Why Everyone Feels So Rotten About the Economy (w/ Kyla Scanlon)

Current Affairs

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Kyla Scanlon is a leading online economics commentator and Bloomberg contributor, who regularly publishes TikTok explainers helping people understand the economy. Her new book In This Economy?is meant to help laypeople understand the economic forces around them that are so determinative in the outcomes of our lives.

Scanlon is the one who coined the term "vibecession" to describe the disjunction between certain "objective" economic indicators and people's "subjective" feelings about the economy. Some people have theorized that the public is simply being misled by negative media coverage into thinking the economy is worse than it actually is. But as she explains in this conversation, it's not so simple to disentangle the "subjective" from the "objective" in economics, and just because the "vibes" don't match the standard predictions, doesn't mean they're illegitimate or unfounded.

The year 2008 was very impactful for everyone. A lot of kids (myself included) saw their caregivers battle against uncontrollable economic forces. There were job losses, home foreclosures, a decimation of household wealth; almost no one was left unscathed (except the bankers who had caused the crisis). The younger generations were furious as they witnessed a system fail in a way they couldn’t comprehend. Economic stability, job stability, financial stability—all of those were big question marks. An image of parents holding their heads in their hands at the dining room table as they tried to figure out how to pay the mortgage is seared into the minds of many. It was a systemic failure that resulted in economic inequality and social disparities, and it didn’t seem as though the consequences were there for those who had caused it. The Golden Age of Grift had begun, and the first rug had been pulled. It was a world of fraud and deceit. Around this same time, social media started to pop up. For the first time ever, everything was broadcasted to the world, and feelings became assets that could be traded for likes and retweets. - Kyla Scanlon, "In This Economy?"