Recessionary Psychology?

We've been talking a lot about the recessionary psychology as a possible explanation for why our current crop of TUG applicants is the largest and has the most ability to pay ever, yet our enrollment numbers are still a bit soft and we have even more pressure on our discount rate than is typical. In short, why are these "rich" people so much more focused on finances than just a few years ago?

This article by Newsweek economist Samuelson, quoting from a Pew study, fleshes out the argument that we've all been making about the effects of the "recessionary psychology." Namely, this recession hit the upper classes in ways that past recessions typically did not. So while the brunt of the recession has been felt by the young and the lower socio-economic groups, those groups are actually more optimistic about the future than the richer, whiter, older, and more conservative types (i.e. our typical constituents). It's the kinds of people sending their kids to our school who are particularly pessimistic and cautious at this point in time and who are therefore being especially frugal.

http://www.realclearpolitics.com/articles/2010/07/12/the_great_stranglehold_106258.html