Shrinking Middle Class in America

SOURCE www.newsweek.com
The middle class in America has been shrinking over the past 50 years, leading to a growing wealth gap between income tiers. The share of Americans in middle-class households dropped from 61% in 1971 to 51% in 2023, while the share of upper-income households rose from 11% to 19% in the same period.

Key Points

  • Middle-class households dropped from 61% to 51% from 1971 to 2023
  • Upper-income households rose from 11% to 19% in the same period
  • Median income for middle-class Americans rose 60% from 1970 to 2022, while upper-income households saw a 78% increase

Pros

  • Increased prosperity overall compared to the 1970s and 1980s

Cons

  • Growing wealth gap between income tiers
  • Declining share of income for the middle class