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SD middle class vanishing

Not only have industries been lost to "outsourcing," the exceptionally high-level skills that were associated with them (e.g. machinists), at least in sufficient numbers to re-start re-industrialization, are lost forever because those with the skills have retired or died. It took a long time to build such high skill levels and the culture surrounding them which handed down those skills to a younger generation. If I recall correctly, this decline began in the Reagan administration (I seem to remember Ronny talking up the idea that we were moving into an "information" economy and did not need those skills and industries). We shifted from being "can-doers" to gamblers and servants, and that trend continues. I would like to put what little money I have left on the continued disintegration of this economy, because as I have repeatedly said here (honk, honk!), the concentration of power and wealth in the hands of the few has had, and continues to have, the effect of killing the Golden Goose, the consumer. If this is true, the Fiscal Cliff coming in January will seem like a rather small curb rather than the abyss into which the US (and thus the world) economy will collapse. We had better get used to living well within our increasingly meager means, because we continue to ignore the fact that the baseline for "normal" is continually reset to the top of the previous bubble. We are in a delusional dream-world, and we had better wake up and smell the toasted barley (if we're in the upper-middle class) while the rich sniff their real coffee. First, there will be the hyper-inflation to suck up the last of our savings, followed by a deep cratering into epidemic and pandemic poverty from which we will require generations to get back to anything resembling a life at a subsistence level, much less one of reasonable comfort (still far below the binge-spending one we persist in having).
— December 14, 2012 5:52 p.m.

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