U.S. Households Ramp Up ‘Doom Spending’ in Preparation for Possible Pandemic, Tariff Impacts
The latest consumer research from CreditCards.com reveals a disturbing trend: U.S. households are “doom spending” and stockpiling in preparation for another pandemic and tariffs.
This most recent report from CreditCards.com looked at consumer spending habits since President Donald Trump took office, “focusing on the role economic factors and uncertainty play,” the report’s authors said.
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The survey found that one in five American consumers said they “are buying more than usual, most driven by Trump’s tariffs,” while three in 10 are purchasing items in preparation for another pandemic. The researchers also found that 42 percent of those polled said they “are or will start stockpiling items, mainly food and toilet paper,” while one in four respondents said they “have made large purchases since November in fear of Trump’s tariffs.”
And one in five respondents said they “are ‘doom spending’ — purchasing items excessively or impulsively in response to fears or anxiety about future events,” while 23 percent “expect [finances] to worsen or go into credit card debt this year.”
The report found that fear of the president’s tariffs is fueling more purchases than usual with 19 percent of those polled saying they “are buying significantly more (5 percent) or slightly more (14 percent) items than usual.” Of this group, 29 percent said fear of Trump’s tariffs “greatly impacts their desire to make additional purchases, while 37 percent say it’s having some impact.”
The poll also showed that three in 10 consumers have made large purchases since Trump was elected last November, with 28 percent of those polled saying they have made a large purchase of more than $500, “while 21 percent have not, but plan to soon.” Of those polled who made a large purchase, “the most common items were electronics (39 percent), home appliances (31 percent), and home improvement materials (25 percent). Furniture (22 percent) and cars (17 percent) were also noted.” Fifty-five percent of the respondents who made large purchases “took advantage of holiday deals, while 45 percent did not.”
The report noted that 22 percent of respondents said tariffs had an impact on their decision to make large purchases while 30 percent said it had “some impact.”
With stockpiling, 22 percent of respondents say they are stockpiling items, “while another 20 percent said they have not yet, but plan to soon. About half (52 percent) say they have not and do not intend to stockpile, and 5 percent are unsure.”
Stockpiled items include non-perishable food (76 percent), toilet paper (72 percent), medical supplies (49 percent) and over-the-counter medications (42 percent). Other items include water filtration systems, home good/appliances, personal care products and firearms and ammunition.
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