Wealthy Americans Drive U.S. Economy as Top 10% Account for Nearly Half of Consumer Spending

Wealthy Americans drive economic growth as the top 10% of earners now account for nearly half of all consumer spending. The surge is bolstered by stock market and real estate gains. A Moody’s Analytics report shows their spending rose 12% from 2023 to 2024, while middle- and working-class households cut back. This divergence has made the U.S. economy increasingly dependent on affluent consumers, whose confidence could shift with market fluctuations. Luxury travel and goods sales have surged while retailers catering to lower-income shoppers struggle. Analysts warn that a stock market selloff or declining home values could have widespread economic effects.