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The feeling of sticker shock, a sensation as ancient as the concept of trade, is now more than just an annoyingly high bill. In the age of social media, paying too much for a meal is an opportunity for everyone to publicly express their frustration over the state of the global economy.
The $16 McDonald's meal that went viral on TikTok last year caused quite a stir. In Idaho, a man paid $16.10 for a burger, large fries, and a drink, sparking outrage over the high price. "I understand there's a labor shortage and wage increases, but $16 for a fast food meal? It's just ridiculous," he expressed in the video.
On Tuesday, Aug. 15, 2023, shoppers were seen carrying Bloomingdale's bags in the bustling Magnificent Mile shopping district in Chicago, Illinois, US. The rise in US retail sales in July exceeded forecasts, indicating that consumers continue to have the capacity to support the economic expansion.
Jamie Kelter Davis/Bloomberg/Getty Images
Americans say the economy stinks. But theyre spending like its great
The video continues to resurface on popular platforms like TikTok, Reddit, the New York Post, and Newsmax, with many interpreting the moment as a reflection of the current state of the American economy. This poses a growing challenge for Democratic political strategists and economists, as they struggle to effectively convey the message that the economy is in fact thriving.
Fast food prices have increased in recent years, but not as much as suggested by the TikTok video. The burger featured in the video was a limited-time "smoky" double quarter-pounder with bacon and cheese, rather than a standard McDonald's menu item.
According to the Economist, the average price of a Big Mac in America was $5.58 this summer, an increase of about 75 cents from January 2020. However, prices can vary by region due to the majority of McDonald's restaurants being independently owned. For instance, in the affluent town of Darien, Connecticut, a Big Mac combo meal can cost around $18.
The social media megaphone
In a time prior to the existence of TikTok or YouTube, a $16 burger experience would have passed by in just a few seconds. The individual who bought it may have simply shrugged and savored his meal, or perhaps returned to the counter to inquire if there had been a mistake when his order was rung up.
In the era of social media, outrage is published and amplified, fueling people's indignation about a world where the cost of food, housing, and gas continues to rise. Despite persistent inflation, the economy under President Joe Biden's leadership should be a major success. However, American voters are not feeling the positive effects that economists are observing in the data.
According to a recent CNN poll, 72% of Americans believe that things in the country are going poorly and 66% consider the economy to be a crucial factor in deciding their vote next year. Additionally, 58% of respondents in a September CNN poll stated that they believe Biden's policies have negatively impacted economic conditions.
The real beef
Even the seemingly isolated incident of the $16 McDonald's meal reached the desk of the White House Office of Digital Strategy, which monitored it as one of several exaggerated claims about the economy that the Biden administration is working to address, as reported by the Washington Post.
The viral McDonald's meal cost $16, but what is more important is that the customer actually paid for it. It is unclear if TikTok user Topher Olive saw the price of the special menu item before ordering, as he did not respond to CNN's request for comment. However, McDonald's does not conceal its prices and it is evident that Olive paid for the meal, as he recorded the receipt.
This part of the story reflects a broader economic pattern wherein Americans express negative sentiments about the economy when surveyed, but their behavior indicates otherwise. Despite widespread unease and increased prices, American consumers continue to demonstrate a strong willingness to spend money on dining out, travel, concert tickets, and various goods.
Consumer spending, which serves as the primary driver of the US economy, propelled the US gross domestic product to achieve a remarkable annualized growth rate of nearly 5% in the last quarter, more than double the growth from the previous quarter.
This does not imply that all Americans are flourishing, but it does indicate that the consistently robust labor market, with unemployment remaining under 4% for almost two years, is providing workers with a sense of financial security regarding their future earnings.