‘Jenga Tower’ US Economy Teeters as Middle Class Pulls Back Spending

The surprising resilience of the US economy this year is masking underlying weakness among low- and middle-income households, as higher-income Americans continue to drive growth.

This dichotomy between the haves and have-nots isn’t new, but the economic strain is now bleeding from the lowest earners to the middle class, creating an even starker divide that some economists say makes the economy more susceptible to a downturn.