[Anymnillulky]

The benefit we are supposed to be getting is a safety net when we're older. Of course we (anyone who isn't retiring in the next two decades) aren't getting that as things currently stand, which is why SS and Medicare need to be changed to something sustainable.

As for domestic investment and wage growth, the author seems to be confusing cause and effect to come to an unrelated conclusion. Due to globalization we compete on labor and where to invest far more today than 40 years ago. It's only natural that we would domestically invest a lower percentage of income and have more competition when it comes to wages. This is definitely a good thing in aggregate.

Also, I am not convinced that spending is any more/less beneficial to the economy than saving/investing. Whether I put $5 in the bank, $5 into stock of a food processing company, or $5 into a bag of chips shouldn't be much of a difference for the economy. (Relative to the size of the transaction.) I would say if you look just at that one transaction, it would be better for the economy (right now) for me to spend the $5, as we are suffering from a lack of demand for goods and services. We have more capacity and inventories than we put to use right now.

Of course once you follow the money down the rabbit hole, there's little to no difference between the options.