NOTE: If you are short on time, watch the video and complete this See, Think, Wonder activity: What did you notice? What did the story make you think? What would you want to learn more about?
SUMMARY
The markets have climbed higher despite continuing concerns around the shutdown, tariffs and inflation. The S&P 500 and Nasdaq have set records more than 30 times this year and other data suggest the economy is chugging at a steady clip. But for the majority of Americans, this economy is landing very differently right now, and it's hardly good times. Economics correspondent Paul Solman reports.
View the transcript of the story.
News alternative: Check out recent segments from the NewsHour, and choose the story you’re most interested in watching. You can make a Google doc copy of discussion questions that work for any of the stories here.
WARM-UP QUESTIONS
- What data suggests the economy is growing at a steady pace?
- Who is benefiting most from the economy, according to this segment? Who is hurting from the economy?
- Why do the experts interviewed in the story say the economy is not improving for 80% of the country?
- What is a "K-shaped" economy, and how does it impact consumers differently?
- How are lower-income Americans adapting to the current economy?
ESSENTIAL QUESTIONS
- Why has the economy become "K-shaped"? What changes do you think would make the economy work better for lower-income Americans?
- How do you think the economy might impact politics, culture and divisions in America if it continues on the current trend?
Media literacy: Examine the infographic below. Why do you think this graphic was included as part of the segment? Why do you think the percentage that believes the American Dream is out of reach is the highest in 15 years?
WHAT STUDENTS CAN DO
- Read over the transcript or re-watch the part of the segment starting at 2m:15s that starts with Solman saying, "Problem is, even when you include these upper-middle-income Americans among the prosperous, that still leaves a full 80 percent who are feeling squeezed, like geologist Timothy Runkle." Read/watch the comments from the individuals the News Hour interviewed who are struggling in this 80% category. Reflect on how they are struggling and the reasons why they are struggling in your notebook or with a partner. Share your reflections with a family member or friend and discuss the current economic hardships the vast majority of Americans are experiencing and what can be done about it.
- Read the article "IMF upgrades U.S. economic outlook as tariffs cause less disruption, for now" and discuss the following —
- Why did the International Monetary Fund upgrade the economic outlook of the United States?
- Based on this article, what are some potential hazards that might slow growth or lead to a downturn?
International Monetary Fund chief economist Pierre-Olivier Gourinchas speaks during the “World Economic Outlook” press briefing with IMF Communications Officer Jose Luis de Haro, Deputy Director of the International Monetary Fund’s Research Department Petya Koeva-Brooks and Division Chief of the International Monetary Fund’s Research Department Deniz Igan, at the IMF/World Bank 2025 Annual Meetings in Washington, D.C., U.S., October 14, 2025. REUTERS/Elizabeth Frantz
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