Sunday, December 7, 2008

counter-cyclical products

Counter-cyclical products are those products which do better in economic downturns. People, in theory, turn to these products when they're poor, and shy away from purchasing luxury items with their now-scarce money.

Some examples of counter-cyclical products include macaroni and cheese, used Honda civics, straw mattresses, Barry Manilow cds, and diamonds.

Seriously, I'm pretty sure about diamonds. "How sure?" you ask? Well, this sure (my arms are stretched out). I know this because every other commercial on radio or television right now is for a jeweler.

Has this always been the case? Never before have I heard jewelry so hawked. Prior to the economic downturn, I had only heard of two purveyors of diamonds: de Beers, and The Shane Company (on the corner of State Street and 7200 South). Now all I see or hear would indicate there is a booming market in jewelry, contrary to that whole financial meltdown that ran away with half of my net worth.

Of course, this could be due to the fact that I've watched more television in the past week than I have all year long, as I'm relaxing after the work and election stress. But it is a little odd, to say the least. You'd think they'd branch out into a product that is counter-cyclical by this point. Something like cubic zirconia.

1 comment:

MommaMcCarthy said...

open monday through friday 'til 8, saturday 'til 5, closed sundays. (although it's open on sunday in PA. kinda shattered my reality the first time i heard it there. almost like when they added "strengthen home and family" to the YW motto)