Speed,
People don't need credit because everything is expensive. People can choose what to use and whatnot. Ignoring the obvious socio-economic factors that minimum wage, etc could impact, I'm referring to middle of the road, blue collar / white collar jobs, sub 100K salary (let's say 50K even).
We run our house with a tight ship. If we need it today it's an emergency, otherwise we buy when it's on sale, or order from amazon to save money. We plan trips around timings that cost less, watch for seat sales, etc. We don't shop high end grocery stores --- we watch the flyers and buy bulk. It's afforded us to literally buy organic for the important stuff (milk, fruits, veggies), and buy quality meats, because we buy half a cow at a time, or we buy in bulk with other friends.
If you saw our income you'd be shocked how we manage. We run a tight ship, but it's a choice. We still take family vacations, we still do sports, we still do everything else, but what we don't do is $5 coffees every day, $40 ATM withdrawals for random expenses we can't track, etc.
If we have clutter that we don't need, we sell it on kijiji. If we're doing a reno, we manage it ourselves and hunt down the trades ourselves.
Yes, I deal with the same taxes you do. Honestly I work with probably 150+ clients (personal and business) and see the difference between those who are intentional, and those who run paycheque to paycheque. Those who run paycheque to paycheque don't think about how they're spending --- I see it on their bank statements. Liquor stores, constant fast food, etc.
Yes I'm generalising, but my experience has shown that the middle class if they manage their "home" right (barring the rare emergency) can save, spend less, still live a good life, and retire reasonably comfortably.
Walmart is still walmart. You can still buy reasonably priced goods. Value village has great clothing at affordable prices. The average middle class family, with middle class income, shouldn't have a problem living if they are *INTENTIONAL* about how they manage their finances.
I would argue this one until I'm blue in the teeth. Sorry.