The problems of the middle class have become a threat to the world economy

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www.vsyako.netPhoto: John Gress / Reuters

The standard of living of the middle class in the developed countries are reduced, according to family-owned Demyan Kudryavtsev, the newspaper “Vedomosti” with reference to the report of the Organization for economic cooperation and development (OECD).

Also reduced the number of those who can be classified as middle class 30 years ago the figure was 64 percent of the population in OECD countries, now 61 percent. In different countries the numbers are different. Thus, the U.S. middle class are about 50 per cent of the population and in Scandinavian countries — about 70 percent.

The middle class includes households with income between 75 and 200 percent of the median income in the country. For example, in the US, it will be equal to 23,4-62.4 thousand dollars a year per person. In 1985 the total income of the middle class in developed countries is four times higher than income of the richest residents, now less than three times, according to the OECD. It is noted that income grew much more slowly cost of real estate, education, health care and other goods and services.

Thus, rental housing in Berlin since 2012, has risen by 70 per cent and in Munich by 43 percent, while the real income of employees in Germany grew by only 8.4 percent. The price of an apartment of 60 square meters in the capital of their country in the 1980-ies for the family of the middle class was equal to her six-year income. Currently need the income in ten years.

The result is a fifth of the households from the middle class spends more than it earns. They have to take more loans, so they began to consider their position less stable, and may threaten economic growth. According to the OECD, the middle class is intolerant of corruption and believes in democratic institutions, which is beneficial to the economy.

Formerly the Higher school of Economics and Institute for the study and examination of the Bank calculated that while the average income of the wealthiest Russians from 2013 to 2018 declined, the share held by them of the financial assets and savings in the economy grew. In 2018, the three percent owned 89 percent of all financial assets, 92 per cent of all term deposits and 89 percent of all cash savings. 20 percent of the poorest population accounted for 6.4 and 3 per cent respectively.

Video, photo All from Russia.

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