Inflation can only outstrip wages for so long. Sooner of later there has to be a correction, or there's no one left to buy anything and nothing to buy.
The correction can be large, sudden and painful or gradual, slow and painful.
IMHO people can adapt to slowly changing conditions. As things tighten look for families to move in together. During the 30s it wasn't uncommon for for three, sometimes four, generations to be under one roof. This may be the up side to the huge McMansions. Stuff the grandparents in one bedroom, and and the grand kids in another. Convert that golf course sized yard into a garden and the SUV, on blocks in the great southern tradition, into a potting shed.
What really hurts is, like falling off a cliff, the sudden stop at the end. In economics it is the sudden shocks that tears things up and causes the greatest pain.
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