> which just means they spend everything and don't save

Here, lemme fix that for you:

"Which means everything costs too much and they can't save because they can't earn a livable wage thanks to everything going to the top 1%"

Except the data doesn't reflect that at all. Americans on average are among the richest people in the world. People who make the median income just often spend it all.

Housing is an issue, primarily because people want detached homes and we don't build enough of anything including condensed or mixed-density builds. Aside from that people are obviously still spending. Tech and gadgets, cars, restaurants etc.