Income growth and stagnation is discussed, several trends in income inequality among American families are examined, and the notion of a vanishing middle class that may be losing the college cost race is addressed. (MSE)

The shift to service occupations and technological changes contributed to a dramatic decrease in earnings of male high school graduates. Because family income is a strong predictor of educational attainment, educational reforms and policy initiatives for disadvantaged children are extremely important to improve their earnings prospects. (SK)