"Homi Kharas, a researcher at the Brookings Institution, estimates that by 2020, the world's middle class will grow to include a staggering 52% of the total population, up from 30% now."
It sounds like good news, right? And, of course, it is -- the projection is attributed to folks moving up from poverty, not down from wealth. But according to Moises Naim, the thunder created by the far-off middle class herd is already audible... And it is getting louder.
Briefly, a larger middle class creates a higher demand for the comforts we're all used to, like an ample variety of foods, modern appliances, and a wardrobe (and not just the clothes on your back). And what does a higher demand make room for? Higher prices. And scarcity. It's simple economics, and according to Naim, it's unpredictable, and it's going to be noisy.






Comments
Please note that all comments must adhere to the NPR.org discussion rules and terms of use. See also the Community FAQ.
You must be logged in to leave a comment. Login | Register
More information needed to participate in the NPR online community.. Add this information