The New Normal

The US economy is now a three-tiered beast, says economist Heather Long. It’s no longer just a simple rich vs poor, or ‘K-shaped’, scenario. The ‘E-shaped’ economy is here, and it’s a mess. The middle class is spending, but they’re doing it with a sense of nervousness that’s hard to shake.

An Affordability Crisis

Heather Long thinks this is all because of the ongoing affordability crisis. People are struggling to make ends meet, and that’s changing the way they spend their cash. It’s not just about being rich or poor; it’s about being anxious or not. The middle class is caught in the middle, trying to navigate this weird new world.

So, what does this mean for the average Joe? It means they won’t be splurging on fancy stuff anytime soon. They’ll be too busy trying to pay their bills and put food on the table. It’s a bleak outlook, but hey, at least it’s honest.