A recent study done by Stanford University states that middle-income neighborhoods have significantly declined since the 1970s. The downtrend is not directly related to the current economic situation as the last set of data analyzed is from 2007. According to the report, only 44 percent of American families are living in neighborhoods that the study defined as middle-class. This is a significant drop from the 65 percent of families living in middle-income neighborhoods in the 1970s. This divide is worrisome as children living in lower-income neighborhoods have disproportionate access to higher-quality education and child care services.
See Sabrina Tavernise "Middle Class Area Shrink as Income Gap Grows, New Report Finds," The New York Times (November 15, 2011).
Posted by Marc Tan, Associate Editor, Wealth Strategies Journal.

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