Recently I read an article about Americans changing their spending habits as a result of the recent economic downturn. Interviews with ordinary Americans suggest a new frugality endures even though consumer spending has risen for five straight months and retail sales for three. In the AP’s new quarterly survey, a majority of economists agreed that a new frugality will persist even as the recovery gains firmer footing. “I would call it a ‘mini age of austerity,’” said  an economics professor at the University of Central Florida. “It appears consumers will not run up credit card debt as before.”

This so-called “new frugality’ may also be reflected in Baby Boomer Retirees searching to stretch their retirement dollars by living in a country like Costa Rica. One of the main benefits to residing  here is the low cost of medical care. Many retirees in the U.S. can’t afford the country’s exorbitant health cares costs. Even if someone is lucky enough to have insurance there may be many obstacles in the road to receiving affordable health care. On the other hand, Costa Rica has a cradle-to-grave health care system for its citizens. Foreigners who become residents are eligible to join the public system called “La Caja.”  The system must work because Costa Ricans have a longevity rate equal to or better than most first-world countries. The quality of medical care is so good that the country is quickly becoming one of the world’s destinations for medical tourism. People are flocking here for joint replacements, cosmetic surgery, cosmetic dental work and  eye surgery.

In addition to medical care, labor is inexpensive as are local foods, utilities and rentals. Taxes are low in comparison to the U.S. with home prices only being one quarter of one percent or .25. Public transportation is a steal so you won’t need a car. There are a lot more perks, too.

So it appears that Costa Rica is a solution for frugal people form the U.S. and other countries who are seeking to get more for their money for their golden years.