WASHINGTON (TNND) — Despite mounting frustrations over the economy, high gas prices and years of elevated inflation, Americans have continued to open their wallets and maintain the spending that is the backbone of the U.S. economy.
Consumers have been able to keep spending for years in the face of elevated inflation, economic uncertainty and an elevated rate environment in part because most Americans remain employed, giving them a steady stream of income even with less hiring. But wages are also struggling to keep up with price increases, savings are dwindling and more money is being spent on gasoline, raising questions about how much longer households can maintain that resilience without relying on debt.
The resilience remained on display in August, when spending climbed 0.9% even though wages only rose by 0.3%, according to the Bureau of Economic Analysis.
Consumer spending is the…
