US GDP per capita

For eighteen years, Americans have spent more on their pets at almost exactly the rate they've gotten richer, a correlation so tidy it raises the question of whether pets are GDP or GDP is pets. US pet industry spending climbed from roughly $36 billion in 2005 to over $136 billion in 2022, which is more than the GDP of many countries and also more than most Americans spend on themselves. Economists call this a 'luxury good with inelastic emotional demand.' Pets call it Tuesday.

Pet spending is one of the most robust proxies for household discretionary income in the US economy. As GDP per capita grew from around $44,000 in 2005 to over $60,000 in 2022, households consistently directed increasing shares of that income toward pet food, veterinary care, insurance, and accessories. The humanization of pets — treating them as family members deserving premium products and medical care — accelerated through the 2010s, meaning that pet spending grew even faster than income as cultural norms shifted. The correlation here is partly direct causation: richer households really do spend more on pets.

Not every correlation on this site is spurious, and this one flirts with being genuine. Affluence and pet expenditure are legitimately linked — which makes it all the more important to remember that correlation, even real correlation, still tells you nothing about direction or mechanism.