China's Middle Class

According to Businessweek $1250/month combined income will put a couple solidly into the middle class of China. But, it won't buy them a house.

Not to fret, most middle class earners can't buy a house in the US either - at least not in any desirable location. My dabbling-in-real-estate wife tells me that it is a well known maxim - Sellers want too much money and buyers don't want to pay that much. China, it seems, is no different.

China invested $23.6 billion in only three months in residential development - but less than $1 billion of that went into low-cost housing. The result is rich keep getting richer and the poor to middle class simply watch.

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