I'd call you a Marxist, but I forgot the number
Posted on 04/09/2008 5:03:37 PM PDT by AndyJackson
Study: Middle-Class Americans Increasingly Downbeat About Their Short-Term Economic Progress
WASHINGTON (AP) -- More and more middle-class Americans say they aren't better off than they were five years ago, reflecting economic pressures amid growing personal debt, a study released Wednesday found.
Their short-term assessment of personal progress, according to the study, is the worst it's been in nearly half a century.
The survey by the Pew Research Center, a Washington-based organization, paints a mixed picture for the 53 percent of adults in the country who define themselves as "middle class," with household incomes ranging from below $40,000 to more than $100,000.
It found that a majority of all Americans said they haven't progressed in the last five years. One in four, or 25 percent, said their economic situation had not improved, while 31 percent said they had fallen backward. Those numbers together are the highest since the survey question was first asked in 1964. Among the middle class, 54 percent said they had made no progress (26 percent) or fallen back (28 percent).
Asked about their financial experiences in the past year, 53 percent of middle-class people said they had to cut spending because money was tight. Nearly one in five, or 18 percent, said they had trouble getting or paying for medical care, while 10 percent reported they had been laid off or otherwise lost their jobs.
Looking ahead to the coming year, half of the middle class surveyed said they expected to have to cut more spending. Among those employed, one in four, or 25 percent, expressed worries that they would be laid off, that their job would be outsourced or that their employer would relocate in the coming year, while 26 percent were concerned that they would see cuts in salary or health benefits.
Middle-class prosperity overall also lagged compared with richer Americans. From 1983 to 2004, the median net worth of upper-income families -- defined as households with annual incomes above 150 percent of the median -- grew by 123 percent, while the median net worth of middle-income families rose by just 29 percent.
At the same time, most middle-class people remained upbeat when asked to measure their progress over a longer timeframe, although their level of optimism lagged behind their richer counterparts. Two-thirds, or 67 percent, of middle-class Americans say their standard of living is better than the one their parents enjoyed at the age they are now.
In contrast, 80 percent of richer people said they exceeded their parents' standard of living. Among the lower class, only 49 percent reported better conditions.
"It's been a lousy run for the American economy and people feel it," said Paul Taylor, director of Pew's Social & Demographic Trends project and lead author of the study. He noted that people's pessimism largely tracks annual median household income, which has seen little gain in recent years. Middle-class people also may be disproportionately feeling the pinch because they tend to borrow more heavily against their homes to support their lifestyles, Taylor said.
"Still, over a span of a generation, it's been a pretty good run, even as there are some recent pressures that I think people are feeling," he said.
The Pew poll involved telephone interviews with 2,413 adults, conducted from Jan. 24 to Feb. 19. The margin of sampling error was 2.5 percentage points.
Among the other findings:
--Nearly eight in 10 of all people, or 79 percent, said they believe it has become more difficult compared with five years ago for the middle class to maintain their standard of living, up from 65 percent in 1986.
--Among the middle class, no consensus existed on who was to blame for their economic problems. Twenty-six percent blamed the government, 15 percent faulted the price of oil and 11 percent said the people themselves were responsible. Others faulted foreign competition and private corporations for economic woes.
--Politically, 58 percent of middle-class Americans said they believed the GOP favors the rich, while nearly two-thirds say the Democratic Party favors the middle class (39 percent) or the poor (26 percent).
--Some demographic groups have improved their income status between 1970 and 2006, while others saw declines. Among the winners were seniors ages 65 and older, blacks, native-born Hispanics and married adults. Losers included young adults (ages 18 to 29), the unmarried, foreign-born Hispanics and people with a high-school education or less.
Pew Research Center: http://pewsocialtrends.org/
bed wetting marxist
oh and both me and my wife are making more money and in lots better shape money wise than 5 years ago
That there just raised the stakes! LOL!
The media is weighing heavily on the public. Cheer up though, the economy will be perfect on January 20th, 2009 should Hillary or Obama get elected in November.
It’s the media.
The media is the reason that I am paying 10 - 30 percent more for food and gas over the past 24 months.
I understand where you are coming from, but you mark my word. On January 20th, 2008, all will be roses and buttercups.
It is true that when Bush came to office that gas prices were about 40% of what they are today. Still, if you think the media will acknowledge the negative aspects of the economy on society after January if a Democrat is elected, you’re kidding yourself IMO.
Is the problem the media? I think it is. It cannot be counted on to address problems accurately no matter who holds office. Did it create the problem? Not really, but it will short circuit a good fix if it has a vested interest to do otherwise. And it just may have that alternate vested interest in 2009.
Perfect!!
Is that your version of ‘Life sucks and then you die?’ LOL
Well, I do agree with your comments.
Not sure how this chart will post, link here: http://corner.nationalreview.com/post/?q=MDY5MzFmNTllNjlkM2U0YmQ3ODlhOGJkNDQ4M2U4ZjM=
That Awful Economy [David Freddoso]
A Hill staffer sends this along:
It’s the Politics, Stupid:
Comparing Labor Market Data in 1996 and 2008
Democrats on the Economy in 1996:
“Our economy is the healthiest it has been in three decades.” (President Bill Clinton, State of the Union Address, January 23, 1996)
Democrats on the Economy in 2008:
“The bottom line is that this administration is the owner of the worst jobs record since Herbert Hoover.” (Senator Charles Schumer, Press Release, March 7, 2008)
Key Labor Market Statistics in March 1996, March 2008
1. U.S. Unemployment Rate 5.5% , 5.1%
2. Number of Long-Term Unemployed 1.33 million, 1.28 million
3. Average Weeks Unemployed 17.3 weeks, 16.2 weeks
4. Median Weeks Unemployed 8.3 weeks, 8.1 weeks
5. Not in Labor Force because discouraged over job prospects 451,000 - 401,000
6. Democrats calling for Extended Unemployment Benefits? No Yes
7. President’s Party Affiliation Democrat Republican
I thought that most people considered themselves middle class. Self reporting for middle class is a lot more than 53%. That makes me suspicious of this study from the get-go.
I can’t stand the Fed and certainly “Thin Air” Ben Bernanke, and BushCo is to Reagan conservatism as New Coke was to Coke, but I’m sick of hearing Bush getting blamed for the economy. The designed destruction of the currency perhaps, which again falls more on Ben’s head. Hell, my company is about to invest $60 million dollars in an outdated paper mill. My view is, the economy is good for those of us with the ability to take advantage of it and it’s a mini-depression for those of us who depend on government or just aren’t able to navigate finances.
And everything that is wrong with it during their adm (shudder) will be the fault of Pres. Bush.
Gas prices are up 21% over last year. The economy was humming at the same time. Guess what? The Dems took over congress 15 months ago.
I don't read this article as attacking Bush.
Right on. I’ve brought up that point several times, it usually stops them cold. I counter with the point that as soon as Repubs are the majority, suddenly there are homeless in the streets, no one can pay their bills, etc., etc., THEREFORE, the same standards are in play when Dems are in the majority.
They are responsible that our fuel prices have gone south followed by food costs and all related expenses and what really gets them is: why is my son still in Iraq? You guys said you were bringing them home so we want him home NOW. This is playing the devil’s advocate you understand, he believes in staying until the mission is accomplished—and so do we.
Duh! A self-inflicted "pinch."
Good for you. I just got notifed that I will be out of work in a month. My sis and husband are selling out the hardware store, and my son and I will be out of work in a month. It was either sell out, or keep losing money. Wonder when it will hit the rest of the country.
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