Supply chains disrupted.
Not enough homes or cars or semiconductors.
Inflation fears.
What is happening?
Jamie Dimon made a statement about what JPMorgan is seeing:
"The pump is primed," Dimon said of consumers’ capacity to spend on an earnings call. "Their house value is up, their stock value is up, their incomes are up, their savings are up, their confidence is up."
I’m beginning to think the increase in spending is not a sign of increased confidence, but a cry for help.
Think about it: what did people do when crisis hit? We were suddenly stuck in our homes all the time and everyone looked around and went:
Hmm… I need new furniture!
The kids can’t go play with friends, so more toys it is!
I need a new deck!
Nah forget that, I’ll just move out and buy a new house!”
People started to spend their way out of stress, and I’m afraid we’re doing it again. Everyone will act as if nothing has changed. That not only did we survive the pandemic year, but we came out of it thriving. And how do we signal we are thriving?
Maybe you could buy a new car.
Or show pictures on Instagram of how much fun we’re having.
Or tell everyone about how much we love our new home.
Cars, swag, homes, travel. It’s time for a brand new you.
The mimetic desire is strong, but we can recognize it by looking inward.
It’s not wrong to want to enjoy life again after a long lockdown. In fact, I encourage it. But only for the right reasons.
Good reasons to enjoy yourself:
I need to enjoy the present because tomorrow isn’t guaranteed.
Before I know it my kids will be grown up. I need to make the best of it.
My friends and family are more important than I ever imagined. I will make that long trip to go visit them.
Bad reasons to enjoy yourself:
I was struggling during the pandemic, and I’m not doing much better now. Maybe this will help.
I need to fill this void with something exciting.
I need to let them know I’m doing better than ever, no matter how I really feel.
So go live your best life. Just make sure it’s for the right reasons.
And even if this isn’t you, there are still people struggling out there.
Let’s try to remember to be patient and understanding. It’s been a hard year on everyone.
Thanks for reading.