Amid growing economic uncertainties due to the implementation of Trump's tariffs, teenagers are seemingly handling the situation calmly.

According to Piper Sandler's "Taking Stock" spring research report, 57% of American teens believe the economy is worsening, a decrease from 67% in the fall of 2024 and 65% last spring. Conversely, 19% of teens now perceive an improvement in the US economy, up from 10% last fall and 11% last spring.

The survey revealed that teen spending has risen by 6% annually, reaching $2,388, with approximately 40% of the budget allocated to food and clothing. Popular retail brands among teens are those that offer higher-end products such as Nike's Jordan sneakers, Ugg boots by Decker's Outdoor, and Lululemon leggings.

Although teenagers remain optimistic for now, there are concerns about whether this optimism will endure, especially as their parents navigate the impacts of declining stock prices and the potential for increased costs resulting from tariffs affecting supply chains.

The survey, which polled 6,455 teens with an average age of 16.2, was conducted from February 10 to March 24, just before the stock market turbulence induced by April's tariffs.

Recent developments, such as the implementation of Trump's tariffs on China and reciprocal tariffs on other countries, have further impacted the stock market. This economic turmoil is reflected in signals suggesting a weakening US economy, including projections of a 2.8% GDP decline by the Atlanta Federal Reserve in the first quarter.

Moreover, data from Apollo Global chief economist Torsten Sløk indicates an increase in weekly corporate bankruptcies, a decline in movie theater attendance, reduced job postings by companies, and a rise in continuing unemployment claims. Consequently, the probability of a recession in 2025 is being increasingly forecasted by economists on Wall Street.