Corporations, retailers abandoning disappearing middle class

Economic inequality may be the topic du jour among talking heads these days, but corporations and retailers seem to have already made up their minds.
 
They’ve decided the middle class is no longer a viable consumer base and have stopped creating merchandise for or marketing to that segment of society, according to the New York Times. Instead, they are focusing on creating high-end items for the wealthy or inexpensive merchandise for those who are struggling financially.

Since 2009, the article reports, spending by the top 5 percent of earners has gone up 17 percent, compared to 1 percent for everyone else. Retailers and businesses that target middle-income Americans, such as Sears, Olive Garden and Best Western, are struggling; conversely, businesses that cater to high-end buyers or bargain hunters, from Nordstrom to Dollar Tree, have seen profits increase.

Read more from the New York Times.