High gas prices had a devastating impact on consumers' budgets and caused consumers to expect a worsening financial situation during the year ahead. |
I think their concern will be heightened by the president's affirmation. They will pull back in general on all types of spending. |
If the economy produces jobs at a more rapid rate in the months ahead, these apprehensions of consumers could quickly fade. |
On average, consumers have anticipated changes in the unemployment rate three quarters in advance of the actual change. |
One of the big stories today is that people are so happy with $2 gas. There is nothing better than a relative price decrease. |
Prospects for the economy have improved substantially from the lows recorded following the Gulf Coast hurricanes and the surge in gas prices. Firms still expect a slower overall pace of economic growth during 2006 than in 2005. The expected growth slowdown is mainly due to anticipated increases in interest rates. Firms are much more optimistic about their own prospects in 2006, as they expected strong growth in revenues and profits. |
Restoring consumer confidence becomes more than just a matter of economic stimulus. A renewal in confidence may also require the restoration of a sense of personal safety among large parts of the population. |
TEC firms reported that substantial gains in the overall economy have already occurred. They anticipate continued gains during the year ahead. |
That certainly is part of the issue. People have stakes (in the stock market) have noticed these things. If you get to the top quarter or the top 10 percent, then these consumers have mentioned decline in stock market prices much more often. |
The gap in how low- and high-income households view their current finances and future prospects is the widest in two decades. It's an unusual circumstance. |
The growth slowdown anticipated by consumers is very mild, but just enough to result in smaller job gains and a somewhat higher unemployment rate during 2006. |
The highest proportion of consumers in two decades anticipate a falling unemployment rate in 2004. |
The last time consumer confidence declined a comparable extent was prior to the recessions in 1990 and 1980. |
The loss in people's sense of personal security was linked to the decline in consumer confidence. Unlike other assessments of economic risks, these fears represent a significant threat to the usual functioning of the economy. |
The recent increases in gas prices have thrown a cold blanket on consumers' hopes for additional declines in gas prices. |