MIddle class, Shmiddle class

Andy Xie on China real estate, China International Business, 4/12
"The stability of a modern society depends on its middle class being in the majority and content with its situation. The high land-price policy is a form of tax on the middle class, which will slow its growth. China may become a country with a small group of the super-rich, a vast lower class with no property, and a small middle class. Such a social structure would not be good for long-term stability."

Let's see...

• Small group of Super-rich. The top 10% accounted for about half of total national income in 2007 [in the US]"
• Small middle class: US personal income is at 2004 levels and declining.
• Vast lower class: All-in US unemployment, including permanently discouraged workers, is about 22%, and, many of the lost jobs aren't coming back.

Many have said that due to the US deficit, we are becoming Japan. Actually, we are becoming China.