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In these uncertain times Analysts have struck a nerve by claiming that American’s are destroying their economy by hoarding cash, and they feel that the American citizens should spend their cash in order to revive their country’s economy. In my personal opinion I don’t think that American citizens are wrong to hoard their cash, due to uncertainty surrounding their jobs. What are your views on this matter should America’s citizens sacrifice their savings in order to save America’s economy, or should they continue to save cash but unintentionally continue to harm America’s economy?.




Source:

https://www.marketwatch.com/story/the-us-economy-is-facing-a-new-threat-consumers-are-being-too-responsible-with-their-money-2020-05-13

It's not just about America only. People from any country are hoarding cash at whatever amount they can, especially those who are still having a stable jobs. I am seeing this trend in almost all of my colleagues and the same is being done by me as well. Since I am not traveling to office or not going to a restaurant or even not going for a movie, I am able to save a good amount of money every month which I am either investing in stocks or bank deposits.

I don't think American or any one who is hoarding money, isn't doing anything wrong. The situation is very uncertain and no one really knows when their job will be lost. So it's a perfect thing anyone can do at this time - save for future! No blame to be given!

Is that the big cause of the current economy today? I don't think so. The economy is hurt because no one could spend their money where they want to because most of the stores or places that you can spend it on are closed. The main reason why stock markets crashed because people started cashing out their investments and that is one of the reasons for the "cash hoarding".

Everything is connected to the current pandemic and I hope it will get better soon. The current economy will recover for sure.

They hold the cash and it's in their pocket, they can do whatever they want. And even if their government will force them to spend it, I think that many will oppose it and will still keep holding it.

People's concern isn't about the economy but their stomachs and how to survive in this pandemic.

People are free to choose what they will do with their hard-earned money. I think whoever says about using savings to "help" the economy is wrong. People will consume and continue to consume as long as they are alive.

Now is the time for a recession, and people should accept it and move on, there will be good times after this recession, as always.

Of course they're doing nothing wrong, but it's an interesting dilemma. Easy credit and low unemployment created a situation where no one was saving money for years. Now that consumer credit is tightening and unemployment is through the roof, we're seeing the opposite.

Doesn't bode well for an economic recovery when consumer spending accounts for 70% of GDP. ;D

I anticipate more stimulus checks as a band-aid solution but with how bad things are, lots of people will just hoard those too.

I would not buy over what i need just to save the economy of my country, if you start spending that way you'll go low on your savings and if it runs out, you're surely not running to the government for help then. For as long as this recession and uncertainty on employment continues, people will spend only on what they consider to be necessary needs.

The American government would find a way to revive their economy one way or another, and since people still pay for necessities, the government still receives a fraction of people's savings. The situation is the same everywhere in the world, even in the underdeveloped countries with a far worse economy, so I'm sure the American government can handle this situation the same way it's handled worldwide and even better.

In my opinion, it's better to get the people spend the cash on good basic needs and not on things that are bad and not really needed. People should be aware of what their money should be best spent on, or you just guarantee that those basic needs always get to them until the crisis is over. But governments are more concerned about their GDP/growth whether good or bad.

And i believe we should be helping/serving one another to the best of our abilities to keep things going in time of crisis like this. There should be less sitting idle with no work.

I don't think they are really hoarding money because if they do, they might not push out stimulus for the people. They want to start the economy and there is need to make money available for investment. Investment is what can grow the economy again after the economy has sweezed because of covid-19 problem.

There isn't that much money that could be "hoarded". A lot of people live paycheck-to-paycheck and are deep in debt so they don't really have any cash to hoard. Banks have tightened some borrowing requirements so getting deeper into debt isn't easy either. And for what little money there is, some of the spending options have diminished.

Gas is cheap and there is far less driving due to shutdowns/lockdowns (car sales are down by like 80% too). Lots of businesses closed. Online shopping is infuriating - lots of stuff you need is out of stock, delivery is slower than usual. There is only so much you can spend on food. Luckily home improvement stores are still open in most places so if you want to repaint the house or take up gardening - great time to do it.

But the money that's "hoarded" won't disappear. It will get spent somewhere eventually, just on different things probably. The main thing is for businesses to start rethinking how they serve their customers. E.g. restaurants will have to change the way they do business - even if everything magically reopens, I think people will be reluctant to eat in restaurants for quite a while.

i thought op is refering to the people and not to the governments   .  so what if people will hoard thier cash ? does that mean that government will not give them stimulus ?  no thats not good  .  its the governments role to provide help to the public if they see that public are on great danger   .

hoarding money is not bad but its the best thing to do right now actually because we dont know if when the virus last and we dont know if when will our jobs resume   .

The media encourages incompetent and irresponsible behavior. It encourages women to cheat on their boyfriends/husbands, sleep around, be irresponsible & disloyal. It reinforces irresponsibility in financial, savings and spending habits.

The media defers blame away from real problems to prevent the public from comprehending real issues. In the way that health insurance is a scapegoat for everything wrong with american healthcare. To truly put "cash hoarding americans damage the US economy" headlines into perspective. One must view it for what it is -- psychological warfare(psyops).

The motive behind illustrating savers in a negative light is to deflect blame away from governments banning non-essential sectors of economies. Otherwise obstructing normal economic activity. Blaming savers instead passes the buck without challenging the popular belief of governments acting strictly in favor of the public good.

I wouldn't call it hoarding cash, rather people are only interested in spending money on essentials at this point in time. Lockdown is in effect in many parts of the world, and even in places where it isn't, people are a lot less inclined to engage in outdoor activities and this means less purchases. The tourism market is one of the worst hit this period.
The reluctance to spend cash is reinforced by the rate of income flow, lots of individuals have been subjected to temporary and permanent unemployment, coupled with the uncertainty of when a this would be over; people will not want to run out of cash.

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Businesses would have to restrategize inorder to remain relevant now;
• Having an online presence has become all the more relevant, in addition to this; being able to reach out to your customers, to delivery service would come in handy
• Social media platforms, online schools and pharmaceutical should be the most thriving businesses this period.

I was never a supporter of these socialist mottos of working together to help the economy. To me it's rather pathetic when politicians asks the poeple to spend their savings to fix the problems they had caused. The worst part of it is that they haven't done it for free. They took our tax money and spend them, but that wasn't enough. Now we have to spend the rest because otherwise it all goes to shit. Why don't the politicians start spending their so called "hard earned money" and sell some of their summer villas and exotic cars?
When you see people not spending the money it means they no longer feel safe and its the government's job to make them feel safe again. Telling them to start spending, or else, is only going to make things worse.

Of course economists will think that the american people should be spending their cash, but are they really offering them things to spend their cash on?

I mean lets look at the reality, there are few people who are left with job right now, over 30 million people are affected with this pandemic and that means there are few people who are earning enough to survive as well, and there are even fewer people who are even saving cash right now, and those people are doing it because they know that maybe they are next on getting fired, and they are saving money just in case something like that happens. It is a smart decision when the whole economy fails them, they will fail the economy as well. What was economists were waiting on? The people spending like nothing happened?

Is the current problems only for American? Everyone hoarding cash on the world and that's how global economy collapsing. What is the other option except hoard? Because industrialists and businessmens aren't able to spend their money due to worldwide lockdown. All the system collapsing day by day. Who have enough money they are hoarding and who don't have enough money they are even unable to feed their families. Economy will be more imbalance if the global epidemic continues like this. Even hoarding money harm for economy but fortunately there is no any second option expect donate. Hopefully Americans will be to speed up by their hoarding money after the global epidemic.

everyone holds their cash because they can't spend it anywhere as well. companies are closed and we're all locked in our homes, where could they spend their cash but hold. the good side is that they are preventing the virus from spreading by hoarding. but the cash has to circulate for the economy to run. US didn't still sanitize their bank notes?

i'm hopeful that every country that did quarantined their bills are trying to move their money into digital.

In hard times like these, you can't expect the citizens to spend especially if there aren't enough incentives that can lure them to do so. The economy is on a shit show currently with millions upon millions of people being unemployed with no jobs available anywhere. The only thing they have left are cash on hand that they are trying to save to buy necessities and stuff, and you can't expect them to buy things that are not on the important list. Besides, there aren't much shops that you can walk right into and buy whatever they are selling currently.

The government subtly forcing people to spend is really getting on my nerves. They can do everything in their power to fix the economy and not let it go to shit but they are doing otherwise. Then they expect the citizens to attend to the problems they did themselves and put the blame on us for not doing our part.

The view of saving in this situation is good, so it is better to save money in a bank with the assumption that it still earns interest and is relatively safe. But when the economy stagnates and leads to recession, depression, and the great depression, things will get more complicated and the effects will be very detrimental.

The existence of a bank interest system ultimately causes the money that could have been an economic lubricant in the real sector to accumulate and accumulate in some people, this is what makes the reluctance to invest which ultimately impacts the economic stagnation due to lack of lubricant.

In a pandemic condition like this, it still needs to be highlighted humanity, unless we think that this is natural selection. I am sure many investors can return or move back to a dead business, but we will not be able to revive a dead person.

Thought is better to save than to help the economy move including reasonable thinking in this situation but also very selfish. Spinning the wheels of the economy does not have to spend fantastic value. We can join the equity crowdfunding program to become a mini investor in helping the economy cycle. Strengthening the community economy with the independence of small communities is one way to make small rounds, if many do, then these small rounds will move the country's economy and moreover in the real sector not just on paper.

Who are these analysts and why should they be listened to?  And the whole reason people might be hoarding cash is precisely because the current times are uncertain. 

I don't listen to the blabbering talking heads on the news or anywhere else.  I've found that I can live my life just fine without paying attention to the news, and I bet a lot of other folks could do just fine without it as well.  Seems like they've made up a non-issue to discuss here, which is generally what happens when they run out of legitimate topics.

Governments doesn't care much about their citizen then why they should care about their economy.If they are spending their money means how they will survive without jobs for the next few months.All the burden goes to the government alone because they collected enough tax for centuries but they can't even take care their people for few months. ::)

bank interest doesn't yield shit, and now trump is pushing for negative rates:

https://i.imgur.com/8yK8wvD.png

short of that, they are already doing everything they can to stimulate spending---lowering rates near zero, injecting trillions of dollars in liquidity, stimulus/relief payments. and still, people aren't spending. some examples:

Florida Retail Reopening Fails To Draw Consumers (https://www.pymnts.com/news/retail/2020/florida-retail-reopening-fails-to-draw-consumers/)

Retail Survey: US Consumers Bargain Hunting (https://www.pymnts.com/news/retail/2020/survey-united-states-consumers-bargain-hunting-not-hoarding-now/)

Why Consumers Aren’t In A Rush To Reopen The Economy (https://www.pymnts.com/coronavirus/2020/no-rush-to-reenter-physical-world/)

something to consider is that direct-to-consumer services (like amazon) are growing fast at the expense of the brick and mortar economy. i dunno how physical retailers are gonna convince consumers to return. and that's a huge chunk of the economy.

Americans are doing more damage to their economy by raising cash because they are not so interested in their economy. The government is stopping their trade with other countries He is managing cash only for his own interest. This is further damaging their economy and the common people are living a helpless life I think it is going to be resolved very soon In the case of trade, many buyers develop transactions with sellers.

The country's economy is largely founded upon consumerism. Therefore, there is always a little truth in that. However, the ordinary citizens should not take all the blame, if at all. How could they continue spending all the time when they have no salaries to expect in the coming weeks and months? How could they even spend the way they normally do when the shops are closed? They are actually trapped in a situation where they most probably want to spend but prudence tells them to limit it to the basics.

The ordinary citizens are the main victims here. It is odd pointing at them as the culprit.

Isn't it just an empty argument? Arguing over how one spends his money? It's like arguing to other people why are they living as humans. It isn't their fault at this point in time, since they have their own issues and problems to consider just as the government has with regards to the economy. They are ultimately, just like what most have said, the victims in this problem. Besides, America is just pretty much putting up temporary solutions, they aren't really attacking it head-on and creating a remedy for their current economy, at least, a proper one that has worked well so far. Best bet to remedy this would be to eliminate the factor that caused people to stop spending, which is the virus at this point, but that may also prove to be too difficult with how they are acting out on it.

The people is scaring, I think so. Many signals indicator the world crisis is coming soon. So, many people hold your money, saving to survival

Americans can hoard their cash for as long as they want and nobody can tell them what to do with their money.Nobody can force them to spend money.Cutting costs and saving money is smart decision during crisis,you don't know what will happen and when you are about to get fired by your boss.
Credit card debt is the worst form of slavery and getting into more debt,just to revive the economy is plain stupid.The stupid fiat economists should find a new way to save the USA from the corona depression.

Hoarding cash, of course, I'll do the same though I'm from a different country(not from America) we also experience the same I'll not spend my savings to help my economy instead I will think of my stomach first before our government and our economy. Yes, I know what you are thinking of and probably sound selfish but everyone will do the same especially to those who are the sole provider of their family besides if I'll spend my money aside from our necessities where else I can spend it where all establishments are closed. Somehow, I understand that it is really necessary for us to spend in order for the economy to recover, in this time of uncertainty we really need to prioritize ourselves first and not the economic status of our country.

I think hoarding of cash is just normal on this quarantine and pandemic outbreak because some of the people do not have time and are not allowed to come out to their house and spend all of their money to buy a lot of things. Today there are a lot of restriction about hoarding a lot of items most issue today is the tissue there are a lot of people bought a lot of tissue and hoard this and some of them are selling it which is wrong and cause too of having hoarding their cash because they cannot buy those things they want because of those people and I think there is no reason for hoarding cash today it is just useless if you are getting infected always make sure you are safe and complete to have medicine and vitamins that hoarding your money.

They are just getting smart as cash is the last option they can use to survive, the credit card company will be affected a lot but that is given since when there is a crisis, it's not expected that people can pay their debts on time or some may even lose their job and can't pay at all, but since they have the balance to spend, then they will not think twice of spending it.

Though the government are providing some help or support, it wouldn't be still enough as they are heavily affected and a lot of people will certain lose job once the pandemic continues.

I forgot what country it is.
But the event happened like the President states to the people that they need to spend more than keeping their cash.

There is also a solution for this.
Save it in a bank.
Cash will still circulate that way. While you still have numbers in banks.

This is FIAT's bug.

The central banks are trying to lower the value of paper money by printing them excessively.

By this logic, you would think that people would dump FIAT and get "real" stuff instead but guess what... that is not always happening.

Instead,

People buy more FIAT and drive the demand even higher because It is getting cheaper!

*This won't work if your currency isn't a reserve currency like USD or GBP. Don't try this with your shitlocalcoin"

People are not believe in banks, thats good.
But without money banks could go to bankruptcy and this may hurt economy so much

I think the Americans and every people around the world is not hoarding cash. The only reason they are spending their cash because they need to buy all of their necessities and feed their families during the pandemic of corona virus, since most of them temporarily don't have any jobs to earn money.

Yeah, government are trying to deliberately causing inflation by printing more fiat so people would really be spending in scare of losing their monetary value. This is a deliberate attack from the government so they can control the flow of cash even in lower terms and most people will think that it is normal because we are facing a problem but it's not. But today with pandemic? I think it is quite natural for people to keep their cash in their pocket coz they got nothing to spend but only their foods.

I do not think that citizens' money can stimulate the economy. The well-being of people should be important for the country now, many citizens have become unemployed, they even barely have enough money for food. How will these people stimulate the economy?

Not have just them but it is also the banks and multinational companies, they have brought shares in the foreign market and are now trying to get some profit. See no one is going to sell it in low, the government of every nation is pleading people to sell them. But they themselves are in a big loss more Over after a while when the situation recovers , there will be huge benefits for the people who actually brought at the time of Pandemic.
I do think on a personal scale they are not experiencing any short term problems but they are degrading their economy themselves without even realizing.

The Fed has printed billions of dollar and promised us stimulus checks to increase the supply of money in circulation. The government suppose where the money supply expands, people would not simply wish to hold the extra money in idle money balances. People start to spend their money, it helps the economy to stay alive.

The circulation of money in the economy is vital to prevent the inflation of prices, this the same principle that happens with the people saving money in the piggy bank, I agree that these is the best measure an individual can think of but if I were to think in a broader perspective, this will only hurt the economy in the long run and the people will suffer much more, I can't blame the people for doing these though because this pandemic surely made a lot of uncertainty that made a lot of people face bleak and miserable fate. I hope that the US government has a way to tip the scales to prevent the full collapse of their economy.

You cannot force a person to spend their own savings/money just to save their country's economy what they'll be doing is they'll be spending their money and buy unnecessary things which doesn't show any kind of solution to the problem at all. It's not the citizens fault with lockdowns in place I don't see why at this point they would be encourage to spend something if it's not safe to got outside. Aside from that the government is the one who needs to have the solution here from decreasing interests rates as well as businesses accepting thaty they also need to make their goods and services attractive in terms of lowering their prices. The citizens of the United States are in a pretty good position here if this thing is really serious as they will see a lot of prices going down not only stocks but also goods and services.

Countries get trillions of dollars in taxes all around, states get that much taxes as well, everyone is basically getting taxes from you, so if that is the case why is there no more help from the government without printing money.

Instead of spending 700 billion dollars on military every year and beating the next 26 country combined, why doesn't America only spend 20 billion dollars like a sane country on military instead and use the rest to put it aside somewhere or pay their debts off and simply help the countrymen to live a better life? That is only the military we are talking about, there are tons more other stuff that is not needed as well. Basically Americans owe the economy nothing, economy never really was for the Americans, it was for the rich, so let the rich take the fall on this one.

how did you know man . what bout the rishes people . for sure they have a stock of fresh cash in thier vaults but except to poorer one because they already buy thier cash with stock of food that they will be eating for a week or two in order to save .

rish people already have alot of food stocks with or without jobs but poor people will have nothing more to eat without a job  . with the times that there are quarantine , poor people are affected the most .

hoarding cash does harm yes because its simillar to hoarding food supplies and other needs which can harm on the economy too . when they hoard for example , some people can hardly get the item . same goes to fiat because its printed limited only

An interesting interpretation, only right now, the "bad" ones who saved up money in case of any incidents were just protected, but the "good" ones who spent all their money right away were in a very difficult situation. And while the former are still holding on, the latter are not very good.

Sounds incorrect, so long as cash is stored in a bank then its part of the fractional reserve system and lent out on many multiples into the economy.   Hence there no contraction from people making sure they have enough money to pay the bills next week, month or even a year forward because that cash is on a company balance sheet and being used.
  Taking cash out as notes and holding it physically I guess would have more of an effect possibly, or the idea of holding gold over FIAT but the whole deal is flawed from the concept of constant inflation to agitate growth via monetary velocity.   Its modern economics maybe but its based off constant debt which will collapse eventually.
  Capitalism is capital with the people and each person or family making sure they can survive and be productive, money has its highest use as security.  People saving as a negative is nonsense outside of politics.

This can be related to every country as no country is spared from these situation, people will not be spending the money as the job market is uncertain and the economist are expecting a recession much worse than the recession we had in 2008 and with that uncertainty on the rise it is better to hoard money than spending it and it will have an affect on the entire market.

It will really make them suffer to this pandemic more, and it will really hard for them to recover from their economic crash immediately. People should make the money move and circulate in their economy so that they will benefit from it and no one will suffer. It is not guaranteed for the people to hoard cash especially during this pandemic. People just need to understand that the money should regulate in the market so that it will not produce again any money that will lower the value of their money. You should use your money for your basic necessities that will help you survive the quarantine and not wasting it in your wallet to make it rot. If you have spare amount of money then you should help other people who are suffering from the pandemic.

sorry but I support the use of money by the American people. The government is trying hard to make the money circle increase many times but people are scared and only keep cash! When money is not brought in for investment and trading, GDP is bound to plummet and Americans will likely face a recession in the coming years. Therefore, I think the American people should work together to create a positive investment spirit, which will greatly benefit the economy.

That depends how exactly Americans hoard the money.
If it's stored in their bank accounts it's still in the financial system that and it's circulating no matter that they don't actually spend it. If they keep it at home then it's another story.
Of course that hoarding money isn't the best thing for economy especially if lasts long time and people don't spend anything but it's kind of reasonable having in mind that we are heading towards very deep crisis.

According to economic laws, the more people spend, the stronger the economy grows. However, during the crisis, people receive much lower incomes, and prices for goods and services on the contrary grow. Businesses are trying to solve their problems at the expense of consumers. I think that ordinary citizens are acting completely appropriately, saving their money. I believe that the government should regulate the excessive appetites of businessmen who constantly raise prices, especially during the crisis, when people have less money. 

As an American I see the opposite happening - I know cases of friends who have blown their entire stimulus check within days of getting it. Same will happen for the second (likely to happen) and any others that may come after it.

What can be said of an economic system that becomes more volatile when its citizens become more frugal and financially responsible?

I think the US is in the process of making cash illegal by using a few different excuses. It is precisely the hoarding of cash that makes them nervous. They want to know where the money is at all times. They want access to it. They want to know who spent how much on what.

There is very little true economics left going on in the US. It's all politics now.

It is collapsing right now. The debt problem is not only national but corporate. That seems to be where the real problem is. American corporations are deep in debt and don't have a way to pay it. There is a bond crisis going on right now that is suspiciously underreported by most media as the virus and lockdown are dominating the news. But corporate bonds that used to be considered investment grade are dropping down to junk status. Much of the QE we are seeing is going toward propping up the failing bond market. So the premise of the original post, that people saving money might be harming the economy, is a red herring. Individual citizens, most of whom might be holding onto a couple thousand dollars cash at the most, are not harming the economy. They are helping it. The notion that individual's holding cash could harm the economy comes from the fear of the inevitable. They want to lock down the money in bank accounts so they don't have to print more. But when the fear of printing more money leads to lockdowns of cash in addition to lockdowns of people, it is not a good sign for the future of the economy. When this does spin out of control, it will be because of corporate bailouts, not because of individuals holding cash. The bond crisis is in the trillions of dollars and growing.

Lol, who goes first? While you're spending cash other people are busy holding theirs, and all of a sudden you run out of cash and things don't get any better lol. You just die of hunger. So, I am not really going to blame the people, they are doing what they feel they should be doing at this time to stay on the safe side. If you keep spending your money in the name of helping the economy, you will spend it all and the economy will still be as it is, and you will start regretting, while others have saved their own money.

So, they are not doing the wrong, it's just how it's meant to be. It's been the same in every country where the virus started. People are losing their jobs, and things are getting hard.

Now is the time for a recession, and people should accept it and move on, there will be good times after this recession it's rather pathetic when politicians asks the people to spend their savings to fix the problems they had caused.  Americans can hoard their cash for as long as they want and nobody can tell them what to do with their money.Nobody can force them to spend money.Cutting costs and saving money is smart decision during crisis,you don't know what will happen and when you are about to get fired by your boss.

Its been months since the pandemic started. People are starving, the government of the countries are trying their best to appeal to the situation. Economic stabilization is a big problem because of the quarantine - no trade, no movement, no cash flow happening. People hoarding money, isn't a problem. That's the only way they know how to survive and Americans are not an exemption to this, even if we say that they have the richest economy. The budget of countries are allotted to its people, considering how many it is. It is also allotted in creating vaccine. So people have the right to keep their money. Anyways, some small businesses are already in action as well as transportation so at least, money is still circulating.

The average citizen who lost their job during this pandemic is spending money to sustain their life, the idea of people hoarding cash might be true with the rich as they do not do anything when the economic situation is not favorable but the general public is spending the money and i have seen many citing that people will invest in bitcoin when they get their stimulus package but the truth is far from that.

Those that are blaming the ones that are saving their money are way off base, it is true the economies of the world are based around consumer spending but it is ridiculous to ask to people to not hoard their cash and pay their debts when they do not know if they are going to have a job tomorrow, every single person and business entity does things to give themselves the best chance to survive these difficult times, this is why business are firing millions of people all over the world and yet this is seen by economists as responsible and yet when people act on response to this they are damaging the economy.

It seems they think they can do anything they want and that people are simply going to let them get away with it and while that is the case most of the time this time will be different as people cannot ignore the fact that if they lose their jobs there is not going to be anyone there to help them.

Economics has become nonsense, its holed below the water line by politics and horrible bias to various causes rather then principles as any proper study should be considered.   Thats the shortest answer you will get to this subject, does it do harm to save the harvest for the winter?   No of course not and its silly to ever consider that but that is seriously where we are at in modern history.


I should in theory dig up some figures on this but its been true for many years, debts outweigh cash available to the average citizen.   So this idea just doesn't make sense on multiple fronts, people did already spend their cash and only ignoring the debt would give leeway to consider any other conclusion.

The stimulus really is not for investment. The money is for help for feeding at least to be safe from having other issue like hunger virus and ulcer  ;D maybe caused lack of good nutrition. But many speculation have been on that it is an investment opportunity but I will use such for the purpose of taking care of the family as it given if I were.

Any semblance of common sense in the field of economics has been lost, trying to save as much money as possible when things are going wrong with the economy makes complete sense, especially when according to some reports 30 million people on the United States have lost their jobs since the pandemic started, the government and economists alike cannot really ask people to keep spending their money as if nothing is happening when everyone can see that things are going in the wrong direction, it just doesn't make sense.

Fortunately it doesn't seem as if the people are really listening since there is a limit to the manipulation that governments can exercise over their citizens.

The analysis of this article makes a lot of sense, the uncertainty leads us to take drastic measures in one way or another to save our heritage. Loss of work is one of the main concerns of the American, for which the analysis indicates that they are using less their debit and credit cards.
The American economy could have this breakdown but everything would be solved gradually once they overcome the pandemic.

Well, we have been told a different story for years

That there are no savings, and America is made up of households living on credit, whether it be homes, cars, and whatnot. However, as it seems to me, you can't work it out both ways, like you can't have a cake and eat it (unless you are going to eat for the second time, of course). If you have cash on hand which you want to stash, you can't be in debt as debt forces you either to spend or to pay back (then mission accomplished). This way, something smells extremely fishy with this narrative, don't you think?

Actually economy would be fine if there wasn't too many fuck ups by the companies, the whole government is run like a company and that is why the economy is bad. Regular folks couldn't even try to hurt the economy even if they wanted to, they are not doing anything bad to it at all, even if all of them saved all of their money all at once.

Right now companies are getting hundreds of billions of dollars, even trillions in help from government, you think that money is not affecting the economy? Or caused by the regular people? Let the companies that fail go bankrupt and you will only have the decent legit ones alive, but they are not doing that, why? Because those companies that get some help from the government bribes those same politicians with money to get those money as well.

The act of hoarding cash is contributory to the economic depression that we are all experiencing. But, the main cause of economic distress is still the pandemic. Because of this, a lot of business are shutdown and many people are unemployed forcing individuals to stash their cash. But, we should keep in mind that it is important that the money is still circulating by spending or investing it. For me, it is much better if they store their money in banks or invest it in platforms like cryptocurrency.

This link might help if you want an alternative to store your money other than in bank.
https://www.investopedia.com/financial-edge/0812/5-places-to-keep-your-money-when-you-dont-trust-the-banks.aspx

In my opinion it would only be harmful to the tax payer, if people hoard large amounts of physical cash (coins & notes) because the reduction of coins & cash in circulation will increase the printing and minting of more coins & cash. The cost to mint coins and to print money will increase and the tax payer will have to pay more taxes for that.  ;)

It is a very old discussion and debate, if it is good or bad to collect all those coins in a bottle, that are still supposed to be in circulation. Collecting old coins and notes that are not in circulation is not bad for the economy.

Should the citizens be held responsible to continue wasting cash on things that they do not need, just to stimulate the economy is simply preposterous.  ::)  They should rather pay off their debt, because that will be much better for the US economy with it's huge debt problem.  ;)