The Middle Class

Politicians, marketing consultants, economists and sociologists share an obsession with the “middle class” — whatever that is. Depending on who and where you ask, the middle class is either growing or shrinking, anxious or optimistic, getting richer or getting poorer, politically engaged or opting out. You can define who’s middle-class by income, occupation, level of education, ownership of property, spending patterns, or cultural affinities. Abandoning such a slippery and freighted term entirely might be wise, but time has shown it’s irresistible. The main thing is to note that there’s no single definition: It depends on the question you’re asking.

In the U.S., Europe and other rich countries, the crash of 2008 hit many people in the middle of the income scale hard. Forces predating the recession (automation, outsourcing to low-income countries, falling employment in high-wage manufacturing) have added to fears that economies are being hollowed out and that lost middle-class jobs aren’t coming back. Frustrated middle-class voters have fueled populist political movements that led to the U.K. splitting from the European Union and the election of U.S. President Donald Trump. In emerging-market economies, a new middle class is growing fast, heralding further economic change and demands for political reform. In the rich world, governments are struggling to counter middle-class anxiety; in the developing world, they’re challenged by new middle-class aspirations. The contrast is arresting, but also misleading: The middle class under pressure in the U.S. and Europe is different from the expanding middle classes of India or China.