Middle class and the economy

[terryl965]

How is the economy really going to effect the middle class here in America? How is middle clas America going to win this time around or for a better word survive or is it time that this class falls with the rising cast of everyday products like gas, food and electric?

 

[MBuzzy]

I think that Gas is the first big step, people are already taking less trips and doing everything possible to conserve on gas.

I think that in other areas, people will cope, but will have to learn to cut back. At least for me, things like "brand loyalty" have gone out the window. No more Viva paper towels ($2.59) when Scott ($0.59) does the same thing. Kroger brand is just as good and a fraction of the price! I've also been eating out a lot less and noticed that the restaurants are much emptier when I do.

 

[Ray]

I think that Gas is the first big step, people are already taking less trips and doing everything possible to conserve on gas.

I think that in other areas, people will cope, but will have to learn to cut back. At least for me, things like "brand loyalty" have gone out the window. No more Viva paper towels ($2.59) when Scott ($0.59) does the same thing. Kroger brand is just as good and a fraction of the price! I've also been eating out a lot less and noticed that the restaurants are much emptier when I do.

That brings back memories...when my children were young I used to buy "generic" products (e.g. cans of corn with white labels that said "corn).

In general, the middle class will cut back and/or choose lower priced items. Increased fuel costs mean increased product cost in general (the ingredients and components need to be brought from somewhere unless totally local). The people who are barely making it will become people who are no longer making it.

 

[Empty Hands]

The "middle class" has been on the decline for a long time now, the current economy will only accelerate it. By leveraging their way into homes and luxury goods by overextending credit, people who aren't really "middle class" have been able to acquire the trappings and fool themselves. As we head into the coming credit crunch, a lot of people are going to find out they aren't really middle class after all.

Think about it, though. How many supposed middle class people could sustain their lifestyles for even 1 or 2 pay periods if their paychecks stopped arriving? How many middle class households can survive on their current consumption levels without both members working full time plus jobs? How many are on track for the savings necessary to retire? Being "middle class" is such an assumption for what "most" Americans are that large percentages of both the working poor AND the working rich consider themselves "middle class." There is a lot of self-delusion going on, which our future economy will dispel. Painfully.

 

[Nolerama]

Hopefully the economy will convince American consumers to streamline their budgets. With gas prices going up, so will food costs.

The recent flooding in the "bread basket" region of the country is supposed to raise corn prices for the fall. Since people invest in the future of such commodities, price per demand will also skyrocket.

The costs of running a municipality (not even an entire government) are already on the rise, due to higher fuel, energy and food costs. That's going to translate to tax dollars.

All these and more are widening the disparity between the rich and the poor. Those considered "middle class" might fall through that crack.

Mbuzzy is right. I think we need to lower our brand loyalty standards. Shopping for essentials (and learning how to cook properly) can save you a ton of money.

America is undergoing a change that the rest of the world experienced decades ago. Many countries flourished with the decrease in automobiles and increase in public transportation. Their air is cleaner, and more people are out walking and getting their much forgotten daily exercise.

Oil prices going up? That's gonna be a great thing for America in the long run. I just hope people can change.

 

[MBuzzy]

In general, the middle class will cut back and/or choose lower priced items. Increased fuel costs mean increased product cost in general (the ingredients and components need to be brought from somewhere unless totally local). The people who are barely making it will become people who are no longer making it.

This is a good point, in the Dayton paper last week, there were shockingly many stories about foreclosures and repossessions. It looks like those things are speeding up...

 

[CuongNhuka]

The "middle class" has been on the decline for a long time now, the current economy will only accelerate it.

Welcome to Ronald Reagan, version 2.0

 

[Andy Moynihan]

There's a middle class in America?

 

[Rich Parsons]

There's a middle class in America?

Andy,

The perception is that if two people work their fingers to the bone and their extended family assists with the children, or day care, that they then can finance with interest only mortgages and be a part of what everyone thinks is the middle class.

Yet, on the other hand, just because I save for the future and plan for things, and others live in run down shacks and poor parts of town but have HD Cable and 47" LCD screen TV's, and three or four game systems, and etcetera. But are they truly the lower class or are they they middle class, those not really planning for the future or be smart with money but are living the life the can finance. Where the lower class could be those that have little or nothing and or are on the streets with nothing. While everyone else with their cars and houses or apartments are just a different level of upper class?

Or, is it that upper class are those that can do what they want when they want and not worry about the cost. The Lower class are those that are not able to know what a vacation is, and a good reward is ordering out pizza. This leaves everyone else in the middle as middle class.

The Class label were with the landed gentry as the upper class, and then the merchants and skilled workers as the middle class, and those working on the land or for the merchants or manufacturers are the lower class. By this standard the couple I know that makes 30K a year together from their restaurant would be middle class, while myself that makes more would be lower class because I do not own the land being worked or the company I work for.

I am confused myself as I can look and say that person is in trouble and needs help. I can look and say that person is doing well. But there are lots of people that seem to be doing well but are one overtime check away from being in trouble. So I really do not understand the class terminology.

Does it have any real meaning in today's society?

 

[Kacey]

People who go broke in a big way never miss any meals. It is the poor jerk who is shy a half slug who must tighten his belt.

- from The Notebooks of Lazarus Long, by Robert Heinlein (1978)

Does this sound familiar from anywhere? The American economy, perhaps? The middle class are the ones who are short half a slug - while the people who are horrendously rich, who go broke in a big way, never seem to suffer very long, if at all.

 

[CuongNhuka]

- from The Notebooks of Lazarus Long, by Robert Heinlein (1978)

Does this sound familiar from anywhere? The American economy, perhaps? The middle class are the ones who are short half a slug - while the people who are horrendously rich, who go broke in a big way, never seem to suffer very long, if at all.

What a Marxian statement of you.

 

[MJS]

How is the economy really going to effect the middle class here in America? How is middle clas America going to win this time around or for a better word survive or is it time that this class falls with the rising cast of everyday products like gas, food and electric?

Due to the nature of the way things are going, people may have to make some adjustments. Carpooling, limiting the things you buy to what you need, not always what you want, etc. But then again, I don't think you should limit yourself so much that you're to the point where you are afraid to do anything 'extra' for fear that the economy will get the better of you. Should we not go to dinner or on vacation anymore? Of course not.

 

[Nolerama]

Oh man... I just heard the craziest thing.

This woman from the super-rich part of town was telling us how there were several families who "belong" to a ritzy country club, but use food stamps in order to feed their families. Their comfortable life is basically a lie.

This particular country club costs $150,000 just to be considered for membership, and $75,000 in yearly dues.

 

[zDom]

We are being crushed.

Not "poor" enough to qualify for government assistance, not rich enough to shrug off rising costs.

O, Discordia! The world is moving on ...

 

[zDom]

Oh man... I just heard the craziest thing.

This woman from the super-rich part of town was telling us how there were several families who "belong" to a ritzy country club, but use food stamps in order to feed their families. Their comfortable life is basically a lie.

This particular country club costs $150,000 just to be considered for membership, and $75,000 in yearly dues.

Doesn't really surprise me. There are families here (minus the dispensible father figure) who load food purchased with food stamps into Cadillac Escalades. Why shouldn't they also join the country club since they are obviously enjoying a life style of the affluent on the taxpayer's dime?