America's Vanishing Middle Class: How a "Dual Economy" Threatens National Unity This episode reviews American economist and economic historian Peter Temin’s introduction to his book The Vanishing Middle Class. It explores the growing income inequality in the United States, arguing that the nation is dividing into rich and poor and shifting from a “one-humped” to a “two-humped camel” income distribution. Temin contends that the disappearance of the middle class, along with the legacy of American history—particularly slavery and racial segregation—complicates this divide. He introduces the Lewis model of a dual economy to explain how two distinct economic sectors, with differing levels of development, have emerged and are sustained through political policies. The text further examines the intersection of race and class, highlighting how these dynamics shape policy decisions such as mass incarceration and the chronic underfunding of urban education. These forces hinder social mobility and perpetuate cycles of poverty for many. Finally, Temin suggests that understanding this dual economic structure is essential to addressing the nation’s challenges and fostering greater unity.