New York —
The biggest economic buzzword of the last few years is “K-shaped.”
CEOs, economists and lawmakers all use the letter K to describe the divergence between the haves and have-nots in America’s economy, from the housing market to spending on gas.
The wealthiest people in America have split from the poorest. The war in Iran is making it worse, squeezing low-income households that spend the largest portion of their income on gas and necessities.
But it’s now becoming clear that the income distribution in America is not shaped like a K, and the letter is the wrong way to explain the economy.
