Turning Your Path Upward in a K-shaped Economy

by: Jeffery A. Keill, CFP, CIM, FMA, FCSI, CEA

Portfolio Manager and Senior Wealth Advisor

In recent years and especially after Covid, the modern economy is no longer a single rising tide lifting all the boats in the harbour. It’s a fork—one path rising for some and one falling for others. This has led to the K-Shaped economy. Some advance more easily it seems, while many feel left behind and ready to capitulate before adulthood gets going. For young people, this split can feel discouraging, even unfair. In our office we call this “Failure to Launch”. 

Keep the faith my friends. Prosperity is still possible when you understand the forces at play and choose your steps with intention. These forces WILL, not, move you upwards or keep you down. 

Failure to understand them and use them wisely will be no one’s fault but your own. Maybe you did not know them and that is a reason for your situation. Once you learn them however- you will have no more excuses.  Take ownership of your life and take action. 

Reader Warning: Read on if you must, but be warned that once you read what follows, ignorance will no longer be an available plea. 

Ok- here it is.  I believe to turn your path upward it must be built upon three pillars: capability, stability, and ownership.

Capability. Develop skills that are scarce and valuable—skills that solve real problems for real people. Whether in the trades, technology, healthcare, or creative industries, the goal is the same: become someone whose work moves the needle. Have the skills that people need. Be in demand. 

Stability. Lower your financial fragility. Take an active and systematic approach to intentionally reducing fixed costs, eliminating high-interest debt, and automating even modest investments creates breathing room—and breathing room creates opportunity.

Rest assured- it ain’t the dollars… ‘tis the habits. Every dollar is to have purpose and every purpose to have a dollar, as you might have heard me say in the past. There is no luck. There is only Kaizen. Kaizen is the small incremental changes that create big results. 

Ownership. This is the long-term differentiator. Do not be a collector of things that depreciate. This is a fool’s folly that leads to a lifetime of servitude or mediocrity at best. Sad, but this materialistic pressure is what causes many people to fall behind.  Be a collector of things that appreciate in value: shares of businesses, real estate, a small business, a side service, or intellectual property—these are the engines that build lasting wealth over time. No one ever became wealthy by buying stuff like cars, cellphones, and brand name attire. 

The truth is that young people and young families don’t need to try and “beat the system.” They need to understand it, navigate it, and build within it. The K‑shaped economy may be the landscape—but your path through it is still yours to design. If you change your habits, you will, I promise, change your life. 

Posted June 2026