I think globalization has a big hand in this. My father, a welder by trade, has been relatively lucky because he's government certified to work with galanized and stainless steel which isn't easy work. Lots of his friends have seen their jobs outsourced to third-world countries where the work is done for a fraction of the cost. You have two choices, work for less or move on.

The economy in the St. Louis area has taken a huge hit in recent years. The Boeing buyout of McDonnell-Douglas meant that tons of machinist and office jobs were lost because of redundant programs between the two companies, and the Big three automakers all had plants here. Only one does now and it's cut from two shifts daily to one. The impact is noticable. I wonder how the automakers will make money when nobody can afford their cars because the good paying jobs have been shipped overseas.

Additionally, people aren't making much more, but their expenses are much higher. Healthcare, fuel, home utilities, food, et al. have all seen dramatic increases in costs. In many cases, this is by our own design. 99% of the people driving huge SUVs don't need them. A more fuel efficient car would serve the same purpose. Consumerism is the new American way too. It's nice to have nice things, but in the old days when your TV broke, you took it to a repairman and had it fixed for a nominal price. Now you throw it out and go to Wal-Mart to buy another one.