I came to the same conclusion after going back to a middle class country with my parents in early high school. On the salary of two public school teachers which is middle class though above average, life was not so different from in Canada on the salary from the same profession. Better in some ways, worse in others, overall only slightly worse.

That would have been insane a few decades earlier, and it's not just because of improving third world countries, but also because as you said the noose tightened - everything became more expensive, especially rent, working hours increased, two salaries became necessary, etc..