JACKSONVILLE, Fla. – A team of American and Canadian economists say social media is to blame for the declining savings rate.
Researchers say we want to keep up with "The Joneses," which is why we spend more. They say when we see our friends posting pictures of themselves buying a new house or car, it makes us think we should spend, too.
They also say finding ways to make non-spending more visible might help people develop more realistic views of overall spending.
The study also found Americans don't spend more than in the past.
In 2018, the personal saving rate hovered around 7 percent. That's up from an all-time low of 3 percent right before the recession hit.