On Friday’s episode of “CNN Newsroom,” Mark Zandi, Chief Economist at Moody’s Analytics, shared insights into the financial well-being of different income groups in the United States. He highlighted that the top third of income earners are thriving, while those in the middle are faring moderately well, and the bottom third are facing severe challenges.
Zandi noted that “maybe a bit more” than half of Americans own stock, but only about a third possess enough to significantly impact their finances. Furthermore, he pointed out that two-thirds of Americans are homeowners, benefiting from increased house prices. Conversely, a third of Americans rent their homes, and many are being priced out of the housing market due to high property prices and mortgage rates.
“If you’re in the top third of the income distribution, everything’s fine. You’re doing really well, enjoying high stock prices, stable employment, and rising wages,” Zandi explained. “In contrast, if you’re in the middle third of the distribution, you’re doing okay. It’s not great, but it’s not bad either. However, for those in the bottom third, the situation is very, very difficult and tough to navigate.”
He attributed some of the rising frustrations to these inequalities but expressed cautious optimism. He mentioned that inflation is decreasing and food prices have remained stable over the past year, with wages on the rise. “Although there’s no single event to change everything overnight, I believe that with each passing month, people will start to feel better. This is a process,” Zandi concluded.
