United have taken just 4 points from their last five league games, scoring five goals and conceding six under manager Michael Carrick, who reports state, is under huge pressure to turn his side around.
The Red Devils are 13th place with just seven points in the Premier League, and questions are being asked not only about Carrick but also about players such as captain Bruno Fernandes, who could force a move out of the club.
The result against Leeds means United are now winless in five straight Premier League matches and, speaking on their major lull in form, Carragher believes that the side are trapped in a circle.
"I just think when you're at a club that's spending big money, and those players are continuing to fail, you're not getting in the Champions League as well, you've got one of the biggest wages; eventually you can be the bigger spenders of the season, but you're not being successful," Carragher stated.
"Liverpool and Manchester City are two of the few clubs that have consistently won trophies and then have big spending sprees. The money will always be there because they're one of the biggest football clubs in the world, but it can't just be a tap that never gets turned off - it just can't.
"And then you're talking about net spend; well, you don't get players out," Carragher continued. "It's difficult to get players out when you continue failing at the club. Then they're on big wages, and you can't move them on - no one will take them. It's a vicious circle that they're in. Eventually, it gets to a stage where you can't be the biggest spenders and for me, that was this summer."
United will return to Champions League action when they travel to face Como on Wednesday evening in the Champions League. Following their 2-0 loss to Atletico Madrid last time out, a win is imperative as tensions rise in Carrick's camp.