Happy Halloween from The Crash Proof Retirement Show! On this week’s show, Phil Cannella and Joann Small talked to Dr. Dan Geller, creator of the Money Anxiety Index.
The Money Anxiety Index measures a combination of economic indicators and factors that impact consumer behavior. In particular, Dr. Geller was interested in how financial anxiety impacts saving and spending trends, and the impact these patterns have on our economy.
In his book Money Anxiety, Dr. Geller introduces the concept of Behaviorology, a matrix of consumer financial attitudes that categorizes consumers’ financial behavior in six distinct patterns: three for spending and three for saving. The behavioral patterns evaluate the actions of consumers in periods of high, normal and low financial anxiety.
“During high levels of money anxiety, consumers tend to reduce spending and hoard more of their money in easily-accessible bank accounts,” Dr. Geller says on his website, www.moneyanxiety.com.
While levels of financial anxiety vary, Dr. Geller made one thing very clear to Phil and Joann.
“Money anxiety is not a phenomenon that is reserved to a select group of people—it’s universal,” he stressed. “It’s not a disorder because it’s normal—and normal can never be a disorder.”
Also on today’s show, Phil and Joann discussed Tuesday’s crucial elections with political insider and new co-host Dick Morris. Control of the United States Senate will be determined on Tuesday, as will the holders of every seat in the House of Representatives! In addition, 36 out of 50 states—Pennsylvania included—will hold gubernatorial elections. Get out and vote!