A new study by Pew Research has concluded that the middle class is declining, creating an even bigger gap between the lower and upper class. This isn't due to the shift in capital markets or the mortgage industry, but seems more correlated to industrial shifts that affected jobs in various metropolitan cities. While manufacturing has shrunk, so have the jobs and income of the middle class.
“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.”