WASHINGTON (AP) — The growing gap between the richest Americansand everyone else isn't bad just for individuals.

It's hurting the U.S. economy.

So says a majority of more than three dozen economists surveyedlast week by The Associated Press. Their concerns tap into a debatethat's intensified as middle-class pay has stagnated whilewealthier households have thrived.

A key source of the economists' concern: Higher pay and outsizestock market gains are flowing mainly to affluent Americans. Yetthese households spend less of their money than do low- andmiddle-income consumers who make up most of the population butwhose pay is barely rising.

"What you want is a broader spending base," says Scott Brown,chief economist at Raymond James, a financial advisory firm. "Youwant more people spending money."

Spending by wealthier Americans, given the weight of theirdollars, does help drive the economy. But analysts say the economywould be better able to sustain its growth if the riches were moreevenly dispersed. For one thing, a plunge in stock prices typicallyleads wealthier Americans to cut sharply back on theirspending.

"The broader the improvement, the more likely it will besustained," said Michael Niemira, chief economist at theInternational Council of Shopping Centers.

A wide gap in pay limits the ability of poorer and middle-incomeAmericans to improve their living standards, the economists say.About 80 percent of stock market wealth is held by the richest 10percent of Americans. That means the stock market's outsize gainsthis year have mostly benefited the already affluent.

Those trends have fueled an escalating political debate. In aspeech this month, President Barack Obama called income inequality"the defining challenge of our time."

Obama also called for an increase in the federal minimum wage,now $7.25. Republican leaders in the House oppose an increase,arguing that it would slow hiring.

Several states are acting on their own. California, Connecticutand Rhode Island raised their minimum wages this year. Last month,voters in New Jersey approved an increase in the minimum to $8.25an hour from $7.25.

Income inequality has steadily worsened in recent decades,according to government data and academic studies. The most recentcensus figures show that the average income for the wealthiest 5percent of U.S. households, adjusted for inflation, has surged 17percent in the past 20 years. By contrast, average income for themiddle 20 percent of households has risen less than 5 percent.

The AP survey collected the views of private, corporate andacademic economists on a range of issues. Among the topics werewhat policy decisions, if any, the Federal Reserve might announceafter it ends a policy meeting Wednesday.

Three-quarters of the economists surveyed don't think the Fed isready to announce a pullback in its economic stimulus. Speculationhas been rising that the Fed will soon scale back its $85 billionin monthly bond purchases because of the economy's steady gains.The bond purchases have been intended to keep long-term loan rateslow to induce people to borrow and spend.

Most of the economists think the Fed will begin slowing its bondbuying in January or March.

And most don't think the economy needs the Fed's help. Just overhalf say they believe growth could reach a healthy 3 percent annualpace even without the Fed's extraordinary help.

As Janet Yellen prepares to succeed Ben Bernanke as chairmanearly next year, most of the economists expect the Fed to becomemore "dovish" — that is, more focused on fighting unemployment thanon worrying about higher inflation that might result from the Fed'sactions. The Senate could confirm Yellen as soon as this week.

The economists are also confident that U.S. growth is pickingup. Three-quarters said the recovery, which officially began 4½years ago, has yet to reach its peak. And nearly all think the nextrecession is at least three years away; half think it's at leastfive years away.

The economists forecast that growth will average 2.9 percent in2014. That would be the healthiest annual pace since 2005.

One reason they expect healthier growth is that the effects oftax increases and government spending cuts that kicked in earlythis year should fade.

A budget bill that passed a pivotal test in the Senate onTuesday will reverse some of those spending cuts. That should addslightly to economic growth. The bill also removes the threat ofanother government shutdown next year.

Among the economists' other views:

— The Obama administration's health care law will make little orno difference to the job market. About two-fifths said the lawwould cost jobs. None said it would increase hiring. The law hasdrawn fierce opposition from many small business owners, who say itwill raise hiring costs by requiring companies with 50 or moreemployees to provide coverage starting in 2015.

— The stock market isn't in a bubble. While the Dow Jonesindustrial average reached record highs earlier this year, mosteconomists said that higher profits largely justified thegains.

— Europe will keep growing and avoid a recession in 2014. Butgrowth will remain so tepid that inflation will be nearlynon-existent. Nearly two-thirds of the economists forecast thatinflation won't consistently reach the European Central Bank'sinflation target of 2 percent until 2016.

— Inflation in the United States will remain low for the longrun. A majority of economists think consumer inflation won'tconsistently meet or exceed the Fed's 2 percent target level until2015 or later.

Economists appear to be increasingly concerned about the effectsof inequality on growth. Brown, the Raymond James economist, saysthat marks a shift from a few years ago, when many analysts weredivided over whether pay inequality was worsening.

Now, he says, "there's not much denial of that ... and you'restarting to see some research saying, yes, it does slow theeconomy."