Institute of Social and Economic Research, Osaka University
Graduate School of International Management, Yokohama City University

Yokohama City University

Graduate School of International Management, Yokohama City University
Graduate School of Economics and Management, Tohoku University

We examine how the COVID-19 contagion influences consumer expenditure patterns. We show that the consumption expenditure responses to the spread of the COVID-19 pandemic are significantly different between the older and younger generations. We find that older adults spend less than the younger generation by at least 5% during the pandemic. In fact, those aged above 60 significantly decrease their spending even on food and drink products by 13%. We also find that older adults forgo shopping in favor of the younger generation. These responses might be due to the fear of COVID-19 infection (Immordino et al., 2022).