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Gloomy
By Daphne | January 11, 2008
Consumers are gloomy.
 Is it because we already have enough or more than enough?
According to the Associated Press:
Over the past year, consumer confidence has eroded sharply as housing and credit woes took their toll. Last January, confidence stood at a solid 95.3. The index is based on the results of the international polling firm Ipsos.
Individuals’ sentiments about the economy and their own financial fortunes over the next six months actually fell into negative territory in early January. This gauge came in at a negative 8.2 percent. That was the weakest showing since right after the Gulf Coast hurricanes in August 2005.
Another measure looking at current economic conditions dropped to 78.9 in January. That was the lowest reading since early March 2003, when U.S. troops invaded Iraq.
That sounds depressing. That is if people were spending, spending and spending and using free credit to fund their lifestyles. I saw on the national news last night that people are beginning to tighten their budgets and think about purchases before making them. What? No impulse buys fueling our overburdened market?
People are still buying but they are being more judicious about their purchases which is what would have made our country stronger. Customers who are informed and want products that will last or can be repaired would pay for quality in ages past. As a society we moved away from that and became a throw away economy, which fueled the consumer lust of many people who suddenly had money or an easier way to acquire things.
Now. nationally and globally consumer confidence is slipping. There will be a shakeup. The people who are more interested in the over-acquisition of things will be the most hurt if they are looking for satisfaction only in their wallets.
Topics: January 2008 |