Wayne,

Harvard economist Juliet Schor sheds light on our shopaholic society: “The United States is the most consumer-oriented society in the world. People work longer hours than in any other industrialized country. Savings rates are lower. Consumer credit has exploded, and roughly a million and a half households declare bankruptcy every year. There are more than 46,000 shopping centers in the country, a nearly two-thirds increase since 1986. Despite fewer people per household, the size of houses continues to expand rapidly, with new construction featuring walk-in closets and three- and four-car garages to store record quantities of stuff. According to my estimates, the average adult acquires forty-eight new pieces of apparel a year.“ (Juliet Schor, Born to Buy (New York: Scribner, 2004), 9.)

Quick Cents Application Points:

1. Consider some of your most recent purchases. Did you really need these items or do they indicate a pattern of frivolous spending?
2. When you look at your finances, how much are you spending compared to how much you are saving for emergencies and retirement?
3. Discuss three things you can do to reduce frivolous or impulse spending.