The Path Forward: U.S. Consumer and Food Retail Responses to COVID-19

Abstract

The recovery from the global pandemic and economic crisis will be prolonged and erratic (Lahart, 2020) Six months into the COVID-19 crisis, countries around the world are experiencing the symptoms of a social and political economic recession, characterized by heightened economic uncertainty To make sense of market outcomes, it is critical to understand consumer behavior in times of significant shocks to the financial system This article provides insights into the effect of COVID-19 on consumer behavior by exploring essential questions, with implications for the food retailing sector, such as whether consumers under a pandemic are "rational" and what the "new normalcy" in post-pandemic consumer behavior and retail will look like I employ market and media reports that present the timeliest information, along with evidence from behavioral economics and the emerging economic literature, to addresses these questions We hope to serve as a jumping-off point for debate and future research into the impact of COVID-19 on consumer behavior