The larger consumer demand was largely due to higher levels of disposable income which was in turn largely due to higher levels of income equality. By most mea

The larger consumer demand was largely due to higher levels of disposable income which was in turn largely due to higher levels of income equality. By most measures we are much richer in aggregate these days but since the wealth trickled up and the working/middle classes struggle to fund the basics (housing, education, food, etc.), discretionary spending is much lower. Yet still the neoclassical myth that there's a trade off between inequality and wealth creation persists.