The Economic Role of the Middle Class

Some links from Mike Konczal on the role of the middle class in the economy. I think the economic consequences (growth, financial crises) of inequality (and, therefore, the strength of the middle class) are especially interesting, although far from definitive at this point.

Certainly the limited data set that is post-war America would point to the idea that lower inequality and strong income growth for the middle class are best for avoiding asset bubbles, financial crises, and for overall economic growth. Is there a paper that looks at OECD countries in order to get an expanded data set?


Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s