In 2025, a major shift is happening in the U.S. economy: the richest 10% of Americans now account for half of all consumer spending. Over the last four years, their spending has jumped by 58%, while the rest of the population has only increased spending by 25%, just enough to keep up with rising prices. This growing gap means that the economy now relies heavily on wealthy individuals, raising concerns about how stable and fair it is for everyone else. As a result, many industries—such as car makers and airlines—are focusing more on selling luxury products and services for the rich, leaving everyday consumers feeling left behind.

As of August 2025, the U.S. economy is sending mixed signals. While the economy grew at a healthy 3% in the second quarter and large companies reported strong profits, the job market has started to slow down. Fewer new jobs were added in July, and past hiring numbers were revised downward, raising concerns that a recession could happen if job cuts continue. The Federal Reserve, which regulates interest rates to help control inflation, decided to keep rates steady at 4.25–4.5%. Though many hoped for rate cuts to boost the economy, the Fed is being cautious because inflation is still high and global trade tensions are adding uncertainty.