Pawn Shops Reflect Economy

How a pawn shop owner in Chicago can tell a lot about the nation's economy

May 6, 2008

The owner of a pawn shop in downtown Chicago says he can tell a lot about the state of the economy just by keeping an eye on his business.

The more items people bring in to pawn, the worse the economy, says Randy Cohen of the Royal Loan Bank. With gas prices going up, increasing food prices, a bad real estate market and jobs losses, Cohen says his business is booming. And sometimes he doesn't believe what people will pawn for some quick cash. WGN's Lourdes Duarte visited the pawn shop to see for herself.