We know that Camp Kerry has been wrong about job growth and income growth, but what about the rest of their economic case? In particular, are middle-class families squeezed more today than at other times in history? In a word: No.
Bankruptcy data help refute the Kerry-Edwards claim. The Federal Bankruptcy Court releases data on a quarterly basis, and most recently on August 27. It turns out that total business bankruptcy filings fell by 22 percent in the second quarter. According to Economy.com, this means that business bankruptcy filings have now declined for the ninth time in the past 10 quarters.
The news in personal bankruptcies is also good. They’ve fallen for the third consecutive quarter on a year-over-year basis. This is the largest year-over-year drop since the third quarter of 2000. John Kerry’s claim that bankruptcies are at an all time high is simply false. Ask yourself this question: Would both business and personal bankruptcies be falling precipitously if America was in the midst of a middle-class squeeze?
Another Kerry Urban Myth bites the dust.