The Durable Goods Boom Is More Sustainable Than It Looks
Consumer spending on items such as furniture and vehicles fell way below historical averages in the 2010s. It’s possible we’re playing catch-up now.
Spending may have slowed down, but consumers are still buying a lot of stuff.
Photographer: Joe Raedle/Getty Images
Consumer spending on durable goods fell for the sixth month in a row in September, according to inflation-adjusted data released last week. But even with the decline, Americans are still buying lots more video and audio equipment, home furnishings, boats, recreational vehicles and other durables than they were before the pandemic — or than they would have if durables spending had kept rising at its pre-pandemic pace.
The one big exception is motor vehicles, which are responsible for most of the durables decline since spring and of which Americans bought about the same amount in September 2021 as in September 2019. This seems to be due more to supply constraints related to semiconductor shortages than to waning demand, so we can probably expect a rebound in the near future.