The Why Behind the Buy

Understanding consumerism and why we buy.

by Kit Yarrow, Ph.D.

The Post-Recession Consumer

By Kit Yarrow, Ph.D. on August 11, 2009 in The Why Behind the Buy

Insights acquired during the recession will crystallize a notion that Americans have been nursing for years - that perfectionism causes anxiety, and that "keeping up" keeps people apart. Read More

i believe that will only last

Submitted by farouk on August 12, 2009 - 1:48am.

i believe that will only last for a short period of time then everyone will return back to his old spending habits, and they may even go beyond it to compensate for the last period

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I agree, it's like a diet.

Submitted by R. L. - Wisc. on August 12, 2009 - 6:16am.

I agree, it's like a diet. You deprive yourself for so long and then when the dessert cart is out, you go nuts. I think we are in for recession, then consumer spured inflation. This is going to be a rollercoaster.

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What will YOU do?

Submitted by Kit Yarrow, Ph.D. on August 12, 2009 - 8:39am.

Thanks Farouk and RL for these comments. I'm new to blogging and forgot that I could get feedback. What a great opportunity. I'd love to know from PT readers - do you think YOUR spending will change as a result of the recession?

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Short answer - No.

Submitted by R. L. -Wisc. on August 12, 2009 - 9:12am.

"I" (aka America) will react to this economic chage the same way I've reacted to all the others in my "adult" lifetime. 70's - "stag-flation", 80's internet boom/inflation, Late 80's / Early 90's recession, Late 90's housing boom/inflation, Early 2000's bust/recession, Mid to Late 2000's rise and infalation.

I'll wait until my Company takes off the manditory "reduced" hours which equals reduced pay for salary employees still working 50 hr weeks, and maybe gives us a raise for the first time in 3 years.

Then since I'm used to living on less, I'll be a major cause of the inflation period by stocking-up for the impending down turn. Which will spur over production because they think I'm going to keep spending that way. Many people will be hired to supply my demand, companies will run on over-time, wages will increase, and all will be good in the world agian.

Then, I'll notice that I have enough laundry soap to last 1/2 a decade and stop buying. There will be too much laundry soap on the store shelves and again many people will be laid off, spending will slow to almost a grinding halt and thanks to me we will have a recession again.

Your welcome.