As the holiday season descends upon New York City, a stark contrast emerges between the haves and have-nots. Amidst the gleaming facade of luxury stores like Printemps, shoppers can find themselves lost in a world of opulence, where the sounds of sipping champagne and the scent of freshly cut grass transport them to a realm of chic indulgence.
Yet, just steps away from these sumptuous surroundings, hundreds line up for free food and necessities at Trinity Church. The stark juxtaposition of wealth and poverty is a reflection of the K-shaped economy that has been gaining traction in recent years.
According to economist Peter Atwater, this divide was first observed during the 2008 financial crisis when federal stimulus efforts were focused primarily on the top tier of society. As Atwater noted, "those at the bottom experience price inflation at a time when those at the top are experiencing asset inflation." In essence, higher prices affect everyone but disproportionately impact those who are already struggling financially.
The numbers tell the tale. According to data from Bank of America, low-income households have seen minimal growth in spending over the past year, with only 0.7% increase, compared to a more substantial 2.7% growth for high-income earners. This disparity is reflected in credit scores as well, where the number of people with super-prime credit scores has climbed alongside those with sub-prime credit scores.
Corporate executives have begun to take notice of this trend, citing examples such as Delta's premium customers who are driving business- and first-class ticket sales or Coca-Cola's revenue growth led by its high-end products. Meanwhile, the struggles of middle- and low-income consumers, exemplified by McDonald's CEO Chris Kempczinski's comments about pressure on breakfast choices and eating at home.
The phenomenon is not new but has gained prominence under the Trump administration. Key anti-poverty programs have been cut or reduced, including tightened enrollment into the national food stamp program and funding for housing assistance. Research from the Robin Hood Foundation indicates that New York City's poverty rate has doubled to 25%, far surpassing the national average of 13%.
The affluent few continue to drive holiday spending splurge, often unaware or unsympathetic to the struggles of those in their wake. As Julien, a Printemps Christmas shopper, so aptly put it, "rich people are still rich." The chasm between wealth and poverty has become increasingly pronounced, leaving many Americans struggling to get by amidst a holiday season marked by opulence and excess.
Yet, just steps away from these sumptuous surroundings, hundreds line up for free food and necessities at Trinity Church. The stark juxtaposition of wealth and poverty is a reflection of the K-shaped economy that has been gaining traction in recent years.
According to economist Peter Atwater, this divide was first observed during the 2008 financial crisis when federal stimulus efforts were focused primarily on the top tier of society. As Atwater noted, "those at the bottom experience price inflation at a time when those at the top are experiencing asset inflation." In essence, higher prices affect everyone but disproportionately impact those who are already struggling financially.
The numbers tell the tale. According to data from Bank of America, low-income households have seen minimal growth in spending over the past year, with only 0.7% increase, compared to a more substantial 2.7% growth for high-income earners. This disparity is reflected in credit scores as well, where the number of people with super-prime credit scores has climbed alongside those with sub-prime credit scores.
Corporate executives have begun to take notice of this trend, citing examples such as Delta's premium customers who are driving business- and first-class ticket sales or Coca-Cola's revenue growth led by its high-end products. Meanwhile, the struggles of middle- and low-income consumers, exemplified by McDonald's CEO Chris Kempczinski's comments about pressure on breakfast choices and eating at home.
The phenomenon is not new but has gained prominence under the Trump administration. Key anti-poverty programs have been cut or reduced, including tightened enrollment into the national food stamp program and funding for housing assistance. Research from the Robin Hood Foundation indicates that New York City's poverty rate has doubled to 25%, far surpassing the national average of 13%.
The affluent few continue to drive holiday spending splurge, often unaware or unsympathetic to the struggles of those in their wake. As Julien, a Printemps Christmas shopper, so aptly put it, "rich people are still rich." The chasm between wealth and poverty has become increasingly pronounced, leaving many Americans struggling to get by amidst a holiday season marked by opulence and excess.
is just too much right now. I mean, who can afford those fancy champagne sips? Meanwhile, hundreds are lining up for free food at Trinity Church 
. It's like, yeah, corporations are doing well, but what about the rest of us struggling to pay our bills? 0.7% growth for low-income households is like, a joke 
. And credit scores? Forget about it 
. The more I think about it, the more I wanna make some changes in how we structure our lives and prioritize giving back 
. Maybe it's time to rethink that whole K-shaped economy thing 
.
. There's this huge disparity between people who are literally rolling in it and those who can barely scrape together enough for rent. It's not right, you know? And what really grinds my gears is that some of these high-rollers don't even realize they're leaving everyone else behind 
. I mean, come on, if you're gonna be a baller, at least acknowledge the people who are struggling to get by. It's just basic human decency, ya know? And it's not like this isn't happening anywhere - it's everywhere 
. We need to start recognizing that poverty isn't just some statistic or news headline, it's real lives being lived every day 
.
. And honestly, I think it's kind of sad, but also kinda insightful? Like, we can't ignore that there's a huge gap between those who are struggling to make ends meet and those who are living it up on their luxury holidays 
.
. But on the other hand, I think this divide also highlights how our economy has changed over time. It's like, we've created a K-shaped economy where those at the top are doing really well, while those at the bottom are struggling 
. Like, have you heard of the Robin Hood Foundation? They're doing some really cool work to help low-income families access food, housing, and other resources 
.
. It's crazy to think that folks who are already struggling are getting left behind while those who have more money get to enjoy all the perks 
.
. And the stats are just wild... 0.7% growth for low-income households vs 2.7% for high-income earners? That's a big difference 
.
. It's time for us to put our differences aside and focus on building a brighter future for all 
.
"The problem is not the problem. The problem is your attitude about the problem." We gotta rethink our priorities and create a more inclusive economy where everyone's got access to basic necessities, not just the 1%. 
.
. And it's not like they're not spending money at all - they're just making ends meet but can't afford to splurge like everyone else is.
. It's true, but what does that even mean? Can't we try to find a way to help those who are struggling instead of just letting them fall behind? 
.
like what's goin on? corporate execs r makin bank off the top tier but meanwhile low-income folks r gettin crushed 
& on the other, people are lining up for free food & essentials at trinity church 
. it's just sad to see ppl struggling so hard while others r livin' their best lives 
thinking about how ridiculous it is that some folks are sipping champagne while others are fighting for scraps at Trinity Church 
. Can't we just have a basic level of economic fairness for once? 
meanwhile we're worried bout getting enough money for textbooks and snacks 
The math doesn't lie, 0.7% growth for low-income households? What about the rest of us who are barely scraping by? It's not like we're all just sitting around twiddling our thumbs while the rich folks get their champagne fix 
I'm telling ya, the K-shaped economy is getting more real! 
. And it's not just the economy, corporate execs are catching on too! 
. The Robin Hood Foundation's research is eye-opening - 25% poverty rate in NYC? That's insane! 
. Meanwhile, the poverty rate in NYC has doubled under Trump's admin 
.