And double yearly income for 150 million working Americans is a hell lot more benefit for them than the $600 washing machine.

Indeed. And we should absolute pick that if we are presented with those two options.

All market effects are exponential. Of course a doubled salary is unrealistic, but not ridiculous. The generation of people who are elderly today, had more than double the salary of anybody who is a worker today. Yes, they had more expensive consumer goods, but they could instead afford the important things: land, houses, vehicles and have a surplus to invest.