Tag: finance

B2 – Upper intermediate

Are you the type of person who has a money app on his phone and keeps track of every expense? Or is it more common for you to go shopping impulsively?

Read the article below to find out what kind of person you are when it comes to money.

Are You a Saver or a Spender?

Discuss:

1. What did the article say about being a saver and being a spender?
2. After reading the article, where would you put yourself?
3. What are some of the things you mostly spend on?
4. What are some of the things that you are willing to save for? Or invest in?

B2 – Upper intermediate

According to a global study carried out by consultancy firm, Nielsen, 86% of the Spanish claim to have changed their buying habits over the last year in order to save on household expenses.

This percentage is “well above the European average,” which is currently at 65%. The study noted that 18% of the Spanish have no money left at the end of the month after covering their basic needs. Among those who have some money left, 41% is spent on leisure activities/entertainment outside of the home, 37% on savings, 29% on clothes, 25% on holidays, 24% on paying off debts or loans and only 6% is dedicated to pension plans or investments.

The report highlighted that 85% of those questioned believe that now is not a “good time” to buy things they do not want or need. Nielsen pointed out that this “negative” view over buying, is the view held by the majority throughout Europe.

The actions the Spanish are taking in order to save are to spend less on entertainment outside the home (69%); spend less on gas or electricity bills (65%); reduce spending on telephones/communications (58%), buy fewer clothes (56%) and take less holidays (51%).
The consultant noted that a “large part” of those interviewed said that they will maintain these cost-cutting measures even when the economic situation improves, “especially when it comes to reducing their spending on bills.”

Spanish among the most pessimistic
The consumer confidence index in Spain fell four points during the third quarter, reaching 48, “which puts it at the bottom of all the countries of the world.” The European average is currently 74 points, whereas the world average is 92.

El Economista reported that 96% of Spanish consumers believe the country is in recession, and 82% do not foresee an improvement in the next twelve months.

Discussion Questions:

1. What brought about the changes in the Spanish’s spending habit?
2. What do you think about the Spanish spending habit?

3. What is your spending habit like?
4. What changes have you done in your spending habits over the years?