Americans feeling pinched financially are splurging on small treats while economic anxiety and inflation jitters put off larger purchases.

Why it matters: From movie tickets to collectible watches , those affordable indulgences are helping sustain consumer spending .

The economy remains in what some economists call a "vibecession," where consumers feel relatively stable personally while pessimistic about the broader economy.

Consumers feel caught between a "combination of rising inflation, slowing after-tax real incomes, and rising credit card debt," Wayne Winegarden, a senior fellow in business and economics at Pacific Research Institute, tells Axios.

In a K-shaped economy, the wealthy can still indulge while lower-income consumers pull back and sate themselves with smaller purchases, economists say.

State of play: Winegarden expects lower-income households to opt for movies or staycations this Memorial Day weekend as economic conditions tighten.

Theaters have a national ticket average of $10.75 and…