Re: Today in the economy

Originally Posted by
CGM

Originally Posted by
killersheep

Originally Posted by
CGM
OK thanks, that helps. It explains the tracking but it does seem to imply that the demand for these perishables goes up when consumer confidence goes down, and it's not clear to me why this should happen, but I guess it happens.
It happens when people make a conscious decision to make do with less, it doesn't track commodity items like staple foods wheat, corn, beans etc. which is naturally what people gravitate towards as essentials in rough times. Rather, it reflects one step past that, look at it this way "If I get things that are essential to me and have $10 left will I spend it or save it?"
ok .
People who might normally buy more expensive food items switch to basic stuff, so more basic stuff gets consumed. Taht's part of it. The "one step beyond" part I'll have to let that one settle in. thx
That is correct and looking back on my original I explaination, I can see that I didn't make that clear at all, sorry about that.
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