How Are US Consumers Fighting Inflation?

US Consumers are fighting inflation in interesting ways—cooking tops the list.

During the pandemic, food was the number one item that consumers most enjoyed purchasing among goods (see The Multicultural Consumer: Attitudes, Behaviors, and Shopping in the Pandemic Era). Now amid rising prices for seemingly everything, food is the top item that households are economizing on. Among all consumers canvased in our recent Multicultural Consumer Survey, cooking more at home (40 percent) was the most common solution to managing budgets as inflation takes a bite out of household incomes.  

Regarding other coping mechanisms, there was some differentiation among racial/ethnic groups. Hispanic/Latino consumers were more likely to work more or cut back on luxury goods, depending upon their income. Black/African American consumers were the most likely demographic to postpone purchases of big-ticket items like cars, appliances, or cell phones, or to drive less. Low-income, White Non-Hispanic/Latino consumers were the least likely to change their behaviors in the face of rising prices.  

Interestingly, very few consumers chose to switch to a higher-paying job or ask their employer for a raise to contend with inflation. These data suggest that other factors (e.g., dignity, flexibility, safety) – not fighting inflation – are potentially stronger forces contributing the elevated number of quits in the US. 

To learn more, see How Consumers Are Fighting Inflation.