Spending less, buying more

by Rob Horning

2 January 2009


Mark Thoma linked to this post from Susan Woodward and Robert Hall, in which they point out that though spending on consumption is down in dollar terms, consumption actually rose when the figure is adjusted for deflation.

Consumption of durable goods, adjusted for price declines

This is something to remember when hearing about how the recession is changing consumer behavior. Chances are it hasn’t changed much at all; we’re just buying cheaper stuff—either taking advantage of falling prices (notice any sales this holiday season?) or substituting inferior goods.

//Mixed media

Robert DeLong Upgraded for 'In the Cards' (Rough Trade Photos + Tour Dates)

// Notes from the Road

"Robert DeLong ups his musical game with his new album In the Cards and his live show gets a boost too.

READ the article