NEW YORK The financial crisis is not just hitting Wall Street hard, it is greatly impacting the way Americans spend their money on everyday shopping trips, The New York Times today reported.
According to figures released from corporations, as well as interviews, Americans are spending less on dining out, automobile sales, airfare and other non-essentials. Reports have said that for the first time in about 20 years total sales for the third quarter 2008 will not show growth, but instead a drop by about 3 percent, and a “consumer-driven recession” could be just around the quarter.
Reports have said that consumer spending, which comprises about two-thirds of the U.S. economy, grew overall for the year, but dropped in July and August. The Times reported that as Americans see savings for things like retirement and vacations dwindling, they have lost their buying confidence and spending has become more conservative nationwide.