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by sgustard 542 days ago
A trip to Disneyland costs thousands of dollars per person, Taylor Swift tickets the same, but these attract record crowds. Cruises and hotels and restaurants are full. How would you define an economic boom?
2 comments

> How would you define an economic boom?

The way in which "booming economy" phrasing is used in conversation, one would imagine that it refers to growth in GDP that has a multiplier effect in the local economy. In practice, it really just means spending is up now, but will deflate as soon as credit is harder to come by.

A lot of vacations, cars and home improvements are funded by home equity loans, not actual disposable income.

"Rich people exist therefore the economy is doing great".

Meanwhile the average American doesn't have a spare $1500 set aside for a life threatening emergency, let alone for a Taylor Swift concert.

Not to mention Disneyland and Taylor Swift concerts will have a significant population of tourists whose spending patterns would be independent of the state of the US economy.