Pandemic Spurs Faster Wealth Growth for Middle-Class and Lower-Income Americans

Lower-income and middle-class households in the United States experienced a faster growth in net worth compared to higher-income households during the early stages of the Covid-19 pandemic, according to a report by the Pew Research Center. Factors contributing to this growth include government relief packages, increased home prices, and a rebound in stock prices. However, despite these gains, poorer households still faced significant debt, and the financial improvements may not be sustained as incomes fell and household spending increased in 2022. Additionally, other reports indicate that lower-income Americans, particularly children, experienced a rise in poverty levels in 2022.