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Poverty Is the New Middle Class

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Is there any hope for America and its middle class? I scoured the statistics with regard to the economic health of the middle class. And what I discovered is that there is not much of the middle class. We are a nation of falling wages and job opportunities and the effects are spinning through the economy.

Last year, a friend asked me to recommend his daughter a major as she was about to begin college this fall.  I thought for a moment and answered “welfare”.  The father was quite taken back as I took out my IPAD and forwarded him some of my files which contains our recent economic statistics.

Quite Your Job Make More Money

There are 35 states in this country in which it is better to accept welfare than work at an entry level job. Much like crack cocaine or heroin addicts, much of our nation is hopelessly addicted to living in the welfare state. This has real implications for the emotional and even spiritual health of our nation. The most distressing aspect of the present economic conditions we find ourselves mired in, is the fact that we are allowing our young people to have their dreams and their very sense of hope stolen away from them. Fear monger, naysayer, doomsday profit are terms ascribed to people who dare to criticize the existing economic system and speak about the real implications for our people. I dare the most liberal of you to read the following facts, engage in your own fact checking and then not to be able to conclude that the American dream, for most of our people, is dead and buried.

Americans Own Very Little

What made America strong, was a spirit of capitalistic entrepreneurship. However, that spirit is on life-support as evidenced by the following statistics:

  1. In 1800, 80% of Americans were self-employed.
  2. By 1870, the number of self-employed people had dropped 41%. What happened in those 70 years? This was the period in history when America witnessed the rise of corporate monopolies and the corporate ownership of government (e.g. Rockefeller, Carnegie, JP Morgan, etc.)
  3. By 1940, the self-employed rate had dropped to18%.
  4. By 1967 the percentage of self-employed Americans was only 9%.
  5. Today, the number has fallen to 4%.

The figures are from Victoria Bonnell and Michael Reich, Workers in the American Economy: Data on the Labor Force.

The Politicians Think Poverty Is the New Middle Class

Sadly, according to a 2014 CareerBuilder survey, 20% of full-time workers picked up a second job in 2013! Yet, your average, elitist politician thinks that this is the way that things are supposed to be.

Health and Human Services Secretary Sylvia Burwell insists that the billions of dollars in subsidies disbursed to low-income people who sign up for Obamacare are “further proof that the Affordable Care Act is working for the middle class.

Burwell’s commens are representative of todays leaders such Rubio, Jeb Bush and Hillary Clinton. Today the welfare-state plan is forcing what’s left of “the backbone of America” to pay for its own dispossession and disempowerment. And these are not midnight developments.

Five years agoWayne Emmerich found that the family breadwinner who works only one week a month at minimum wage makes 92% as much as the breadwinner  grossing $60,000 a year. Emmerich’s stats demonstrate that by working only one week a month  can save a lot of money in child care expense. But topping the list is Medicaid, which is accessible to minimum wage earners and the program has very low deductibles and co-pays. In short, by working only one week a month at a minimum wage job, a minimum wage earner is able to get total medical coverage for next to nothing courtesy of you and me.

The middle class is not as  lucky as the $60,000 breadwinner pays out approximately $12,000 per year in health insurance costs with an addition $4,500 in co-pays. And if anyone in the part-time minimum wage earning family is disabled, SSI pays out an additional $8,088 per year. When one begins to calculate the expenses incurred by a typical breadwinner making $60,000 per year, compared to the part time minimum wage worker, coupled with minimum wage earners tax supported federal bailouts for these freeloaders, the poor have more discretionary income than those who pay the taxes that run the country. And if the part time minimum wage worker is willing to cheat and participate in the underground economy, they will have significantly more discretionary income than their hard-working $60,000 per year counterpart who actually works for a living. In short, if you are a full-time employee making above minimum wage, you paying for your own economic demise. These economic numbers suggest that we’d be better off staying home and living off of the labors of what’s left of the middle class. There are a 102 million working age Americans who are not working fulltime. In contrast, there are 94 million fulltime working adults in the country.

In short, for most industrious Americans, it no longer pays to go to work. This system is catapulting our country towards an economic Armageddon. Welfare pays and pays well, until the government turns off the faucet. Then we will have a revolution inspired by the 146 million Americans who can no longer support themselves.

The Escalating Ladder of American Middle Class Misery

The Social Security Administration released the most accurate economic figures, here, and the statistics do not paint a rosy picture.

  1. Nearly 4 in 10 American workers made less than $20,000 in 2014
  2. Just over half of all American workers made less than $30,000 in 2014.
  3. Nearly two-thirds of all American workers made less than $40,000 in 2014.
  4. Almost 3 of 4 American workers made less than $50,000 in 2014.
  5. It takes approximately $50,000 of annual income, for a family of four to squeeze into that increasingly elusive middle class designation. Yet, more than half the country makes less than $50,000 per year.

More Economic Misery

According to a new survey of more than 5,000 adults conducted this month by Google Consumer survey for personal finance website GOBankingRates.com, found the following disturbing facts.

  1. Approximately 62% of Americans have less than $1,000 in their savings accounts.
  2. Twenty one percent of all Americans don’t even have a savings account!

These growing population of have-nots don’t have cash reserves to cover an emergency and will have to rely on credit, friends and family, or even their retirement accounts to cover unexpected expenses.

The Obamanation of the Economy

Obama would maintain that he supported strengthening of the Middle Class, while working to destroy the jobs that sustain that demographic. Obama and his fellow communists and Fabian socialists have successfully destroyed jobs with a three-pronged assault:

  1. The elite have driven previously high-paying manufacturing jobs out of the U.S. with high corporate taxation and business killing regulations from agencies such as the EPA.
  2. The government has encouraged and permitted illegal aliens willing to work for minimum wages while flooding into our country which has driven down wages down and has created an over-supply of cheap labor.
  3. ObamaCare has imposed hourly work limits which has subsequently forced hundreds of thousands of employers to limit low-wage workers to a 30-hour week. this has greatly increased the “underemployment” rate which has resulted in the need for record number of Americans to find second income jobs.
  4. To hide job loss carnage, government glowingly reports new job creation, but disingenuously refuses to disclose that most of the new jobs are minimum-wage retail jobs. And a large percentage of the new jobs are part-time and/or temporary.

Obama falsely proclaims that the unemployment rates is 5.3%. Government accounting is based upon smoke and mirrors. Any profession requiring a credential to do the job, counts someone as being emplyed by merely possessing the credential. This means that all teachers, counselors and beauticians are employed in the government’s eyes. Further, if one goes on unemployment benefits following a job loss. If the benefits run out and the person can’t find a job, that person is presumed to have found work. Subsequently, nobody can trust the government’s figures when it comes to the true unemployment rate.

According to economists John Williams (Shadowstats) and Joseph Meyer (Straight Money Analysis), the unemployment plus the underemployment rate in America totals about 25%! We have not even discussed the future impact that robots will have on the American unemployment rate. This is the stuff that revolutions are made of.


There has never been a time when the plight of the middle class has been in such jeopardy, the Great Depression notwithstanding. The elite are squeezing what little life remains in the middle class. What are you going to tell your children about their future? How long do we have? I do not know, but with a $19 trillion dollar deficit, a $240 trillion dollar deficit and a $1.5 quadrillion dollar credit swap derivatives debt, the day of reckoning anno be very far away. Gerald Celente likes to remind people that when people have nothing to lose, they will lose it!

By | 2017-10-26T22:04:42+00:00 October 23rd, 2015|Featured, Main, United States|29 Comments

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  1. Robbie41 October 23, 2015 at 5:25 am

    1.In 1800, 80% of Americans were self-employed.
    2.By 1870, the number of self-employed people had dropped 41%.
    Hello Dave, Are these the right dates, is one of these backwards, I’m just asking so others will know it’s right.. I’m just trying to help you too.. Enjoy your good day..


  2. Ron berry October 23, 2015 at 6:12 am

    Dave I hope you are okay. But you are wrong to promise a continuance of the alien story then switching to this milk toast middle class story. I’m very disappointed. I guess they did get to you and your family.


  3. Wardog October 23, 2015 at 6:13 am

    Common sense for those with a brain. Unfortunately, Sheeple are abound. Even our National Parks know better than to feed the animals

  4. pappajag October 23, 2015 at 6:20 am

    It’s Barry’s plan to bring his own brand of socialism to us, and the ignorant of this country is helping him. All these self serving agenda’s that these people have are all playing right into Barry’s hand and they don’t even see it. People, get your head out of you iphone, facbook and twitter and look around.

  5. John October 23, 2015 at 6:21 am

    I feel very fortunate. The economy where I live is booming (Texas). We are making more than ever, and my kids are making great money and even own their own homes and take international vacations, all while saving over 50% of what they make. And no school loans either.
    Not everyone is doing terrible.


  6. Sapling October 23, 2015 at 6:29 am

    I found out about the 30 hour work week when my daughter got her job. She has a degree and that’s the best she can do at this time. She doesn’t get paid much an hour either. I wish we hadn’t encouraged college so strongly. I feel we strapped her with debt she’ll never be able to pay back. And we thought we were doing a good thing. I wish someone would have told us things had changed so drastically from when we were young. My children and grandchildren are in for a very rough ride, I’m afraid. It’s sad.

  7. Tony2Wolves October 23, 2015 at 8:10 am

    I thought we might be hearing more about the Secrete Space Program. On October 31 and November 1 there will be a conference on the Secrete Space Program in Bastrop Texas (Close to Austin TX). There are YouTube Videos of last years conference. Dave if you have not seen them you might want to check them out. You might even want to go to this years conference.

    On today’s article, yep the news is bad. The economy has got to blow up sooner or later, I got that! If you are not ready today you are most likely too late because it takes thousands of dollars to prep in a way that will make any difference. Many people are on the ropes and cannot afford to buy grub, guns, ammo, and medical supplies. The prepper ship has already left the dock! If you are not already set, then go back to sleep or drink another Bud Light and tune in ESPN.

    Back to the secrete space program, The preppers will live in style until the elite zap us from their TR4Bs. A friend of mine named Steve told me all about the TR3B and TR4B craft and I believe him!



  8. Yo October 23, 2015 at 9:16 am

    I also live in North Texas with a degree and 15 years of work experience….. and I’ve been laid off for 7 months.

  9. Phil October 23, 2015 at 9:27 am

    2008-2015 the so called middle class R.I.P I used to be one. As a single male with no children was and still am the target of unfair tax laws. Now I live as a popper working part time waiting for my time to be gone from this place and time. All you need is a room full of lawyers and an army and a bunch of stupid brain washed people to steal the work and the hope from those who are willing to work, strive and earn. To build something better for themselves their families. Those living off the fat of what they have stolen from so many for so long. May I reminded them again time is short. The ancient war is real we are witnessing the ending. This war will not go on much longer and as all things pass away so will this. We choose which side were on and where we will spend eternity.

  10. TheChasifer October 23, 2015 at 9:32 am

    Looking forward to part 4. Stick it to em Dave and may God bless it.

  11. ruby October 23, 2015 at 9:37 am

    Pharmaceutical benefits for medicare recipients: Premiums for 2016 double that of the 2015 rate, and 2016 added a $360 deductible. Last year deductible was 0.00. Insurance companies taking money from those who have the least amount. And Congress has passed a law saying that the feds cannot negotiate with the insurance companies for lower costs for pharmaceuticals for the large pool of medicare recipients.

  12. jb October 23, 2015 at 9:57 am

    Yes, I too wanted to read more about aliens (fallen angels). I struggle with why they want to worship Satan when they have eternal life also. A war between the two ensues. I also wonder why God has pitted us against beings with 10 times our intelligence. We not only fight Satan, but the nwo and aliens. I live in S. Carolina and our economy sucks. There are basically only min wage jobs. Industry herr had been given away.

  13. Taxdn2poverty October 23, 2015 at 11:07 am

    @John: Isn’t it so sad that you are ridiculed for being successful. Sad indeed. And Mr. Hodges, the people that are not surviving are those that never tried or either tried and became successful, but overspent, borrowed, or mortgaged their futures while doing so. If people would just act 1/3 their wages then they wouldn’t be broke, except for taxes of course. thanks for your time.

  14. robbie41 October 23, 2015 at 11:11 am

    Yes Dave, you are right on citations, I’m sorry for the wrong reply..

  15. ron berry October 23, 2015 at 11:13 am

    Dave I apologize, I was upset this morning, I recognize the bravery to report these things and applaud it. Please take precautions for you and your family. The more you can send out to the masses the less motivation they have to keep you quiet. I pray for your protection. We, your dedicated everyday readers don’t need cliff hangers to keep reading each day so let the information out so you are protected. God bless and protect you. Ron

  16. toejam October 23, 2015 at 11:53 am

    There are two elements that portend the collapse of civilizations including the current civilization we find ourselves in.

    1. Voracious psychopathic elites who parasitize on the host populations by promising some people other peoples wealth. (except there own). Thereby creating unemployment and the giant welfare class in America that also plagued ancient Rome.
    This is done so that the elitist controlled politicians and government working can remain in office representing the one percent which giving those who continue to vote them into power the shaft.

    2. This is even more important. In 1977 Dr. Elmer Pendell published “Why Civilizations Self-Destruct”.
    Dr. Pendell wrote, that as a culture-civilization matures the average IQ levels of the general population begins to decline.
    The average and above average IQ individuals have fewer and fewer children, thereby not replacing themselves, while those of lower then average IQ continue to have larger families. Added to this demographic shift in average native intelligence is the in migration of peoples who may not or cannot maintain the high tech civilization at the levels of the disappearing progeny of the founding stock.
    Dr. Pendell maintained that the main reason for the decline in IQ levels is that the higher IQ cohort has to spend more and more time and effort in maintaining the increasingly complex culture therefore not having the time or inclination to have children. While on the other hand, as Dave has outlined in this article, the welfare class has all the time in the world for reproduction. And the government has made it so.
    “By, by Miss American pie”.

  17. Vocjuved October 23, 2015 at 1:06 pm

    Between Steve Q, H & H, You, etc. as soon as I get comfortable with an idea, you collectively keep giving me cognitive dissonance. I am blessed with a middle class job, but the Enemy is attacking our family’s health. We will have to shelter in place for the coming storm. When I woke up, I was a prepper without much money. But I realized that there had to be a spiritual component to everything that was happening because nothing made sense. Once I started searching for spiritual answers, all of a sudden, everything fell into place. Then, you and Steve Q. shake me up and I have to integrate that information into the matrix.
    With that in mind, all I can do is put my family on the Lord’s alter for supernatural protection. The faith component is the hardest thing for me. My family and extended family members have always helped each other and ourselves. Now it is time to live a life of faith. That may be harder for me than believing in warp drives and time travel.

    Psalm 121:1-8, NIV I lift up my eyes to the hills – where does my help come from? My help comes from the LORD, the Maker of heaven and earth. He will not let your foot slip-he who watches over you will not slumber; indeed, he who watches over Israel will neither slumber nor sleep. The LORD watches over you – the LORD is your shade at your right hand; the sun will not harm you by day, nor the moon by night. The LORD will keep you from all harm-he will watch over your life; the LORD will watch over your coming and going both now and forevermore.

  18. Seen2013 October 23, 2015 at 1:21 pm

    “Is there any hope for America and its middle class?”


    “Last year, a friend asked me to recommend his daughter a major as she was about to begin college this fall. I thought for a moment and answered “welfare”.”

    Bad idea.
    On the other hand, she’ll have to sign the contract that is the welfare guidelines to be eligible; provided, she fits the rest of the criteria.
    I hope she’s anti-liberty because the welfare guidelines snuffs it out.

    On the bright side, Goldman Sachs, Bank of America, and other Too Big To Fail banking institutions who cornered the trillion+ and growing demand for EBT and EPPI card creation as well as monitoring, maintenance, and etc due to Welfare fraud of Welfare Queens and Welfare surfers estimate EBT and EPPI will become implantable between 2017-2020. With it being digital, whatever happens to be legal tender, it will be the currency units becomes legal tender…

  19. AndNowTheScreamingStarts October 23, 2015 at 1:50 pm

    I feel this push to eliminate the middle class lower thus more people signing up for welfare is all by design. Get all these people DEPENDENT on the Welfare State and then when the economy fails and the EBT cards 🃏 are shut off in the wink of an eye…well wouldn’t these (currently) almost 50 MILLION people be oh so easy to round up for FEMA Camp? Or the people will kill themselves fighting over food and necessities…All while the NWO puppeteers stand back and watch people eliminate themselves. Easy Peasy Depopulation.

  20. DB October 23, 2015 at 3:05 pm

    By reading the responses it would seem that people are on edge and short to attack you…just wait until it get’s nasty. We can’t turn on each other people of faith.

  21. Cindylu October 23, 2015 at 3:21 pm

    Hi Dave. I listened your your radio show today Oct 18 hr1 about the cell phone radiation. Pong.com has covers for cell phones and tablets that block the radiation. Also about the smart meters you can get a cover that blocks the radiation. Just search smart meter cover. as far as wifi goes we are stuck with that but we are going to turn our wifi off at night and give our brains a rest. Thanks

  22. Semper Fortis October 23, 2015 at 3:24 pm

    America IS a Corporation.
    The CORP is NOT broke. there are 2 sets of books. All of the so called public debt is in just one book. The “overhead” (for lack of a better term) is the people. the account/(book) including all expenses of citizens SSI, welfare, national defense, etc.. that is broke,


    the sheeple just dont understand the “2 sets of books” analogy.

  23. Teach October 23, 2015 at 4:49 pm

    Dave, you are spot on as usual. I am blessed to have a good job. Sadly, I don’t make enough to support myself and my child and therefore we are forced to live with my family in order to eat. I don’t have a lot of debt, the employees in my school system have not received a raise in a decade! Most work a second job, some a third job. Yet, our state legislature recently voted themselves a large pay raise.

  24. Farmer John Maine October 23, 2015 at 6:26 pm

    Was hoping to hear the rest off the story about the aliens!

    But I will have to tough it out until tomorrow.

    This is truly a way out of this mess and it’s very simple…

    Problem is Americans need to make stuff again, use their ingenuity to compete with the big global corporations.

    If you have product that you can produce and source locally to make it, then we keep the money “in country” the economy would then improve overnight.

    The problem is the small businesses are squeezed out and middle class destroyed.

    We produce items right here in Maine and sell all over the country, support each other with a few dollars and watch things turn around….vote with your dollar!

    Try the Rosemary Kelp Mint salve it work miracles with winter dry cracked skin.


  25. toejam October 23, 2015 at 10:48 pm

    In a declining empire and civilization called America, the simple fact is that more problem makers than problem solvers are being born. And to make matters worst America for the last 30 years and Europe as of late have become the universal dumpsters for
    the third world populations. It’s called the (self) suicide of the West. The bulwark of a free society, the once middle class of America is being liquidated. It was this vast middle class that was the impediment to the NWO. Once the middle class of America, Europe, Canada, NZ, Australia and once Southern Africa, wherever the once great Germanic and Keltic races are found are extinct, a dark age will descend upon the earth that will last for a thousand years. You do the math. In 1900 the white race was about 40% of the worlds population. Now, in the year of the Lord 2015 Whites make up about 8 percent of the world’s population and of that cohort only, I repeat, only 2% are of child bearing age. You do the math.

  26. AJ October 24, 2015 at 3:01 am

    I am a single mom with a master’s degree in counseling, and they do not pay me enough to qualify as middle class. The wages are going lower and they do not buy what they bought 8 years ago. Incomes are based upon your household having 2 incomes.

  27. blondie October 24, 2015 at 5:42 am

    With the recent change in government here in Canada (with the assistance of Obama’s group), obviously our young Prime Minister is very impressionable. He is proposing major tax changes and the middle class will be affected positively, so he says. The problem is Justin Trudeau’s definition of middle class is very different from what we think it is. After reading your article, it made me wonder if Canada is now headed in the same direction (with the help again from the president next door).

  28. Mary October 24, 2015 at 6:54 am

    Northern Michigan here. 58 year old woman, husband is 60. he has been a self-employed electrical contractor since 1977. Kids are grown, thank God. Work has been dying for us for years, we were stupid & ran up a line of credit to pay bills, now that has been cut off & turned into a regular loan for the rest of our lives, or until everything collapses & we just lose our simple home. My haven. No savings, no retirement, no health insurance even. And now we live on credit card debt, never thought this would happen. Have a bit of stockpile, but as it says somewhere here if you don’t have a lot you’re just fooling yourself. I pray daily & read The Word, to my shame now that the s is hitting the fan, I’ve turned back to God…..so ashamed. God help us all, can’t believe how this country of mine has changed.

  29. Zlatko October 24, 2015 at 10:10 am

    It is the poor people for whom work no longer pays. Your descriptions of our ailment is correct but you’re angry at the wrong people. Be angry at the big business interests who refuse to employee Americans full time and pay them enough to care for their families and have health insurance. You’ve got it completely backwards, and are playing into the hands of the wealthy, who want the rest of us to be at each others throats, which is exactly what you’re doing. Free your mind, your backside will follow.


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