It bothers me a little that economists might lack the ability to factor in changing consumer or business habits that are emerging because of recent events or se

It bothers me a little that economists might lack the ability to factor in changing consumer or business habits that are emerging because of recent events or secular trends. For example: >One additional consideration that I think about is the possibility that low rates are scaring people and causing them to save more and invest less, while conventional wisdom is that low rates should lead to more investment and less saving. I will say that even when times are good, but can no longer be assured, people will save more. Moreover, when the costs of economic vulnerability have never been higher, the spending habits of the past no longer work. Many of us are one pink slip away from permanent unemployment, underemployment, and financial ruin. Many of us are one chronic - not necessarily life-threatening - illness away from peonage. It seems unrealistic to expect people to behave as if it's 1957 or even 1987. Jobs for everyone or the threat of nuclear war probably spurred a bit more "live for today" mentality than what we might experience today.