The disparity between the views of excessive and low earners on the economic system is surprising

Shoppers look at fruit for sale at Frank’s Quality Produce Co. at Pike Place Market in Seattle, Washington, USA, on Wednesday, May 28, 2025.

M. Scott Brauer | Bloomberg | Getty Images

Americans have very different views on the economy — and the divergence is partly due to income class, data shows.

Higher-income consumers were more likely to report stronger economic confidence when asked to think about the next year given changes since the presidential election, according to JPMorgan’s cost of living survey.

This publication adds to a growing body of qualitative and quantitative evidence that the U.S. economy is in a “K-shape,” a term used by economists to describe the variation in economic experiences by income. In other words, it may explain why wealthy Americans continue to spend while low-income earners buckle under inflationary pressures.

“Survey results suggest a notable divide,” JPMorgan’s Matthew Boss, a widely followed and respected consumer analyst, wrote in a note to clients Tuesday.

High-income respondents rated their self-confidence on average at 6.2 out of 10 – with 10 being the best grade. More than half of this cohort chose a score between 7 and 10, underscoring their rosy financial prospects.

Low-income consumers, on the other hand, reported an average score of 4.4. Less than a quarter of participants in this category reported a score between 7 and 10, creating a 30-point delta between these groups, according to Boss.

Across all income brackets, average respondents rated their confidence at 4.9 out of 10.

This income-based breakdown was once again prevalent when consumers were asked about their confidence in paying their monthly bills compared to six to 12 months ago.

Nearly 6 in 10 high-income consumers said these bills were simpler or easier to pay. But only 37% and 30% of middle and lower income groups, respectively, said the same.

Higher-income respondents were also more likely than other respondents to say they plan to increase spending on non-essential items in the next year, according to the JPMorgan survey.

JPMorgan isn’t the only organization to note disparities between income brackets in their economic outlook.

According to the University of Michigan’s monthly consumer survey, over the past two years, the top third of earners have reported an average consumer sentiment rating that is about 25% higher than the bottom third.

The latest Michigan poll results reflect interviews conducted from July 29 to August 29. 25 of a statistically representative sample of approximately 1,000 American households.