We have chosen to show you data that dates back at least 30 years in the past in contrast to what is going on now. As you will see, nothing has been done and the problems have become more critical. You can easily find the current information about these trends and future expectations for your own peace of mind. A good place to start would a search on “The middle class squeeze”
The Organization for Economic Cooperation and Development notes that the
So income is flat or declining. But unfortunately, expenditures have not followed income's example. Of the major categories of household expenditures, only food and clothing have shown declines over time (Segal 62). All others are up, many in excess of the general inflationary rate:
-- Since 1930, the percentage of income devoted to transportation has doubled. Real per capita consumer expenditures during this period rose 300%; transportation, 600% (60).
-- The cost of medical care and household costs of medical care rose 50%, 1970 - 1990, in constant dollars (61).
-- The average annual cost of day care is $6,000 year ($120/week). This is a new consumer expenditure that was relatively minor in 1970 (median income during this period rose $2,115, 1970 - 1990) (61).
-- Higher education tuition is rising faster than inflation; from 1975 - 1990 the increase was $4,400 (in constant dollars). Private school tuition has also increased, as the percentage (e.g.) of Catholic parishes offering school attendance to parishioners without additional tuition payment has declined to zero (62).
-- The steep rise in housing prices is detailed in the section on Housing and Urban Renewal.
-- In 1997, it is significantly more expensive to secure the basic household needs than it was in 1970 and before. Some of this relates to the breakdown of previous systems (such as private school tuition and day care). A higher percentage of household income is now required to meet these needs than was true in previous years (59, 62).
This household squeeze is mirrored on a national level. If we factor together the costs (direct and indirect) of the U.S. international military empire and its adventuristic tendencies (e.g. Persian Gulf, Panama, Grenada, etc.), welfare for the rich, the savings and loan debacle, interest on the national debt (now a trillion dollars every five years) and the expensive drug war, among other issues that might be mentioned, it seems apparent that literally trillions of dollars of national wealth have been squandered over the last 30 years by the economic and political elite to no good purpose and a lot of that money has ended up in the hands of that same economic and political elite and their good friends in corporate America.