Haircuts and Consumer Spending

Last week, I used haircuts as an example in a posting about consumer spending cutbacks. It turns out that consumers really are trying to save money by getting fewer haircuts. According to today's Wall Street Journal, roughly 70% of salons have seen a dropoff in revenue, while sales of hair clippers have risen by 10%. The next time that the Federal Reserve decides to pump up the economy by buying bonds, maybe they should pay with haircut vouchers instead of cash.