Cecily O'Connor
RedwoodAge.com

When it comes to saving dough in the down economy, boomers are more likely than older or younger generations to buy generic products, eat a brown-bag lunch and cut back on trips to the hairdresser, according to a new poll.

The Harris Poll of 2,293 adults found all generations were cutting back. It's just that the boomers are cutting back more. 

While the US economy is showing some signs of new growth, most consumers remain cautious about opening their pocketbooks as the holiday season approaches.

Like other generations, boomers' reduced spending reflects worry over savings at a time when retirement accounts and home equity are still on shaky ground. These actions also show that they're taking prudent action to protect themselves financially in a difficult economic time.

'Best Bang for Shopping Dollar'
About two-thirds plan to spend less this holiday season and 6 percent say they still are carrying debt from last year's holiday purchases, according a new Consumer Reports holiday shopping poll.

"This year, it all comes down to value and getting the best bang for your shopping dollar," said Tod Marks, Consumer Reports senior editor. "We've already seen aggressive discounts that make it seem more like November 28 rather than October 28, but retailers are getting more sophisticated about targeting their promotions to their best customers."

The projected decrease in spending is likely to be felt in almost every category, Consumer Reports found. Those surveyed said they're cutting back on purchases of clothing and electronics, as well as other items such as gift cards, monetary presents, and jewelry.

Growing Economy
Even with the cut-backs, the Commerce Department reported that the US economy grew in the third quarter. The growth, in part, was buoyed, by consumer spending - mostly for high-ticket items such as cars due to Congress’s cash-for-clunkers program

Still, when looking across age groups, it's evident that most adults have made trade-offs to deal with the dim financial picture, Harris found.  Echo boomers, aged 18 to 32, are more likely than matures, aged 64 and over, to brown bag, cancel or cut back cable TV services, cancel landlines, and carpool or use mass transit. They are much less likely than matures to call off magazine subscriptions.

On the other hand, all of these savings mean less money going to the people who produce and sell these products and services - and fewer jobs, Harris pointed out.  Most economists agree that increased consumer spending is badly needed to generate further economic growth.