Boomers and Spending

A recent research published by Gallup states that average daily spending of Boomers feel from $98 in 2008 to$64 in 2009. Comparititely, Generations X has reported spending $71 this year and $110 last year. Both these age groups seem to have gone through major decline in spedning habits. The boomers represent 36% of the nation or approximately seventy-eight million individuals. Such significant change in their spending habit have some significant implications. The poll suggets that the boomers might be trying to salvage that they lost previous years in their retirement funds and investments. Still they have the highest percentage (38%) of households that make more $75,000 a year.
Since they are such a large population group and make so much money, significant changes in their consumption rates can very adversely affected our economy. The article also suggests that although consumer spending is teh only way to bump up the economy, the boomers are better off saving their money for their upcoming retirement.

http://www.gallup.com/poll/122546/Boomers-Spending-Generations-Down-Sharply.aspx