Monetary Realism

Understanding The Modern Monetary System…

Holiday Shopping Season: Moderately Strong

Spending so far this holiday season is much stronger than it has been the prior 3 years – at least according to Gallup Self-Reported Consumer Spending.

This is their data for the 14 day moving average of consumer spending. I lined up the data beginning November 1st, and each of the years are missing a few days, so this is not an exact day-to-day comparison.

But an exact day-to-day comparison isn’t necessary. The purple line – which is 2012 – is nearly $10 per day higher than it has been for the last few years. Not only that, but the peak number of $90 per day is the highest reading since the beginning of 2009. That is nearly 4 years of data.

This data leads me to believe the holiday shopping season will be strong for 2012. Of course, these numbers are far below the pre-crisis peaks of over $100 in February and January 0f 2008. I imagine spending in 2006 and 2007 would have peaked out at over $120 per day. So while this number of $90 is great news in a relative sense, we are still making ourselves poorer for no good reason. We can mint a coin and lower payroll taxes for everyone.

 

About

Expert in business development, product development, and direct marketing. Developed strategic sales plans, product innovations, and business plans for multiple companies. Conceived the patent pending Spot Equivalent Futures (SEF) mechanism, which allows true replication of spot and swap like products in the futures space.

View all posts by