Ann Arbor Times

There are notable differences between economic statistics and the experiences of individuals, as evidenced by the recent U.S. presidential election. University of Michigan business experts Scott Rick and Ari Shwayder discuss these issues in a new episode of the Business & Society podcast, produced by U-M’s Ross School of Business and Michigan News.

Rick comments on consumer behavior following the election: "In the shadow of the election, I would expect a lot of retail therapy, many people curing some questionable feelings through shopping," he said. He notes that while excessive spending can be harmful, it can also provide personal comfort during uncertain times.

Shwayder observes trends from recent shopping events: "We just had sort of the big shopping days and Giving Tuesday...and the early data we get shows that things went pretty well," he stated. Shwayder mentions a phenomenon termed 'vibecession,' highlighting discrepancies between economic data and individual perceptions.

"Economists have been looking at this ‘vibecession’ for the last couple of years because we’ve been very confused about it," Shwayder explained. He points out disparities in financial wellbeing among different income groups: "The average might be great...but the bottom half may not be feeling fine and doing great."

Despite challenges, there is optimism regarding charitable contributions: "Giving was up this year by a gigantic amount based on early estimates," Shwayder noted.

The podcast is co-produced by JT Godfrey from Ross School of Business and Jeff Karoub from Michigan News. The audio engineer is Jonah Brockman with editorial production by Mads Henke.

Listen to all episodes of Business & Society for more insights.