OECD household consumption of goods and services

We start with a very spectacular chart of household consumption of goods and services in OECD countries. Since the COVID crisis, there has been a very significant shift in the structure of consumption to goods at the expense of services. If this development becomes permanent, the consequences will be considerable: Lasting pressure on commodity and transport markets; Increased need for investment (goods production is more capital intensive than services production), and therefore a possible trend towards a rise in real interest rates; Rapid growth in global trade, and therefore re-globalisation; Improvement in job quality; Faster modernisation of the economy. Some of these consequences are therefore positive, others negative.