state of the economy tied to lipgloss sales

I read a really interesting article today. Apparently, the state of the economy can be tracked according to lipstick sales. Seriously!

According to one economist, when times are tough consumers don't lose spending habits, they simply trade down to less extravagant items to cheer themselves up.

Dhaval Joshi, an analyst with RAB Capital, told SMH that "The evidence shows that when budgets are squeezed, people simply substitute large extravagances for small luxuries."

The lipstick effect can be traced back to the Great Depression of the 1930s, apparently: in the four years from 1929 to 1933, industrial production in the US halved, but sales of cosmetics rose.

I knew my stila mirror shine lipgloss was awesome, but wow...