Falling Behind: How Rising Inequality Harms the Middle Class

Description

With a timely new foreword by Robert Frank, this groundbreaking book explores the very meaning of happiness and prosperity in America today. Although middle-income families don't earn much more than they did several decades ago, they are buying bigger cars, houses, and appliances. To pay for them, they spend more than they earn and carry record levels of debt. Robert Frank explains how increased concentrations of income and wealth at the top of the economic pyramid have set off "expenditure cascades" that raise the cost of achieving many basic goals for the middle class. Writing in lively prose for a general audience, Frank employs up-to-date economic data and examples drawn from everyday life to shed light on reigning models of consumer behavior. He also suggests reforms that could mitigate the costs of inequality. Falling Behind compels us to rethink how and why we live our economic lives the way we do. Cover Title Page Copyright Page Table of Contents Preface to the 2013 Edition Preface to the 2007 Edition 1. Introduction 2. Recent Changes in Income and Wealth Inequality 3· Inequality, Happiness, and Health 4· Envy or Context? 5. The Rising Cost of Adequate 6. Why do we Care about Rank? 7. What Types of Consumption are Most Sensitive to Context? 8. How can Middle-Class Families Afford to Keep up? 9· Smart for One, Dumb for All 10. Looking Ahead 11. Lessons for Public Policy 12. Reflections Notes References Index