September 19, 2015 7:32 AM

It’s 1997 All Over Again

America’s Tipping Point

By Jocelynn Smith, Sr. Managing Editor

America is stuck in a time warp.

Well, that’s a polite way of stating that the country is in serious trouble.

Earlier this week, the U.S. Census Bureau revealed that the median household income in 2014 came in at $53,700 — relatively unchanged from 2013 and down 5.6% from the 1999 peak ($56,895).

In fact, the median household income nearly matches what was made in 1997 ($53,551).

Of course, making $53,551 wasn’t so bad back in 1997. The average price of gas was $1.22 a gallon and the median home price was $146,000, according to the Census Bureau.

But Americans can’t survive on 1997 money now.

In 2015, the average price of gas is $2.30 (88.5% increase from 1997) and the median home sale price as of July was $234,000 (60% increase from 1997). And let’s not forget that rental rates are soaring due to growing demand and shrinking supply. MPF Research reports that rents are up 5.2% from a year ago and have tagged a 15-year high.

In the “recovery” since the end of the Great Recession, America has lost too many solid, high-paying jobs and replaced them with low-paying positions. Americans are stuck trying to stretch dollars thinly across the very basics of life and don’t have enough left over for things such as savings, emergencies or luxuries.

Something has got to give. America is reaching a critical tipping point that could have disastrous repercussions for our struggling recovery, leading our economy back to the brink of collapse.

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