How women’s hemlines tell economy’s strength

Can this be true? Though little absurd, the data shows otherwise.

While most wait for data from the Australian Bureau of Statistics, others use less conventional ways to measure the strength of an economy – like a woman’s hemline.

There is what is known as the Skirt Length Index, which is a theory that when the market is good, women’s skirts tend to get shorter, and when things are not so good they are worn longer.

“The idea behind this theory is that shorter skirts tend to appear in times when general consumer confidence and excitement is high, meaning the markets are bullish,” the Courier Mail quoted an explanation from Investopedia.com.

“In contrast, the theory says long skirts are worn more in times of fear and general gloom, indicating things are bearish,” it stated.

Another way to measure is through cosmetics, with the Leading Lipstick Indicator theory saying that in times of economic unease or recession, consumers tend to go for cheaper “feel-good” options, such as lipstick or mascara.

According to Investopedia, Leonard Lauder (chairman of Estee Lauder) had coined the term when he consistently found that during tough economic times, his lipstick sales went up.

“Believe it or not, the indicator has been quite a reliable signal of consumer attitudes over the years. For example, in the months following the September 11 terrorist attacks, lipstick sales doubled,” he said. (ANI)

Source: Yahoo News

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