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"For higher-income individuals, that spending is still way far off from where it was prior to COVID and it has not recovered as much,"
This only matters for those employed in the Luxury Yacht building.
They have a lot of discretionary income and before the pandemic were spending a significant chunk of that going to nice restaurants, the theater, or traveling and staying in nice hotels. Those are precisely the things that have been off-limits since the coronavirus hit.
saying high-income ppl who still allocate their money more for consumption than investing are 'rich' is a mis-labeling snafu.
Rich do not prop up the economy via spending (creating more consumption). They do so by investing money instead (creating more production).
Interesting to see if that really happens. I presume the "Jap cars" you mean cars other than the currently bottom priced Versa or Kicks.
For higher-income individuals, that spending is still way far off from where it was prior to COVID and it has not recovered as much
TrumpingTits sayssaying high-income ppl who still allocate their money more for consumption than investing are 'rich' is a mis-labeling snafu.
This is NPR. They explicitly put top 25% into the "rich" category.
To 25% is "rich?" If we are talking about income, that would mean anyone earning over $100k/year is rich. It appears that Patnet is inundated with rich people.
Researchers based at Harvard have been tracking spending patterns using credit card data. They found that people at the bottom of the income ladder are now spending nearly as much as they did before the coronavirus pandemic.
"When the stimulus checks went out, you see that spending by lower-income households went up a lot," said Nathan Hendren, a Harvard economist and co-founder of the Opportunity Insights research team.
However, the wealthy are not matching them. "For higher-income individuals, that spending is still way far off from where it was prior to COVID and it has not recovered as much," Hendren said.
That's potentially crippling because consumer spending is a huge driver of economic activity. In fact, so much of the country's economy depends on shopping by the top income bracket that the wealthiest 25% of Americans account for fully two-thirds of the total decline in spending since January.
https://apple.news/Abrnvyhk4Th2470agRRVJ1g