Now what brought that up? Thing that make it is a strong middle class is consumer spending. This 70% now what brings it is the middle class. The wealthy turned to stock options but they middle class are struggling and they need help. He interviews a few people and some of them have been said to be middle class but they cannot afford to save money for houses, they stated losing their jobs, they are unable to bring food to the table. Their definition on the middle class is someone who lives comfortably and who has a steady income. The middle class is someone on makes 50%, so that’s roughly about 50,000 a …show more content…
The economy is continuing to grow and productivity is growing too. In 1950 the wages keeps growing but in the late 1970s the wage began to flatten. Now what is making that gap to widen? In the 1970s technology played that biggest part and the wage for the middle class declines. The unions are declining and knowing that, they said that the decline is due to Ronald Regan who took on the air traffic controllers. When the companies fought unions so they can keep their competitiveness.
Globalization and technology, but mostly globalization is what keeps companies growing. He uses an example of the I-phone. He asks where them money goes, he shows each student that it not going to the United States or China, but mostly Germany, and Japan. It was assembled in China, but the money to buy it goes to the companies that make parts for each individual part.
Amazon has employed 60,000 people and make about 2 billion in profits but when a mom and pop stores making that much would have hires twice as many people that Amazon. Technology may have played a part into the. These globalization and technology is not just stagnating the wages but lowing the wages for the middle class. How do you build wealth when you do not have anything? If someone who makes less has that mobility or push to even try to make to the upper class. Only 72% in the poverty will stay into the