Since one man’s spending is another man’s income, if everyone is saving more of their income, then demand for goods is reduced, which means incomes go down and, paradoxically, savings takes a hit.
In the first place, government spending or increasing exports can offset the potential consequences of a high national savings rate. Moreover, when money is saved through investments, that savings is used to fund growth.
Fewer people will work in the food industry, oil and gas, and healthcare industry for example. Maybe more people will be working in the renewal energy industry. We’ll also see innovations for the world’s problems not for problems that only exist to milk as much money out of consumers as possible.