I once read a quote that said, "Savings is the gap between your ego and your income”, from a book by Morgan Housel—The Psychology of Money.
In his book, Housel argues that wealth is created by suppressing what you could buy today to have more stuff or more options in the future.
And while this is true, does it mean that if I simply had the humility of a lamb, I would save more or be wealthy? Of course not.
At this point, we can turn to standard economic theory, which states that interest rates influence the direction the broader economy will go when making decisions concerning savings.
Essentially, two classes of people make up the economy. The first group are those with more money or income than they need to spend on goods and