Observation published July 19, 2026

Some people say GDP is the measure of the economy. And while it is one measure, I think the real measure is much simpler: what is a customer willing to spend at a small business, and how much disposable income do they actually have left? I would venture to say, not much anymore. It has felt this way for at least the past two and a half years. Since the whole COVID fiasco, nothing has been the same. The government printed money, the value of the dollar went down and everyone became poorer in one way or another.

Fast food now costs as much as a sit-down restaurant in some cases. Groceries, gas, insurance and nearly everything else cost more. I heard someone say that $120,000 a year is the new $37,000 a year. Of course that is an exaggeration, but there is a truth behind it. We are all working harder, yet the value of our labor keeps shrinking. The stock market may be at all-time highs, but that does not mean normal people feel wealthy. Many people no longer have the money to go out to eat, spend freely or support small businesses without thinking twice.

We feel it every day in business. Customers are cutting back. They are negotiating more. They do not want to pay prices that, not long ago, they would have accepted without batting an eye. It is becoming harder to maintain standards, pay people fairly and remain profitable without pricing customers out. And quite frankly, I cannot blame them. Most people are just trying to get by. My only hope is that things turn around soon.