To me the problem seems obvious, while the answers are obscure. World wide I believe we are seeing the attrition of the middle class as a natural by product of businesses out sourcing. Every first world employee is competing against every third world employee.
While demand for outsourced labor increases, at the cost of middle class jobs at home, the standard of living in those third world nations will also increase while first world nations suffer from stagnant or declining economies. In theory this trend would continue until there is a equalization of economies; a leveling of the playing field, but I find it more likely that businesses will find another source of cheap labor before this occurs.
Remember that publicly held companies have a fiduciary responsibility to maximize profits for stock holders. You are likely that stock holder if you have a retirement account. This also explains why CEOs, CFOs and the stock market are doing so well as the middle class diminishes.