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Ake’s Take: Retail Sales Are Vibrant – Where Is The Money Going?

The federal government has pumped $850 billion of direct stimulus payments to citizens in response to the pandemic (Peter G. Peterson Foundation). In combination with the COVID health mobility restrictions, this cash infusion resulted in changes in retail spending patterns. Since the pandemic started, there has been a surge in retail goods spending as consumers had more money to spend and service spending was severely curtailed.

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