Learn Why Lipstick Effect is on the Rise

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India Learn Oikonomia
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This video discusses Lipstick Effect
#LipstickEffect #learnoikonomia #macroeconomics #economicsclasses

The lipstick effect is the theory that when facing an economic crisis consumers will be more willing to buy less costly luxury goods. Instead of buying expensive fur coats, for example, people will buy expensive lipstick. The underlying assumption is that consumers will buy luxury goods even if there is a crisis.

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