Study: America's Middle Class at Great Economic Risk

A new report confirms what virtually everyone except the Bush administration already knows: America's middle class is literally hanging by an economic thread.

The report finds that only 31 percent of families who would be considered middle class by income are financially secure. Further, four out of five families classified as "middle class" do not have sufficient assets to survive for just three months should their income drop.

Other chilling findings: 21 percent of middle-class families have less than $100 per week remaining after meeting essential living expenses. And more than half of middle-class families have no net financial assets whatsoever. The statistics are even worse for families of color.

The nonpartisan group Dçmos and Brandeis University developed a "Middle Class Security Index" to measure the financial stability of the middle class, rating five key factors – assets, education, housing costs, budget and health care. Families studies were ranked as either "secure," "borderline" or "at risk." The full report, "By a Thread: The New Experience of America's Middle Class,"  can be found online at http://www.demos.org/pub1514.cfm.