Ultra Rich Continue to Spend
Economic slump or not, according to The New York Times the ultra-rich aren't slowing down on spending. This news follows right along with the current trend of contradicting reports we keep hearing, like the fact that luxury retailers are reporting steadily falling sales while private jet spending is holding steady or even going up but luxury car sales are down. So what is it, are the rich spending or aren't they? Or is it just that the ultra rich are still spending, but all those who are just "middle-of-the-road" rich are cutting back?
Reader Comments (Page 1 of 1)
rip Apr 14th 2008 8:01PM
What it means is that the nouveau-riche or "aspirational" consumers have stopped spending.
In other words, secretaries have stopped buying $2k handbags or $500 shoes on credit. And all the people that were using their homes as piggy banks are tapped out.
People with real money will continue to spend. Then again, they aren't buying mass market stuff like Gucci or Vuitton. They are buying Goyard. Or, more likely, they are living modestly and spending 50-100k/year on their child.