In the past few years, the world has faced many crises, such as the financial crisis, the energy crisis, and the global pandemic. These crises have had a huge impact on the middle class in various countries. However, the definition and criteria of the middle class are different in different countries. In France, for example, a family with a monthly net income of 3,000 euros can be considered middle class, while the total number of middle-class households in France is about 5 million, accounting for about 2 3 of the total population. Middle-class families in the United States have an annual household income of more than 60,000 US dollars, equivalent to more than 420,000 yuan, accounting for 50% of the total population. In Japan, a family with an annual income of more than 5 million yen, or 300,000 yuan, can be classified as a middle-class family, and 48% of households in Japan currently meet this standard.
China's middle class does not have a single definition, but it is generally accepted that it owns its own home and vehicle and is free from debt. Some people believe that only a family with an annual income of more than 200,000 yuan can be counted as the middle class. According to this standard, China has about 1100 million middle-class households, 8% of the total population. Overall, however, it is considered that one of the following conditions is considered to be considered a middle class:1The monthly income reaches more than 20,000 yuan;2.Household deposits of more than 1 million yuan;3.The market value of the investment on the financial account reaches more than 2 million yuan;4.Purchase housing in large and medium-sized cities with full payment.
According to the above criteria, the latest data shows that only 33.2 million households in China's 1.4 billion population meet the criteria for the middle class, accounting for significantly less than 5%. This means that it is almost difficult for ordinary people to reach the middle class, let alone the upper class.
The middle class has seen the most shrinking wealth as a result of the economic crisis. Their incomes are reduced, their liabilities are accumulating, and they are unable to increase their assets. This allows the lucky few to gain some benefit from the crisis, while the wealth of the majority of the middle class is reduced by 10 to 70 percent, and some even go bankrupt as a result. During the pandemic, all walks of life have been hit, and many people have inevitably suffered a decline in wealth. Therefore, it is very important for each of us to understand the current situation of the middle class.
By international standards, China's middle class is still relatively small in numbers. This also shows that China's income gap is relatively large, and there is still a large gap in the income level of ordinary people compared to other developed countries. This has also led to reflections on inequality in income distribution and social equity. To better address this issue, we need to strengthen social protection systems, improve education and skills training, and promote economic development to provide more opportunities for more people.
Overall, the size and plight of the middle class has been a topic of intense concern. Understanding the current situation of the middle class is important for our personal financial planning and career development. We need to pay attention to the needs and problems of the middle class, provide them with more support and assistance, and further promote the stability and prosperity of society.