According to experts, America is on a path to recovery. Okay, I ain’t any expert nor am I going to display current economic graphs to back their statements. Frankly, they are pretty boring unless it helps us, directly, or they talk about us.

If you look at the current American spending habits, it seems that the country is on the path to frugality, if not recovery. However, if they become frugal, recovery is certain. So, how do I know America is being frugal? Simple. Look around you. You will notice the disappearance of extravagant habits and inhabitation of frugality.

Here is what I have been noticing since past many weeks:

1. Enormous usage of public transportation and carpooling:Gasoline isn’t cheap at all, especially during the days when we are jobless or adjusting at a lower paying job. The daily gasoline expense is snatching a huge lump of your monthly income. Consequently, a very practical approach is to use the public transport or carpool with colleagues. Thankfully, Americans have realized this, says figures, not me. There is 0.3 % growth over last year in the number of people carpooling, while people traveling through public transport grew by considerable 5%.
2. An upturn in Dollar store’s sales:Have you been to Dollar Tree, Dollar General, or Family Dollar recently? If you are one amongst us, an average US citizen that is, you probably might have. These dollar stores are constantly reporting higher sales and hiring more man power, where other retail biggies are collapsing one by one. This means people have started buying comparatively cheaper products. Isn’t it frugal?
3. Incurring Saving Habits:Once known as land of high spenders, America is now witnessing enormous saving among the general class. People didn’t save much five years ago. The rate of saving, then, was below 0%. However, there has been a sharp improvement in this figure since then. On May 2009, the rate reached 6.9%. That was when the interest rates were extremely low, lowest I guess.
4. Less borrowing:I have to admit this wasn’t intentional when it started. Availing credit was easier in 2007. However, after the sub prime crises and global recession, getting credit is sheer good luck. I know, exaggeration. However, it is now much difficult to get a loan than it was a couple of years ago. Thankfully, fewer people are being buried under debts.
5. Contentment with small things:No, they haven’t adopted Buddhism. It’s just a resultant of less income and inflationary trends. People are now happy with eating out once a month compared to twice a week, a year ago. DVD’s have replaced multiplexes. Many are seen terminating their cable connection; some have started bringing lunch to their workplace. But the smartest among all is my neighbor Mr. Hopkins. He takes advantage of the National Museum Day (free admission) instead of sending his soon to the science trip.

Some are saving $5, some $500, and some $5000. Each has found their way of spending less and saving more. I don’t really know how many years America might need to recover fully. But, one thing I am sure about is, America is definitely frugal now.