Thursday, May 12, 2016

Middle class takes hit in most US cities this century.








Sam Fleming and Shawn Donnan in Washington

High quality global journalism requires investment. Please share this article with others using the link below, do not cut & paste the article. See our Ts&Cs and Copyright Policy for more detail.
More than four-fifths of America’s metropolitan areas have seen household incomes decline this century, according to new research that exposes the politically charged reality of middle-class decline at the heart of this year’s presidential election.

The research on urban centres that are home to three-quarters of the US population shows that median household incomes, adjusted for the cost of living in the area, grew in just 39 out of 229 metro areas between 1999 and 2014.
High quality global journalism requires investment. Please share this article with others using the link below, do not cut & paste the article. See our Ts&Cs and Copyright Policy for more detail.
The figures, prepared by the non-partisan Pew Research Center and shared with the Financial Times, cast light on the drivers of the economic discontent that have fuelled the rise of Donald Trump, the likely Republican nominee, and Bernie Sanders, the challenger to Democratic frontrunner Hillary Clinton.

Both men’s campaigns have tapped into deep-seated concerns among middle class voters on the right and the left. Pew’s research illuminates one source of that anxiety and raises questions about even some of America’s most celebrated economic success stories.

They reveal a steady erosion of the middle class across the map of America, with 203 out of the 229 metro areas experiencing a decline in the share of their populations that are middle income. At the same time, 172 metro areas saw increases in the share of their population that is upper-income, and 160 saw a rising lower-income share.

“We find the shrinking of the American middle class was a pervasive local phenomenon from 2000 to 2014,” said Rakesh Kochhar at Pew. “In that sense American communities share common ground — they are reflecting the national trend.”

Middle-income Americans are defined by Pew as adults who earn two-thirds to double the national median, adjusted for household size.

No comments:

Post a Comment

Note: Only a member of this blog may post a comment.