questionsabout buying things...even good deals...good for…


Political rallying cries from the friends and apologists of the 1%ers notwithstanding, the real job creators are consumers.

No spending = no demand = no business = no jobs.


When the value of currency goes down, the ONLY thing to do is to spend it before it devalues more.

Wealthy people buy inflation hedges like gold, non-wealthy people buy consumables with a long shelf life like canned goods.

Like in Brazil:


In saving money during a recession ( or any time ), it assumes you are putting your savings in the bank or mutual fund or stock or bond. That money is an investment in a company {or yes, the government if you by G-bonds)
The theory is that if you invest in the folks that are manufacturing or producing something you are investing in research new and better things. You are also reducing the debt load. ( not spending on credit for example ).
If you buy G-bonds, you are helping shore up the gov. debt.

You can't really spend your way out of a recession. It doesn't work.
I think one of the biggest problems we have in our economy is we are consumer based . You can only buy so much. And such a big credit market had been built by that. We used to be manufacturing based.
We need to get back into making something useful or the house of cards will not be able to be shored up anymore. imho.

Of course, it's more complicated then what I wrote. Just trying to give the Clift Notes version.


I feel that the best way to support the part of the economy that most matters to me is to buy local. Not from big chains, because buying from my local Walmart doesn't keep my money local. Buying from locally owned and operated businesses. That helps to keep my money here in my community. It supports businesses who are providing jobs to people in my community, who in turn are able to spend money here. I buy plenty online, I buy most of my art supplies directly from Chinese vendors because if I bought from American sellers I'd have to double my sales prices. Since the American vendors are buying the stuff from China anyway, I'm simply giving the same amount to the Chinese, and keeping Hobby Lobby's middle-man cut in my pocket, which allows me to keep my own prices low, so others who like to shop locally can afford to buy from me. It also gives me more to spend at local places like Pets Barn, Su Casa, and my neighborhood bodega.


Spending doesn't create demand, actually...consumers create demand by having a want or need for a product. When said product is in high demand markets will change to fill the gap, increasing the supply of said good. As the market becomes saturated with the item the price tanks to a point where the deepest pockets are the only entities producing on a scale large enough to have a profit margin on the good. This is common with staple goods such as food and clothing, utilities, transportation, housing costs and other goods we deem critical to our lifestyle. Historically, the purchase of durable goods was good for the economy because the goods were...actually durable. This created a much larger profit margin for manufacturers and kept the sticker price of the item high enough that the good was worth repairing and maintaining. In this fashion, the item spawns a service industry, a demand for parts, and so on. Today's disposable economy doesn't work this way, so spending is not as effective.