For the typical consumer, one difference between the stage 2 in the Financial Life Cycle and stage 3 in the Financial Life Cycle is that:

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Stage 2 of the Financial Life Cycle is typically characterized by the accumulation phase where individuals earn more than they spend, allowing them to save and invest. In contrast, stage 3 is the decumulation phase, often during retirement, where individuals spend more than they earn as they rely on savings and investments.

For the Typical Consumer, One Difference Between the Stage 2