The rise of the 'dollar store business model' caters to a disappearing
'middle class' who are incurring shrinking incomes. This has made 'dollar
stores' prosper, in the last decade. Dollar stores, for most Americans, have
carried an odd sort of stigma. In the past, these stores were seen as
shopping for the poor, only. We are all now aware that many people who were
in the once strong American 'middle class' were thrown off of the prosperity
path and into 'lower income' brackets from business layoffs, downsizing, and
salary reduction. While regular product companies struggle the expanding
'dollar stores' have found a niche in this economic climate. The shrinking 'middle
class' means more customers for 'dollar stores'.
A big part of the 'new recovery' is lining up at midnight at Wal-Mart
stores in order to purchase food. There are families not able to feed their
families by the end of the month. They are literally lining up at midnight at
Wal-Mart stores, waiting to buy food along with their Electronic Benefit
Transfer (EBT) Cards when their funds are deposited into their accounts.
EBT cards are an electronic system that allows state welfare departments
to issue benefits via magnetically encoded payment cards, used in the United
States. The average monthly EBT payout is $125.00 per person!
Common benefits provided (in the United States) via EBT, are typically of
two general categories: food and cash benefits. Food benefits are federally
authorized benefits that can be used only to purchase food and non-alcoholic
beverages. Food benefits are distributed through the Supplemental
Nutrition Assistance Program (SNAP), formerly the Food Stamp Program.
Cash benefits include state general assistance, Temporary
Assistance for Needy Families (TANF) benefits, and refugee benefits.
There appears to be a 'growing great divide' with in the current U.S.
economy. The financial sector is swimming in their 'bailout-induced profits'.
Within their elite circles, it appears as if the 'recession' is over.
However, within the average American family, they are not experiencing
available access to new credit cards, equity in their homes is vanishing and
they do not have a store of available capital they can access like a 'stock
portfolio'.
The table below clearly shows the middle class making less money year
after year while the wealthy earn more each year. The money is slowly
shifting from everyone to just the one-percenters - YIKES
Conclusion:
In short, the average American is slowly earning less and becoming
financially stressed about their future outlook.
If you are one of these hard working individuals experiencing a decline in
business/income its best you do some research and change what you are doing
because things will likely get much worse before they get better.
Mainly because of Trump thousands of Americans are looking to leave the
country with the search term "How to Move to Canada" up over
1000% last month. While I love Canada, myself being a Canadian and all, there
are many other great places to live and a very full life at a fraction the
cost of Canada/USA.
Couple years ago I went to the DR (Dominican Republic) to see if it would
work for my family in the winters to escape the cold and be surrounded in
palm trees, ocean and kitesurfing. It was an awesome experience with a huge
amount of development, tons of Canadians, retirees, and elegant vacation
properties available at Holden
Sotheby's.
