Sure, what you describe is usually in the Macro textbooks. However in XXI century USA, Consumption has been detached from ‘wages’ for a while now (“since the 19

Sure, what you describe is usually in the Macro textbooks. However in XXI century USA, Consumption has been detached from ‘wages’ for a while now (“since the 1970s”, ie 2 generations, per https://www.epi.org/productivity-pay-gap/ https://www.epi.org/productivity-pay-gap/) In reality, the top income brackets are propping up Consumption numbers. This is part of what have become to understand as the ‘K’ shaped economy, together with the speeding up of capital accumulation/concentration. https://www.dallasfed.org/research/economics/2025/1125-yang-consume https://www.dallasfed.org/research/economics/2025/1125-yang-... Edits for clarity