being destroyed...

1. In 2007, the average household in the top 5 percent had 16.5 times as much wealth as the average household overall. But now the average household in the top 5 percent has 24 times as much wealth as the average household overall.

2. According to a study recently discussed in the New York Times, the "typical American household" is now worth 36 percent less than it was worth a decade ago.

3. One out of every seven Americans rely on food banks at this point.

4. One out of every four military families needs help putting enough food on the table.

5. 79 percent of the people that use food banks purchase "inexpensive, unhealthy food just to have enough to feed their families".

6. One out of every three adults in the United States has an unpaid debt that is "in collections".

7. Only 48 percent of all Americans can immediately come up with $400 in emergency cash without borrowing it or selling something.

8. The price of food continues to rise much faster than the paychecks of most middle class families. For example, the average price of ground beef has just hit a brand new all-time record high of $3.884 a pound.

9. According to one recent study, 40 percent of all households in the United States are experiencing financial stress right now.

10. The overall homeownership rate has fallen to the lowest level since 1995.

11. The homeownership rate for Americans under the age of 35 is at an all-time low.

12. According to one recent survey, 52 percent of all Americans cannot even afford the house that they are living in right now.

13. The average age of vehicles on America’s roads has hit an all-time high of 11.4 years.

14. Last year, one out of every four auto loans in the United States was made to someone with subprime credit.

15. Amazingly, one out of every six men in their prime working years (25 to 54) do not have a job at this point.

16. One recent study found that 47 percent of unemployed Americans have “completely given up” looking for a job.

17. 36 percent of Americans do not have a single penny saved for retirement.

18. According to one survey, 76 percent of all Americans are living paycheck to paycheck.

19. More than half of all working Americans make less than $30,000 a year in wages.

20. Only four of the twenty fastest growing occupations in America require a Bachelor’s degree or better.

21. In America today, one out of every ten jobs is filled by a temp agency.

22. Due to a lack of decent jobs, half of all college graduates are still relying on their parents financially when they are two years out of school.

23. Median household income in the United States is about 7 percent lower than it was in the year 2000 after adjusting for inflation.

24. Approximately one out of every four part-time workers in America is living below the poverty line.

25. It is hard to believe, but more than one out of every five children in the United States is living in poverty in 2014.

26. According to one study, there are 49 million Americans that are dealing with food insecurity.

27. Ten years ago, the number of women in the U.S. that had jobs outnumbered the number of women in the U.S. on food stamps by more than a 2 to 1 margin. But now the number of women in the U.S. on food stamps actually exceeds the number of women that have jobs.

28. If the middle class was actually thriving, we wouldn’t have more than a million public school children that are homeless.

29. If you can believe it, Americans received more than 2 trillion dollars in benefits from the federal government last year alone.

30. In terms of median wealth per adult, the United States is now in just 19th place in the world.

 

[FaaR]

So the middle class is poorer today than they were five years ago.

Don't fret, tho, because the "job creators" are richer than ever before, so you know the US and its economy is in good hands!

 

[dmcowen674]

Originally Posted by dmcowen674
Originally Posted by dmcowen674
Of course most of those that frequent in here are not affected as they are uber rich

Are you affected?

I'm making as much money as I ever have.

Well you have confirmed my statement.

It is you that should stop posting.

 

[glenn1]

Don't fret, tho, because the "job creators" are richer than ever before, so you know the US and its economy is in good hands!

The best "job creator" is the person who needs the job. The people whose skills create demonstrable economic value will always find work. It's amazing how many people looking for jobs think they're being "friendzoned" by potential employers when really they're just replacement level cogs with no particular reason for an employer to hire them.

 

[MongGrel]

Most of the income values from 2000 were because of the speculation and instability of the marketplace.

It is starting to pick up and you should see people having more money in the coming years.

No it's not.

Trickle down more BS.

 

[MongGrel]

The Economic Collapse Blog is an interest collection of sad numbers. I sometimes listen to My Chemical Romance while I read these articles:
30 signs the middle class is dying

That.

 

[MongGrel]

If you are the "working poor" here's some advice from somebody you think is rich: Get off your ass an improve your life. 53,000 posts of time wasted on the internet instead of doing something about your situation. Whine some more Dave while you suck on the Govt. teat.

Heh.

just not going there.

 

[Exterous]

The Economic Collapse Blog is an interest collection of sad numbers.

While true most of those are skewed to reinforce the desired impression. For example:

The average age of vehicles on America’s roads has hit an all-time high of 11.4 years.

This is true for owned vehicles. This ignores leased vehicles at a time when people are leasing more vehicles than ever before.

If you look at average length an American holds onto a vehicle its down from the peak of 71 months in 2009 to around 60 months. This is only 10 months longer than the historic low of 49 hit in 2004

36 percent of Americans do not have a single penny saved for retirement.

This is true only if Defined benefit plans are ignored which amounts to trillions of dollars not counted in this study

The overall homeownership rate has fallen to the lowest level since 1995.

So has the desire to own a home

The homeownership rate for Americans under the age of 35 is at an all-time low

Whats with all this homeownership measurements? Should we go back to the days of building a bubble? Those under 35 don't want houses nearly as much. They are proving to be more fiscally responsible than their parents and would rather make smarter decisions like saving for retirement.
http://time.com/money/2983272/millennials-with-jobs-are-super-saving-their-way-to-retirement/

The price of food continues to rise much faster than the paychecks of most middle class families. For example, the average price of ground beef has just hit a brand new all-time record high of $3.884 a pound.

Talk about cherry picking a statistic. Beef has risen so much because of the record droughts that have brought cattle herd sizes to their lowest in 60 years. Why not include boneless chicken which is down since 2007?

I'm not saying everything is perfect (I agree that wages need to increase) but the numbers are not as doom and gloom as many would have you believe.

 

[Texashiker]

So has the desire to own a home

Whats with all this homeownership measurements? Should we go back to the days of building a bubble? Those under 35 don't want houses nearly as much.

Explain to me how someone could not want a home?

That is unless those same people are living with mom and dad and do not want the responsibility of a house note.

There is no feeling in the world like having a paid for home. It creates a sense of freedom. Even if you can not afford food, power is cut off,,,,, whatever happens, you still have a place to call your own, and a place to sleep.

How can anyone not want the freedom and security of owning a home?

 

[BoberFett]

Explain to me how someone could not want a home?

That is unless those same people are living with mom and dad and do not want the responsibility of a house note.

There is no feeling in the world like having a paid for home. It creates a sense of freedom. Even if you can not afford food, power is cut off,,,,, whatever happens, you still have a place to call your own, and a place to sleep.

How can anyone not want the freedom and security of owning a home?

Being tied to property is freedom?

I've owned several homes. I'm renting a townhome now and it's fantastic.

And LOL at always having someplace to sleep. If you can't even afford to pay for electricity, then you sure as hell aren't going to be in the property for very long with the county banging on the door wondering where their property taxes are.

Oh, and of course it takes 30+ years of being tied to a mortgage for most people to own a home outright. Yeah, so much freedom.