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The Diaper Rash Economic Indicator

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Angry babyAmerican parents spend $1,500 per baby on diapering each year, changing a diaper 6.3 times in a day, according to Procter & Gamble.

In a recession, unfortunately, diapering is one of the first costs that households cut.

Diaper rationing is showing up in rising sales of diaper rash cream -- even in a period when the baby population decreased. Ad Age has more:

The number of babies ages 2 and under in the U.S. fell about 3% to 8.1 million last year, based on data from the U.S. Centers for Disease Control, which tracks the number of live births. Yet SymphonyIRI data show unit sales of disposable diapers fell 9% in the 52 weeks ended Aug. 7, three times as fast as the population of infants. At the same time, unit sales of baby ointments and creams rose 2.8%, despite fewer babies.

Diaper rash doesn't rise to the level of concern that the CDC tracks cases, so sales of diaper-rash cream are one of the better barometers for tracking its frequency. And the trend of diaper-ointment sales rising even as diaper sales decline has been going on since 2009, according to SymphonyIRI data from Deutsche Bank. The disconnect between fewer diapers and more rash cream has intensified in the past year.

See also: The Hot Waitress Economic Indicator >

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Gus worked at Business Insider from 2009 to 2017. Starting as an intern, he did a bit of everything, launching sections covering lifestyle, science, personal finance, military, and more, eventually serving as executive editor of Business Insider and editor-in-chief of Tech Insider.As a writer, some of his favorite stories looked facial biasthe philosophy of Peter Thiel, Chinese ghost cities, self-driving car ethics, the average family on earth, Wikipedia hoax-hunters, income inequality, bleak futurismglobal communication patterns, and the worst hotel in New York.As an editor and executive producer, some of his favorite stories include photo essays from the Canadian tar sands to the streets of Cairo, features about Vine stardom and dog cloning, and a documentary on hacking the grid.Gus graduated from Dartmouth College. He interned at Boston Review, 826 Boston, and Yes! Weekly.