From the Atlantic:
The solutions to the middle class stagnation are controversial. Liberals reject the stand-back-and-wait strategy, conservatives veto more government intervention and libertarians balk at industrial policy. We don't know the right medicine for what ails middle America.
What we know is that the economy is growing on two levels: high-paying jobs that require lots of expensive education, and low-wage local service jobs that don't. Middle class workers are becoming a commodity replaceable by technology or off-shoring. Without new industries to support their skills or new skills attained by more training, there's no reason to expect the hollowing out of the middle class to end.
