Confidence in the US economy is deteriorating
with 59 percent of the country’s citizens worried about where the
economy is headed, according to a new report.
The AlixPartners Economic survey found nearly
60 percent of those surveyed felt “not good” or “bad” about the
direction of the economy, compared with 49 percent in May.
The findings contradict a recent report from
Discovery Financial Services which showed that there was an
increasing belief among Americans that the economy was
improving.
Its US Spending Monitor, a monthly
spending index, found 27 percent of respondents believed the
economy is heading in a positive direction up four percentage
points from the previous month.
The mixed economic expectations are reflected
by the country’s credit card market, which is experienced reduced
charge-offs but declining revolving balances.
“The great recession may be officially over,
but the lower-plateau, ‘new normal’ economy appears very much to be
sticking around for a while,” said Fred Crawford, CEO of
AlixPartners.
“These numbers make it clear that Americans
are still far from sanguine in their outlook for the future and
their own personal economic security, and in an economy in which 70
percent of GDP is driven by the consumer, that’s got to
concern business and politicians alike.”
Related story: US
personal finances getting worse
