Stimulus: What Are People's Spending Behaviors?
In the beginning of April, President Trump issued a plan for families to receive money to help with their finances during COVID 19. Families interestingly chose to spend it in different ways. Some paid the bills and spent the rest keeping the local economy afloat. However, some simply spent the money on luxuries. Per Forbes.com, about one- fourth of families put the money on vacations after the bans are lifted. Forbes also recorded that people were also spending their money on luxury items like big screens to. Per Washington Post, the stimulus money was supposed to be spent on essentials such as bills, food, and gas.
Bank tellers, are essential workers that are witnessing a financial trend. Per Roger Davis a bank teller in Starke, FL; he said “he seen a trend in older people actually being calm with their money”. When asked why do you think this is a trend, he said “he thought it was a panic of losing money”. He also said that he also noticed that the spending patterns of parents with younger children were that of saving money. “I believe this pandemic has made families stop and think about what is financially important.” “Single people are however not spending wisely, over half of the people are spending it frivously on extravagant items. The money was sent out to one pay for necessities, two pay to keep our local businesses, three then the extra was for you.
Roger said “he is seeing from a financial standpoint that the economy is slowly building back up, but this could be a while before we are fully back to normal. I don’t think that we will hit a depression like in the 1940’s.” So, while the world is slowly coming back to life it is important to show the love right back to local businesses.
Catch the live interview