Middle class dragged down by debt, economy

WASHINGTON (AP) — Growing numbers of middle-class Americans say they aren’t better off than they were five years ago, reflecting economic pressures amid growing debt, a study released Wednesday shows.

Their short-term assessment of personal progress, according to the study, is the worst it’s been in nearly half a century.

The survey by the Pew Research Center, a Washington-based organization, paints a mixed picture for the 53 percent of adults in the country who define themselves as “middle class,” with household incomes ranging from below $40,000 to more than $100,000.

It found that a majority of Americans said they haven’t progressed in the last five years. One in four said their economic situation had not improved, while 31 percent said they had fallen backward. Those numbers together are the highest since the survey question was first asked in 1964. Among the middle class, 54 percent said they had made no progress (26 percent) or fallen back (28 percent).

Asked about their financial experiences in the past year, 53 percent of middle-class people said they had to cut spending because money was tight. About one in five said they had trouble getting or paying for medical care, while 10 percent reported they had been laid off or otherwise lost their jobs.

Looking ahead to the coming year, half of the middle class surveyed said they expected to have to cut more spending. Among those employed, 25 percent expressed worries that they would be laid off, that their job would be outsourced or that their employer would relocate in the coming year.