第12部分(第5/7 頁)

Ine　…》　Assets　…》　More　Ine

Expenses　are　low；　Liabilities　are　low

The　middle　class　finds　itself　in　a　constant　state　of　financial　struggle。　Their　primary…　ine　is　through　wages；　and　as　their　wages　increase；　so　do　their　taxes。　Their　expenses　tend　to　increase　in　equal　increments　as　their　wages　increase；　hence　the　phrase　〃the　rat　race。〃　They　treat　their　home　as　their　primary　asset；　instead　on　investing　in　ine…producing　assets。

Why　the　Middle　Class　Struggle

Ine　goes　up；　Expenses　go　up

Assets　do　not　increase；　Liabilities　do　increase

This　pattern　of　treating　your　home　as　an　investment　and　the　philosophy　that　a　pay　raise　means　you　can　buy　a　larger　home　or　spend　more　is　the　foundation　of　today's　debt…ridden　society。　This　process　of　increased　spending　throws　families　into　greater　debt　and　into　more　financial　uncertainty；　even　though　they　may　be　advancing　in　their　jobs　and　receiving　pay　raises　on　a　regular　basis。　This　is　high　risk　living　caused　by　weak　financial　education。

The　massive　loss　of　jobs　in　the　1990s…the　downsizing　of　businesses…has　brought　to　light　how　shaky　the　middle　class　really　is　financially。 Suddenly；　pany　pension　plans　are　being　replaced　by　401k　plans。　Social　Security　is　obviously　in　trouble　and　cannot　be　looked　at　as　a　source　for　retirement。　Panic　has　sei　in　for　the　middle　class。　The　good　thing　today　is　that　many　of　these　people　have　recognized　these　issues　and　have　begun　buying　mutual　funds。　This　increase　in　investing　is　largely　responsible　for　the　huge　rally　we　have　seen　in　the　stock　market。　Today；　there　are　more　and　more　mutual　funds　being　created　to　answer　the　demand　by　the　middle　class。

Mutual　funds　are　popular　because　they　represent　safety。　Average　mutual　fund　buyers　are　too　busy　working　to　pay　taxes　an