Retail sales are holding up, but consumer confidence is slipping. A rising share of Americans are making purchases not out of want, but out of worry. This trend, called "doom spending," is driven by fears of higher prices and supply disruptions. While it may offer a short-term sense of control, it's happening alongside rising debt and financial strain and could set the stage for a sharper slowdown ahead. Watch the video above to learn more about why Americans are spending more amid growing economic concerns.CNBC shows it's also on recession watch with this video, so I'm in good company. It also points out that the current round of "doom spending" will shore up the economy in the short run, holding off a recession, but could result in a recession when it abates. If so, I'll blame Hoover Cleveland.
If the U.S. does go into recession this year, it won't be because of internal economic forces, but because of government interference, which normally tries to cushion against economic downturns. Biden piloted the U.S. economy to a soft landing, then Hoover Cleveland tries to crash the plane anyway!Among other things, the threat of tariffs prompted my wife and me to buy a new Volkswagen Tiguan before the price went up. That's a major purchase. Just the same, we're very happy with it; it's providing good experiences in addition to being a material object.
That concludes today's episode of recession watch. Stay tuned for the highlights of tonight's Saturday Night Live.
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