To understand the demise of the middle class that everyone is talking about is actually four concepts: assets, liabilities, income, and expenditure.

In the past era, China was a period of national development dividends, and at the same time, my country’s Internet technology industry was also a period of industrial development dividends. The middle managers of large factories boarded speedboats in the torrent and double-speeded up, and found themselves in real estate and company options/shares in big cities. Both the "assets" and the "income" of wages and bonuses in large factories are rising rapidly.
As a result, many middle-class people take the prosperity brought about by this bonus period as a matter of course, thinking that it will always be like this, and plan their "debts" and "expenditures" according to this way of thinking. The essence of a full-time wife, tens of millions of mortgages and children in international schools is to voluntarily give up half of the "income" and bear high "debts" and "expenditures".
However, the economic downturn cycle will always come, and the industry dividends will always be eaten up, and these changes are more sudden due to reasons such as the epidemic, decoupling, and policies. , "income" and "assets" are both cut in half, but the corresponding "expenditures" and "debts" are difficult to change in the short term. From the perspective of corporate finance, there are both liquidity risk and solvency risk at the same time, and it is difficult to restructure even after bankruptcy.
So... everyone stays simple in food, clothing, housing and transportation, and finds ways to make money without shame.