Americans' 'YOLO' spending spree baffles economists.

The article titled 'Why Americans' 'YOLO' spending spree baffles economists' discusses the current trend of high consumer spending in the United States, which is puzzling economists. Despite challenging economic conditions such as high interest rates and low savings, American consumers are spending at record levels. This trend is contrary to past economic downturns where consumers typically curtailed their spending.

On Black Friday, sales in physical stores increased by 1. 1% compared to the previous year. Online shopping also saw a significant increase, with consumers spending a record $9. 8 billion. Cyber Monday followed suit with a 9. 6% increase in spending compared to the previous year. This surge in consumer spending has been a significant contributor to the American economy's growth over the past year.

While some of this spending is attributed to the rising cost of necessities, consumers are also splurging on big-ticket items and experiences. This 'YOLO' (You Only Live Once) attitude towards spending is perplexing economists, especially given the overall pessimistic sentiment towards the economy. Ellie Henderson, an economist at Investec, expressed her surprise at this trend, stating that it contradicts traditional economic principles.