Election Consumer Spending – The daily blog of behavioral and cognitive economics

How Elections Affect Our Spending

Using numbers from the University of Michigan Survey of Consumers, economists observed that consumer attitudes have a partisan bias. During the first Trump administration, exceeding Democrats’ scores by 40 points, Republicans consistently said they were better off. However, after Joe Biden became president, the numbers switched. Then, the Democrats were 40 points above the Republicans. From there, we can ask if those positive sentiments influence our spending. Post Election Consumer Spending. Local Spending. In recent University of Florida research, economists confirmed the connection between spending and sentiment. ….[READ]