What does “middle class trap” mean ?

Question

Hello

As someone with 0 economics knowledge but keen interest I keep hearing this term “middle class trap” and how it is bad for countries long term economy and its people. What does it mean and why is it harmful for a country’s long term prospects ?

Thank you

In: 467

Answer 1

OP, you should clarify if you’re asking about the macro economic theory about how economies develop and fail to move beyond mid-level gdp per capita or about some aspect of “middle class” life in a country like the USA.