The wealth of the average person by 2010 was at its lowest level since 1969. The American at the midpoint in the wealth distribution had a net worth of $107,800 in 2007, falling to $57,900 in 2010 (in constant 2007 dollars) – actually less than the value in 1969 ($63,600).
The steep drop in asset prices during the recession, particularly housing, hit the “middle class” harder than more affluent Americans. Blacks and Hispanics and young adults also increased their net worth earlier in the decade, because so much of their assets were tied up in home ownership. These gains were wiped out during the recession. home values, which still make up two-thirds of their total wealth, and their high levels of mortgage debt have been the main cause of increasing wealth inequality since 2007.
The steep drop in asset prices during the recession, particularly housing, hit the “middle class” harder than more affluent Americans. Blacks and Hispanics and young adults also increased their net worth earlier in the decade, because so much of their assets were tied up in home ownership. These gains were wiped out during the recession. home values, which still make up two-thirds of their total wealth, and their high levels of mortgage debt have been the main cause of increasing wealth inequality since 2007.
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