December 2022
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December 8, 2022

Financials Matter

"It's Not Just About Finance"

When Will Our Middle Class Disappear?

Did you notice that the subject line of this email started with “WHEN?”

It’s not a matter of “if” our middle-class is disappearing, it’s simply become a “when” issue.

All empires throughout history became great by expanding their middle-class.  (China is today’s obvious example of this).

At the same time history shows that all empires collapse after their middle-class has been exhausted via taxation, oppression, social unrest, etc.  This results in the collapse under the weight of a nations own debt.  (sounding familiar?)

We know that a middle-class expands based on more people accumulating wealth through labor.

Let’s use China as an example.  Over the last 30+ years China has seen their middle-class expand by:

  1. Dietary habits changing from eating less rice and more chicken, beef, pork, etc.
  2. From people walking everywhere to more people riding bicycles, then motorcycles, then buying more cars, etc.
  3. People moving from the farms to urban areas, buying real estate instead of renting, massive cities popping up in what was once non-populated areas, etc.

So, you could say that China’s moved away from Communism and Socialism to Capitalism.

Sad to say we’re headed in the opposite direction.

How can this happen?

“…In Plain English” it’s a lust of power…and a covert descent into Socialism.

Here’s the formula:

  1. The boyz at the top motivate those at the bottom to attack those in the middle.
  2. Socialism is designed to keep the power at the top.
  3. Once the middle-class is gone they convince everyone left that they are the New Middle Class. (with more freebies, less responsibilities, and accountabilities…paid by WHOM?)
  4. In reality, they’re still at the bottom.

It’s a destructive and very slippery slope we’re on.

Learn how to side-step the oncoming freight train in our March newsletter.

You’ll thank us later.

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