&gt;are you honestly suggesting that reductions in consumption and spending are favorable to nation&#x27;s economy?<p>Yes absolutely. All the economy does is just allocate resources. If some area of the economy is consuming more, than that is coming at the expense of other areas of the economy. Likewise if spending in one area is cut, that leaves resources available for other things.<p>That&#x27;s all supply and demand is. Prices increase or decrease with demand until the supply is stable.