White Collar America Is Still In A Lot Of Pain

The recession may be over, but someone forgot to tell the middle class.

These folks have been the bedrock of previous recoveries. But plagued by slow income growth, the falling value of their houses, and employment uncertainty, many college-educated, white-collar workers are hunkering down for a chilly winter. No matter what economic signals say, this crowd does not feel good yet (charts). Even the Federal Reserve's recent interest-rate cuts may not get them to open their wallets. "These people don't feel like spending," says Stanley C. Plog, CEO of a market research firm that tracks affluent consumers. "They're feeling insecure in a way they never have before."

To continue reading this article you must be a Bloomberg Professional Service Subscriber.