Americans hold off on major purchases over election uncertainty

Published On Sep 19, 2024, 2:00 AM

The article discusses how American consumers are delaying major purchases due to uncertainty surrounding the upcoming presidential election. This phenomenon, referred to as the 'disjunction effect,' is characterized by decision paralysis when individuals are faced with uncertain outcomes. Financial expert Michael Liersch explains that people often prefer to wait for clarity regarding election results before making significant financial commitments, even if they would eventually proceed regardless of the outcome. The fear of the unknown and the challenge of justifying decisions under uncertainty are the key reasons behind this behavior.