Because they have been preoccupied with concerns about a recession, economists have not been addressing these issues.
However, any economic slowdown this time around might actually be unique.
It might turn out to be a "richcession," a phrase popularised this week by Wall Street Journal reporter Justin Lahart to characterise a downturn that disproportionately harms the wealthy.
Recessions typically cause the most harm to the poor and middle class, whereas the Musks, Bezoses, and Zuckerbergs only endure "some inconvenience".
The possibility of a 2023 recession has been flashing a red warning flag due to dismal RV sales.
Updates on the December jobs report:
Employment on nonfarm payroll climbed by 223,000.
In reality, as the health crisis grew worse, the super-rich actually became wealthier in the early stages of the epidemic. Meanwhile, due to the unprecedented demand brought on by the massive layoffs, food banks were overburdened.
Is A Richcession Anticipated?
According to Lahart, a richcession may be on the horizon because, in terms of percentage growth, household wealth for the wealthy didn't increase as much during the epidemic as it did for the poor.
Wage rises to try to stay up with inflation and attract workers in a historically tight labour market, as well as stimulus checks and other government stimulus funds, all contributed to a growth in wealth at the bottom. While wages aren't increasing, income at the top is stagnating, and the wealthy are being hit particularly hard by the stock market's collapse over the past year.
Lahart also notes that the majority of the layoffs that have garnered media attention are focused in the computer industry, where employees frequently make six figures. For instance, the average Meta employee made around $300,000 in 2021.
Salesforce will lay off 10% of its workers, the latest tech layoff.
Putting a stop to unchecked wage rise could prevent a recession in 2023.
American workers from the working class are nevertheless in demand, but for significantly lower pay. Due in part to this, 223,000 new jobs were created last month, lowering the unemployment rate to record-low levels.
This is not to argue that low-income Americans would not suffer during a recession. Inevitably, they will be affected by layoffs if there is a recession. For many, this will entail losing their health insurance, using their retirement funds as a means of support, and turning to friends and relatives for assistance.
Therefore, it is worthwhile to take the time to get ready now, whether there is a recession or a richcession.
For USA TODAY, Elisabeth Buchwald covers personal finance and markets. You can subscribe to our Daily Money email here and follow her on Twitter at @BuchElisabeth.