Middle class continues to shrink: study (by William Spain)

CHICAGO (MarketWatch) -- The American middle class continued to shrink last year while also falling behind in its share of the nation's wealth as more affluent citizens grab an ever larger piece of the economic pie, according to a report released Wednesday by the Pew Research Center. In 2011, the middle income tier -- those making $39,000 to $119,000 a year -- comprised just 51% of all adults, down from 61% in 1971. Over the same period, the upper tier rose to 20% of adults from 14% while the poor are now 29% as opposed to 25%. And, over the last 40 years, only the rich increased their share of the wealth, now taking in 46%, up from 29%, with the middle tier getting 45%, down from 62%. "The middle class has shrunk in size, fallen backward in income and wealth, and shed some -- but by no means all -- of its characteristic faith in the future," Pew said in announcing the results of its study.