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IPFS News Link • Economy - Economics USA

Recession Red Flag: The Wealthy Aren't Spending

• https://www.zerohedge.com, Tyler Durden

Many economists and analysts have said that the backbone of the American economy is the consumer. But according to CNBC, the wealthiest consumers have cut their spending while the middle class continues. The rich have cut their spending on everything from homes to jewelry and those personal spending cuts are sparking fears of a "trickle-down recession."  From real estate and retail stores to classic cars and art, the weakest segment of the American economy right now is the very top. While the middle class and broader consumer sections continue to spend, economists say the sudden pullback among the wealthy could cascade down to the rest of the economy and create a further drag on growth.


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