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PBS News Hour - Segments

K-shaped economy: Why the wealthy are thriving as most Americans fall behind

PBS News Hour - Segments

PBS NewsHour

News, Daily News

4.11K Ratings

🗓️ 14 October 2025

⏱️ 10 minutes

🧾️ Download transcript

Summary

The markets have climbed higher despite continuing concerns around the shutdown, tariffs and inflation. The S&P 500 and Nasdaq have set records more than 30 times this year and other data suggest the economy is chugging at a steady clip. But for the majority of Americans, this economy is landing very differently right now, and it's hardly good times. Economics correspondent Paul Solman reports. PBS News is supported by - https://www.pbs.org/newshour/about/funders. Hosted on Acast. See acast.com/privacy

Transcript

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0:00.0

This podcast is supported in part by the New England Innovation Academy in Marlborough, Massachusetts,

0:05.5

where today's students become tomorrow's innovators by discovering their passions and purpose while preparing for what's next,

0:12.1

reimagining education with a future-focused curriculum, entrepreneurial mindset, and real-world application,

0:18.1

currently enrolling grade 6 through 12, day and boarding students.

0:22.0

Learn more at NEIacademy.org. The markets may have finished this day on a mixed note,

0:28.3

but if you've been watching in recent months, you'll have noticed the markets have continued to be

0:32.6

strong despite continuing concerns around the shutdown, tariffs, and inflation. In fact, the broadest index, the S&P 500 and the tech-heavy NASDAQ have set records more than 30 times this year.

0:44.3

And there's other data that suggests the economy is still chugging along at a steady clip.

0:49.3

But that is only part of what's happening.

0:52.3

As our economics correspondent, Paul Salman, reports for the vast

0:55.5

majority of Americans, this economy is landing very differently right now.

1:01.0

This is meta-rayban display. You don't have to look far to get a clear view of those at the

1:08.4

tippy top of the economy. The first AI glasses with a high-resolution display.

1:13.6

Mark Zuckerberg's meta paying $250 million

1:17.6

to recruit an artificial intelligence researcher.

1:20.6

A proposed $1 trillion compensation package for Tesla CEO Elon Musk? Former Google Head Eric Schmidt's

1:30.2

purchase of a 123-room, $110 million L.A. Mansion to host events. But well below the

1:39.7

hyper-rich, millions of other Americans are also prospering. As evidence, 56% of luxury consumers,

1:46.9

according to SACS global, plan to spend the same or more this season compared to last,

1:52.5

up substantially from just last spring. Luxury travel continues to hold very strong.

1:58.6

Misty Bellis of Luxury Travel network virtuoso sees the same.

2:02.9

When we look at our fall bookings for this year, we are of 38% year over year.

...

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