As the US economy continues to decline, a shift in consumer behavior is observed in the fashion and beauty industries. People are spending their last purchasing power on appearance-related items to mimic a luxurious lifestyle. Maximalist styling and small luxuries like beauty products have seen a rise in popularity. This trend is reminiscent of the past, where consumers would turn to nostalgia and heritage styles during times of economic uncertainty. The “high-heel theory” suggests that people trend towards more glamorous and maximalist fashion during economic decline. This is accompanied by the “lipstick effect,” where people indulge in small luxuries like lipstick and perfume as a means of release. As a result, the fashion and beauty industries are experiencing a change, with nostalgic styles being reintroduced and new trends emerging.
