Did undermining the economic middle class lead to demoralization abanddonment of liberal democracy?

Answer 1

Yes. A democratic government is by definition one that works for the national interest. The middle class epitomizes that interest because it represents the people who contribute and benefit from the political order and are in a position to jump into the elite category by virtue of their abilities, qualification and wealth. Undermining the middle class is a shortsighted policy by a pseudo elite determined to preserve its position by establishing a monopoly. Such policies are disastrous in the long run because they will choke creativity and lead to economic stagnation and political unrest hurting everyone along the way.