Consumer Decisions and Impact

Flashcards reviewing factors influencing consumer decisions, their impact, and related economic considerations.

Income Adjustment

Individuals adjust to higher income and soon take it for granted, diminishing the effect on happiness.

Budget Drains

Shopping with too little forethought or based on too much emotion.

Impulse Purchase Questions

Consider affordability, payment method, timing, cheaper alternatives, and hourly work equivalent.

Clothing Consumption in 1960

Americans spent over 10% of their income on clothing, buying fewer than 25 garments, with about 95% made in the U.S.

Clothing Consumption Today

Americans spend less than 3.5% of their budget on clothing, buying close to 70 pieces, with about 2% made in the U.S.

Clothing Waste

Americans throw away about 70 lbs of clothing every year, including 20% that has never been worn.

Environmental Impact of Fast Fashion

The clothing industry is the second-most polluter of clean water and uses a lot of water to produce cotton.

Outsourcing Production

Big retail chains produce to overseas factories to reduce costs.

Amazon's Economic Impact

Creates 19 jobs for every $10 million in sales, pays no property tax in most communities, and spends little locally.

Local Retailers' Economic Impact

Creates 47 jobs for every $10 million in sales, pays property taxes, collects sales tax, and channels about half of every dollar back into the local community.

Community Engagement by Small Businesses

Giving almost twice as much to local causes than big businesses.

Food Waste in America

Annual food waste represents 1,217 calories per person per day in America.