Vibecession
A portmanteau of 'vibe' and 'recession' used to describe the widespread negative public sentiment about the economy, even when official economic indicators like GDP growth and unemployment are positive. The podcast argues this feeling is a more accurate reflection of the average person's experience.
First Mentioned
10/12/2025, 6:00:19 AM
Last Updated
10/12/2025, 6:02:02 AM
Research Retrieved
10/12/2025, 6:02:02 AM
Summary
Vibecession is a neologism coined by economic commentator Kyla Scanlon in June 2022, describing a phenomenon where a country's official economic indicators, such as GDP growth and low unemployment, show stability or growth, yet the public experiences a pervasive negative perception of the economy, feeling as though they are in a recession. This disconnect between economic reality and public sentiment, often characterized as "the vibes of a recession," is attributed to factors like high inflation eroding purchasing power, rising interest rates, and excessive government spending under both the Biden and Trump administrations. The concept is seen as a manifestation of the emerging "vibe economy," where collective sentiment and narratives can significantly influence economic outcomes, potentially leading to reduced spending and delayed investment due to widespread anxiety, echoing John Maynard Keynes' theory of "animal spirits." The U.S. economy was described as experiencing a vibecession from early 2022 into 2023, with some speculation of it tapering off by early 2024.
Referenced in 1 Document
Research Data
Extracted Attributes
Impact
Reduced spending, delayed investment, real market consequences due to anxiety
Coined By
Kyla Scanlon
Etymology
Portmanteau of 'vibe' and 'recession'
Definition
A disconnect between positive economic indicators and the public's negative perception of the economy, where people feel like they are in a recession despite data showing growth or stability.
Broader Context
Emerging 'vibe economy'
Related Economic Theory
Animal spirits (John Maynard Keynes)
Contributing Factors (U.S. context)
High inflation, rising interest rates, excessive government spending
Associated Public Perception (negative)
Financial distress, recession fears, negative consumer sentiment
Associated Economic Indicators (positive)
GDP growth, low unemployment, stable trade and industrial activity
Timeline
- John Maynard Keynes published 'The General Theory of Employment, Interest and Money,' which explains how 'animal spirits' (people's emotions) affect economic decision-making, laying groundwork for behavioral economics. (Source: Web Search)
1936
- Economic commentator Kyla Scanlon coined the term 'Vibecession' in a newsletter, discussing Americans' attitudes toward inflation and recession fears. (Source: Wikipedia, Web Search)
2022-06
- The United States economy was described by some journalists and economists as entering a period of 'vibecession'. (Source: Web Search)
2022-Early
- The 'vibecession' in the U.S. economy continued. (Source: Web Search)
2023
- Speculation by some that the 'vibecession' in the U.S. economy might taper off. (Source: Web Search)
2024-Early
- An article published on the platform 'The Vibe Economy' characterized vibecessions as a by-product of the emerging 'vibe economy'. (Source: Wikipedia)
2025
Wikipedia
View on WikipediaVibecession
Vibecession is a neologism describing a disconnect between a country's economic indicators and the public's negative perception of the economy. The term was coined by economic commentator Kyla Scanlon in a June 2022 newsletter discussing Americans' attitudes toward inflation and recession fears. A portmanteau of "vibe" and "recession", the term refers to situations where economic data shows growth or stability, yet people feel as if they are living through a recession. Scanlon described it as "the vibes of a recession, but maybe not the economic reality of one (yet)." Some interpretations of the term suggest it represents a broader shift in how economic narratives and emotions shape real-world outcomes. For example, a 2025 article published on the platform *The Vibe Economy* characterizes vibecessions as a by-product of the emerging "vibe economy", where stories and collective sentiment carry economic weight, and widespread anxiety can lead to reduced spending, delayed investment, and real market consequences.
Web Search Results
- Vibecession - Wikipedia
Vibecession is a neologism describing a disconnect between a country's economic indicators and the public's negative perception of the economy. The term was coined by economic commentator Kyla Scanlon in a June 2022 newsletter discussing Americans' attitudes toward inflation and recession fears. A portmanteau of "vibe" and "recession", the term refers to situations where economic data shows growth or stability, yet people feel as if they are living through a recession. Scanlon described it as [...] A 2025 article on The Vibe Economy suggested that the vibecession is not a misreading of the economy but a sign that conventional measures like GDP and inflation fail to capture lived experience. The article argues that modern economies are shaped as much by perception and emotional volatility as by data, and that public trust in institutions has declined. [...] The United States was described by some journalists and economists as entering a period of "vibecession" in early 2022, which continued into 2023 and was speculated by some to taper off by early 2024.
- What does vibecession mean and will it continue in 2024?
In other words, a vibecession is when people have a more negative perception of the economy than what most economic data suggests. The negative perception can have a material effect on the economy, as consumers with economic anxiety pull back spending and businesses raise prices in anticipation of the worst. It's a disconnect between economic data and consumer sentiment that can affect future economic data. [...] Scanlon defines a vibecession as "a period of temporary vibe-decline where economic data such as trade and industrial activity are relatively okayish." Scanlon cites the University of Michigan Index of Consumer Sentiment in her video and the Present Situation and Expectations Indices from the National Bureau of Economic Research in her article. The Index of Consumer Sentiment is based on a monthly survey of 600 consumers containing subjective questions such as, "Are you financially better?" [...] The term vibecession is, in some ways, just a rebranding of economic theories that have existed for decades. It closely resembles economist John Maynard Keynes' theory of "animal spirits," which describes how people's emotions affect economic decision making. In his 1936 publication, The General Theory of Employment, Interest and Money, Keynes explains how animal spirits affect consumer confidence. This theory laid the groundwork for the field of behavioral economics and Scanlon's theory of the
- What Is Vibecession? Exploring The Gap Between Data And Reality
At its core, a vibecession represents the emotional side of economics. It’s a feeling of financial unease that doesn’t align with official data like low unemployment or GDP growth. While the economy may technically avoid a recession, individuals still experience financial strain. Here’s why this disconnect exists: This combination of rising costs and limited financial growth creates an emotional recession, even if the broader economy is technically thriving. [...] Do you ever feel like the economic news you read just doesn’t match your personal financial experience? If so, you’re not alone. This phenomenon, known as a “vibecession,” highlights the growing disconnect between official economic data and the financial realities we face daily. First coined by economic commentator Kyla Scanlon in June 2022, the term blends “vibe” and “recession” to describe a situation where, despite positive economic indicators, it feels like we’re in a downturn. [...] Many economists acknowledge the core idea behind a vibecession: the growing disparity between aggregate economic data and individual experiences. While metrics like GDP, unemployment rates, and inflation are crucial for understanding the economy, they don’t always capture the nuances of daily life. Some experts argue that these traditional metrics should be supplemented with measures of financial stress, wealth inequality, and consumer sentiment to provide a more comprehensive picture.
- What Is a Vibecession? | The Motley Fool
Enter the "vibecession," coined by economics educator Kyla Scanlon. A vibecession, Scanlon said, is caused when economic indicators appear to show a strong economy, but the prosperity isn't shared by most people. The economy isn't in a recession, but people feel like they're living in the middle of an economic downturn. UICS Data by YCharts. ## What causes a vibecession? ## What causes a vibecession? [...] What do you call an economy that has emerged from a downturn and is showing signs of strength but is still not making a lot of people happy? The new word for it, credited to a podcaster in mid-2022, is "vibecession," a combination of "vibe" and "recession." Read on to find out more about vibecessions, their causes, their characteristics, and how to profit from them. Sad person holding up wallet with money flying out. ## What Is a vibecession? ## What Is a vibecession? [...] Founded in 1993, The Motley Fool is a financial services company dedicated to making the world smarter, happier, and richer. The Motley Fool reaches millions of people every month through our premium investing solutions, free guidance and market analysis on Fool.com, personal finance education, top-rated podcasts, and non-profit The Motley Fool Foundation.
- What is 'vibecession'? - WFMJ.com
Yet, more than 75% of Americans are not happy with the current state of the economy. Over the past few years, news outlets have been covering something called 'vibecession.' That's when there is not a recession, but Americans feel otherwise. "What we've seen consistently over the last few years is both consumers and firms being far more downbeat on the economy than the fundamentals seem to justify," said Michael Pearce, deputy chief U.S. economist for Oxford Economics. [...] ## What is 'vibecession'? New jobs numbers out today show the U.S. unemployment rate has fallen for another month, now down to 4.1%. It's only the latest in a string of positive news about the economy. Inflation is at a three year low, wages are up and the stock market routinely sets records, only to break them again. Analysts agree that although the cost of living is higher than it was a few years ago, the U.S. has dodged a recession. [...] Although there have been some positive points in the economy, many Americans are still worried about its current state. According to Brett House, economics professor for Columbia Business school, that feeling is justified. "Just because the economy hasn't landed in a recession doesn't mean that folks should necessarily feel great about it. We had a big increase in the cost of living on the order of about 20% over a few years," said House.
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