
Keep An Out for These Unusual Economic Indicators and Predictors of Recession

Are Underwear and Lipstick sales, the indicators of the Next Recession? It’s difficult assessing the entry to a period of negative economic growth using standard indicators. The WSJ asked eminent economists in October about recession probability in 2023, with answers from 1% to 100%. With divided expert opinion, odd recession indicators like makeup, underwnet sales and whether if the Phillies won that year’s World Series, offer added insight and alternative narrations to expert economic predictions. Upon closer inspection, oddball indicators cannot really predict a coming recession.
Spam Uses

Source: Pexels
If the economy is headed for a long dip, so do Spam sales as per the Spam theory. A 12-ounce can of canned pork- Spam is an affordable protein source and during the 2008 recession, market analysts noted that during the Great Recession in 2008, Hormel employees worked overtime to supply Spam, nationwide. But Spam sells well despite economic trends with sales breaking records from 2015-2021, over a period of strong economic growth, and pandemic-induced recession in early 2020. The Spam index is not infallible.
A Bookworm Indicator
One sign of recession is that people read more books during hard times since 1880, as per the American Library Association review of circulation data from 18 libraries during the 2001 recession. Libraries provide a safety net for people hit hard by the economy, as libraries are an essential resource for internet access to apply for jobs, or information on power tools, personal finance data, or cookware. Libraries are community assets no matter what the economic state of our society.
A Sports Connection

Source: Pexels
When the Major League baseball team, the Philadelphia Phillies seem to win a World Series tournament, the economy loses, if you believe the Phillies Index. Philadelphia baseball team have won world championships around the times of major economic downturn: 2008 – Great Recession), 1980 – recession, and 1929 / 1930 – Great Depression, but of course, this is highly unreliable.
Lip Service
The Lipstick Index theory of recession is that when the going (read economy) gets tough, the tough just buy more lipstick. Estée Lauder’s lipstick sales rose in times of hardship, as in the 2001 recession. Unlike jewelry, or dresses, lipstick is an affordable luxury that women indulge in when money is tight. The Lipstick Index showed warning signs of recession, but the data is misleading and the Lipstick Index as a deep recession indicator, is unlikely.
Fashion Indicators

Source: Pexels
In 1926, George Taylor suggested that the economy influenced women’s fashion as skirts got shorter when women showed off expensive silk stockings during economic upturn. In downturns, hemlines were longer as women lacked money for expensive stockings and hid that fact. The adoption of cheap nylon stockings in the 1940s and in the 1960s as women ditched skirts and dresses for pants. The Hemline Index cannot predict if a recession is coming, but a recession does foretell skirt lengths. This statistical tool is useful to fashion design decisions on hemline lengths at least a year in advance.
Briefs Glance at the Economy
Falling men’s underwear sales predict economic downturn as financial pressure, forces cut back on the least necessary items first. Men will keep their existing underwear in service longer than they normally would. The last purchase not made is underpants. If the theory holds, the global economy maybe in trouble. The third quarter of 2022 saw an 11% year-over-year drop in innerwear sales due to low consumer spends.
More in Investments & Savings
-
`
Famous Entrepreneurs Want You to Learn From Their Biggest Failures
No one can be an overnight success, as failure is an inevitable baggage on an entrepreneurial journey. Some famous entrepreneurs speak...
December 6, 2023 -
`
Miss your Pet When Traveling? Book These Hotels if You Want a Furry or Feathered Friend Welcoming You at the Lobby
Do you miss your pet, having left him/her behind when traveling? At some hotels, you get your “I-really-miss-my-pet” fix, all thanks...
December 6, 2023 -
`
Downsizing after Retirement is a Pain, but Here’s How You Can Go About It
Retirement needs extensive planning, and it is not just finances. Without proper plans for this next phase of life, chances are...
December 6, 2023 -
`
These are Some of the Greatest Inheritances Recorded the World-over
The Bloomberg Billionaires Index has listed the 25 richest families around the globe, and control over 1 trillion dollars of the...
December 5, 2023 -
`
Stunning Hotels Around the World Which Even Celebrities Fawn Over
Where do Celebs vacation? In certain aspects, superstars are similar to us, but not when it comes to vacation lodging. Stars...
December 1, 2023 -
`
Unlocking Financial Success: Timeless Wisdom from John Paul DeJoria
In a recent interview with Forbes, John Paul DeJoria, the visionary entrepreneur behind Paul Mitchell and Patrón Tequila, shared a wealth...
November 8, 2023 -
`
The Ultra Wealthy Want Their Privacy and They’ll Do Anything to Get It
Ultra-rich rapper Nicki Minaj in her pink Lamborghini worth $400,000 or celebrity entrepreneur Mark Cuban stepping out from his private jet worth $40...
October 31, 2023 -
`
How Celebrities Managed to Solve Their Financial Woes
Celebrities have lost billions and filed for bankruptcy while drowning in debt. If they can resolve their financial issues, then so...
September 8, 2023 -
`
Useful Real Estate Strategies at Various Stages of an Investing Career
There is no one perfect investing approach, as real estate investors are aware. At various phases of your investing career, investigate...
September 2, 2023
You must be logged in to post a comment Login