Middle class incomes fell in past decade, between 2000 and 2010, Incomes fell in 2010, Adjusted for inflation, Gas prices
From the Chicago Tribune September 21, 2011.
“Middle class incomes fell 7% between 2000 and 2010″
“It’s official. The first decade of the 21st century will go down in the history books as a step back for the American middle class.
Last week, the government made gloomy headlines when it released the latest census report showing the poverty rate rose to a 17-year high. A whopping 46.2 million people (or 15.1 percent of the U.S. population) live in poverty and 49.9 million live without health insurance.
But the data also gave the first glimpse of what happened to middle-class incomes in the first decade of the millennium. While the earnings of middle-income Americans have barely budged since the mid 1970s, the new data showed that from 2000 to 2010, they actually regressed.
For American households in the middle of the pay scale, income fell to $49,445 last year, when adjusted for inflation, a level not seen since 1996. And over the 10-year period, their income is down 7 percent.
“Economists talk about the lost decade in Japan. Well, with these 2010 data, we can confirm the lost decade for the American middle class,“ said Jared Bernstein, senior fellow at the Center on Budget and Policy Priorities.
Sure, it’s fair to say Americans at all levels of income, from rich to poor, were hit hard in the decade that started with the dot-com boom and bust, and ended with the Great Recession.
But according to the census data, those losses disproportionately hit the lowest 60 percent of Americans, while the richest 40 percent actually gained wealth, relative to the entire U.S. economy.”
“At the same time that Americans had less cash to spend, they were also being hit with rising prices for some crucial items. Even accounting for inflation, it still costs more to buy a home, fill your gas tank, go to the doctor and put food on the table than it did only 10 years ago.”
You all remember this political comeback:
“It’s the economy, stupid!”
Here is the relevant comment for today:
“It’s gas prices, stupid!”
From Citizen Wells September 15, 2011.
One of the biggest, if not biggest drains on the economy, one exacerbated by Obama and his cronies, is gasoline prices. This affects the cost of everything and is killing our economy. The left are so concerned about theoretical environmental damage and emulating Europeans that they disregard the plight of average Americans. Below is a chart showing the rise in fuel prices during the Obama reign.
I am all for alternative energy initiatives that make sense and are not in place to enrich Obama supporters. In fact, I have done so myself with my own limited funds. However, gasoline prices are hurting this economy and the poor and middle class citizens who the Democrats pretend to represent.
Drill baby drill!”