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Since the last couple of months, we all are noticing signs of Economic Slowdown. First of all, the auto industry was hurt and now subsequently we can notice the effect on other industries. Auto Industry going in loss, People losing their jobs and much more. Are these signs of recession?
Well today, we are going to discuss how does the selling rate of Innverwears and Diapers indicate about Economic Slowdown.
People buy less Diapers during slowdown!
As per the data available in the R-Word Index, prior to the recession in 2008, 2001 and 1990, it is noteworthy that the sale of Diapers reduces before the slowdown. During or before the recession, people spend less on arbitrary expenses and firmly believe in reusing.
The diaper is one such object which people can re-use after washing. While there is cash-crunch, at that time family reuse the diaper. However, reusing the diaper can cause rashes to the baby. Which, subsequently increases the sale of rashing cream.
There is also a decrease in the sale of Innerwears
It is also noteworthy that leading innerwear companies viz. Jockey, Dollar etc. are noticing the lowest number of sales in the last 10 years. i.e. their sale is reduced to such drastic levels for the first time after the 2008 recession. This is another indicator that people are saving money and rather spending in more necessary activities.
As manufacturing & sales are reduced, even there is a decline in the garbage which is produced. All these factors are indicating that we are getting closer to the recession.
We cannot blame anyone for the recession. It is happening due to multiple instances and breaking down of leading firms. It is the time when we shall spend only when it is necessary. This is the only key to survive!