There was an article with a pretty compelling argument a while ago that basically said the true poverty line in the US is over 100.000$/year family income (when you look at what that number was originally supposed to measure).
Below that you’re getting fucked left and right.
Every dollar a family earns between 40k and 100k makes them poorer, because it triggers benefit losses (like health care & child care) that exceed income gains.
So what the US reports as “the middle class” are actually the working poor
I was reading Michael Roberts’ blog the other day, and he pointed out something similar. The official calculations for inflation significantly understate it for various reasons. However, if you look at actual labor hours needed to cover the essentials of life, and you use the median income amount from 1950 (for the US), then that number comes out about $102k per year. Said another way, for a standard of living based on real life, to have the standard of the median American in 1950, you would need to earn over $100k today. But if you take that 1950 median income and just adjust it for official inflation, you only get to like $42k.
There was an article with a pretty compelling argument a while ago that basically said the true poverty line in the US is over 100.000$/year family income (when you look at what that number was originally supposed to measure). Below that you’re getting fucked left and right.
Every dollar a family earns between 40k and 100k makes them poorer, because it triggers benefit losses (like health care & child care) that exceed income gains.
So what the US reports as “the middle class” are actually the working poor
I was reading Michael Roberts’ blog the other day, and he pointed out something similar. The official calculations for inflation significantly understate it for various reasons. However, if you look at actual labor hours needed to cover the essentials of life, and you use the median income amount from 1950 (for the US), then that number comes out about $102k per year. Said another way, for a standard of living based on real life, to have the standard of the median American in 1950, you would need to earn over $100k today. But if you take that 1950 median income and just adjust it for official inflation, you only get to like $42k.