Consumer confidence is an economic indicator which measures the degree of optimism that consumers feel about the overall state of the economy and their personal financial situation. How confident people feel about stability of their incomes determines their spending activity and therefore serves as one of the key indicators for the overall shape of the economy. In essence, if the economy expands causing consumer confidence to be higher, consumers will be making more purchases. On the other hand, if the economy contracts or is in bad shape, confidence is lower, and consumers tend to save more and spend less. A month-to-month diminishing trend in consumer confidence suggests that in the current state of the economy most consumers have a negative outlook on their ability to find and retain good jobs.
Read more about Consumer Confidence: Usage, United States, Canada, India, Israel, Spain, Worldwide, GfK NOP Consumer Confidence Barometer (UK)
Famous quotes containing the words consumer and/or confidence:
“Vice is its own reward. It is virtue which, if it is to be marketed with consumer appeal, must carry Green Shield stamps.”
—Quentin Crisp (b. 1908)
“If the child-caregiver relationship is nurturing, reliable and often even joyous, the child’s confidence in human relationships as a source of comfort and reciprocity will be strengthened and expanded in spite of the parent’s absence. The child will learn that not only are the parents to be trusted but that other people are trustworthy as well.”
—Alicia F. Lieberman (20th century)