Rachel Dec in LA Review of Books:
IN 2022, AS THE labor market thrived, a noticeable gap emerged between traditional economic indicators (which seemed good) and the lived experiences of Americans (which seemed not). Kyla Scanlon, a young and wildly popular economics commentator (with over 175,000 subscribers on TikTok) coined the term “vibecession” to define the phenomenon. Her newsletter on the topic blew up, and “vibecession” commentary has since permeated nearly all parts of the media ecosystem, with repeated usage in Bloomberg and The New York Times.
As of 2024, it seems we’re still in a vibecession. Despite positive news regarding the labor market, consumer confidence remains relatively low, even as inflation is slowing. As David Kelly, chief global strategist at J. P. Morgan Asset Management, recently wrote, “even if the economy is humming along because of the income and spending of the most affluent households, most families could still feel that they were languishing.” In this complex, unpredictable, and unequal postpandemic economy, do economic indicators still hold meaning for everyday Americans?
This is a question Kyla Scanlon seeks to answer in her debut book, In This Economy? How Money & Markets Really Work (2024). She sets out to explain most of the economic and financial systems of the United States, with a particular focus on the impact of the pandemic—and she accomplishes that task well. Among a wide range of topics, she manages to squeeze in explanations of classical economics, degrowth, the labor market, the housing market, the stock market, the bond market, cryptocurrencies, fiscal policy, monetary policy, and her signature “vibe economy” paradigm (which views popular feelings as “vibes” that shape consumer sentiment, which then influences economic outcomes).
More here.
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