USA cannot be a consumption based economy because too many households earn too little to support a
consumption based economy.
More saving and less spending, which means less public deficit spending, as well.
I agree - so then what kind of economy do we have? A third world economy? I believe many developing economies have brighter prospects - they have not been ravaged by Liberalism. Take the Philippines, for example.
What USA needs in saving/investment based economy in which consumers spend less and save more. This will create a pool of real savings for investment, as opposite to Fed printing money and creating phony pool of cheap capital that needs endless money printing for sustainability.
Bottom line: if income cannot support consumption, then consume less.