Bloomberg (June 2)
“The main drivers behind the remarkably resilient American consumer are losing steam at the same time, suggesting a recent pullback in household demand may be more than just a one-off. Real disposable incomes have risen only modestly over the past year.” The U.S. personal savings rate is sharply lower than a year ago and “many Americans are increasingly relying on credit cards and other sources of financing to support their spending.”
Tags: Consumer, Credit cards, Disposable incomes, Financing, Household demand, Main drivers, Pullback, Resilient, Savings, U.S.
The Guardian (March 18)
“The UK remains on track for a ’disastrous decade’ of stagnant incomes and high taxes, despite cuts to public services” based on recent budget analysis. The Resolution Foundation thinktank determined that, after accounting for inflation, “typical household disposable incomes were on course to be lower by the end of the forecast period in 2027-28 than they were before the pandemic.”
Tags: Analysis, Budget, Disastrous decade, Disposable incomes, Forecast, High taxes, Household, Inflation, Pandemic, Public services, Stagnant incomes, Thinktank, UK
