The ebb and flow of the economy at large moves through cycles and relies on the general rule that what goes up must come down. Could current outlooks be pointing toward another incoming recession?
In 2018, one in seven Americans were three or more months behind on their car loan payments; for the economy, this isn’t a good sign. In the up-economy bubble, asset prices surge until the costs get too high for investors. When this bubble bursts, the economy takes a downward turn into recession and if we are particularly unlucky, a depression. Interest rates, unemployment claims, and even building permits all come to head and massive sell-offs begin. In the case of the Great Depression and more recent Great Recession, we can see just how low the economy can dip and what it means for our personal finances. Forcing us to take a critical look at our own spending, priorities come to the surface and there are some things that we simply cannot live without. Hierarchy of needs aside, even in a down economy, consumers are still spending their hard earned cash – but on what, exactly?
From booze to makeup, here’s more about the surprising industries that thrive in a down economy, detailed in this infographic.
Infographic Courtesy of https://www.greatbusinessschools.org/down-economy/
