Older workers who are jobless are caught in a particularly precarious state of affairs. As the report put it:

“We are witnessing the birth of a new class  the involuntarily retired. Many of those over age 50 believe they will not work again at a full-time ‘real’ job commensurate with their education and training. More than one-quarter say they expect to retire earlier than they want, which has long-term consequences for themselves and society. Many will file for Social Security as soon as they are eligible, despite the fact that they would receive greater benefits if they were able to delay retiring for a few years.”

There is a fundamental disconnect between economic indicators pointing in a positive direction and the experience of millions of American families fighting desperately to fend off destitution. Some three out of every four Americans have been personally touched by the recession  either they’ve lost a job or a relative or close friend has. And the outlook, despite the spin being put on the latest data, is not promising.

No one is forecasting a substantial reduction in unemployment rates next year. And, as Motoko Rich reported in The Times this month, temporary workers accounted for 80 percent of the 50,000 jobs added by private sector employers in November.

Carl Van Horn, the director of the Heldrich Center and one of the two professors (the other is Cliff Zukin) conducting the survey, said he was struck by how pessimistic some of the respondents have become  not just about their own situation but about the nation’s future. The survey found that workers in general are increasingly accepting the notion that the effects of the recession will be permanent, that they are the result of fundamental changes in the national economy.

“They’re losing the idea that if you are determined and work hard, you can get ahead,” said Dr. Van Horn. “They’re losing that sense of optimism. They don’t think that they or their children are going to fare particularly well.”

The fact that so many Americans are out of work, or working at jobs that don’t pay well, undermines the prospects for a robust recovery. Jobless people don’t buy a lot of flat-screen TVs. What we’re really seeing is an erosion of standards of living for an enormous portion of the population, including a substantial segment of the once solid middle class.

Not only is this not being addressed, but the self-serving, rightward lurch in Washington is all but guaranteed to make matters worse for working people. The zealots reading the economic tea leaves see brighter days ahead. They can afford to be sanguine. They’re working.