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NewsBriefs

This article contains excerpts from news stories recently posted under The paper, authored by a pair of economists from Harvard
Breaking Industry News on our homepage. For links to these and other Business School and an NBER economist, analyzes
full news stories, please visit www.greensheet.com/breakingnews.php. financial transaction data on 10 million active consumers
between 2010 and 2021. The analysis pointed to a "liquidity
flypaper effect," the paper stated, where the increased
liquidity created by a BNPL loan fosters additional
purchases of similar goods.
Consumers send mixed signals on financial health

Americans are sending mixed signals about their financial
health, J.D. Power reported, based on a recent consumer
survey. "While there has been modest improvement in
BNPL driving spending growth the number of Americans that are financially healthy
since the middle of the summer, more than two-thirds
Faced with economic uncertainty, numerous Americans (68 percent) of banking customers indicate that the price
are turning to buy now, pay later (BNPL), especially those of goods continues to exceed their income," the data and
seeking to stretch their holiday shopping dollars. A recent analytics firm stated. "And still, almost half (45 percent)
study revealed how big the upside is for retailers. Buy of Americans aged 40 and older say they have not taken
now, pay later credit: User characteristics & effects on spending steps to change their financial situation, a sign that many
patterns, published by the National Bureau of Economic Americans might not be ready for what's to come."
Research, shows how BNPL not only boosts spending at
businesses offering the payment option, but also at other Consumers under 40, on the other hand, are preparing
businesses, as well. And the spending boost continues for for recession. Forty percent said they have reviewed what
up to 24 weeks following a BNPL purchase. they are spending money on, and 19 percent said they had
revised their existing budgets to deal with rising prices.