If 9 out of 10 people's wages increase by 10% and the remaining one out of 10 sees their income go up by 1,000% did the economy get worse (assuming cost of living remains stating)? How so, given everyone's real incomes rose?
This is why I'm usually skeptical of most claims that point to inequality as proof the economy is doing poorly. In absolute metrics, people's lives are usually getting better. The Economist ran an article a while ago that measured standards of living in absolute metrics (% of households without electricity or plumbing, whithout an automobile, that sort of thing). Almost across the board, everyone's situations are better. The main downturn is home ownership and apartment situations - but that's more to do with cities' housing restrictions rather than the economy.
