Living
Consumers Still Love Eating Out and Traveling Even as Prices Surge
The rising cost of groceries has some Americans cutting back on spending, but restaurants and hotels are not seeing declines.
A shopper holds groceries while waiting to checkout inside a grocery store in San Francisco, California.
Photographer: David Paul Morris/BloombergThis article is for subscribers only.
Consumers are splurging on food, but not the kind they cook in their own kitchen.
With inflation running hot, rising prices have led consumers across the US to cut back on groceries. Yet they’re not sacrificing when it comes to eating out and traveling. That contradiction was on display Thursday when government data showed that gross domestic product contracted for the second straight quarter.