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Bus330

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Week Three Assignment

Louis C. Diaz

BUS330 Principles of Marketing

Instructor: Benjamin Pitts

November 10th, 2014

Consumer economy refers to the concept that evaluates an assortment of adjusts in recent consumption stages as well as the alteration taken place in capital, demography and society over a period of time (White, S., 2012). It gives a complete breakdown of variables and social actions that are current in consumer economy. This paper will examine future marketing tactics for new youth oriented consumer economies like those in India and China based on the marketing tactics taken on by United States to cater to youth consumers for the past sixty years.

American economy is the world’s largest economy. This country has elevated level economy output and the largest purchasing power equivalence. Suitable tactics assumed by the government did not let the market down even in the 1930’s in the time of recession. The government cut taxes drastically so that the consumer would spend more. Various strategies were implemented in order to even out the economy during the 1930’s to the 1980’s (Mintz & Kellogg, 1989). Years 1945 to 1957 saw a soaring rate of fertility and the birth of countless baby boomers. As a result of this momentous climb in fertility rates, prosperity was decreased; the need for single family homes increased and brought hope for a better future.

From 1946 to 1973 the expansion of the American economy was normal while baby boomers were on the rise. House hold earnings were almost dormant and there was no real enhancement in everyday life and standards of living. The economy saw the worst phase after 1973 when interest rates, price increases and unemployment had reached their peak. Baby boomers saw a hard economic stage when spending was exceptionally low due to elevated income and

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