>Why did you ask the question if you thought you already knew the answer? "Incorrect" referred to "savings are money not being used", i.e. the rationale for yo

>Why did you ask the question if you thought you already knew the answer? "Incorrect" referred to "savings are money not being used", i.e. the rationale for your answer, not your answer itself. >If you think that savings and investments are synonymous then you are wrong. You just need to think it through a few more steps. For example, what do banks do? They take your savings and invest them. Bottom line is, savings are absolutely, definitely, and crucially not "money not being used". >the median American has accumulated a measly $6,400 in their decade before retirement. No, that's not what the number is. The number is savings, but excluding retirement funds. So if I put money into my Roth IRA or 401k, it's not counted, even though that can be just money sitting in a bank account or a GIC, i.e. very straightforward savings. >Right now, profits are record high while real salaries are shrinking due to inflation (i.e. due to massively raised prices). Yes, we have a big problem with inflation, and the Fed (and other central banks) are addressing it.