Tuesday, February 15, 2005

Consumer Confidence

Consumer confidence has fallen and has hit a 16-month low. Economists say that the main reason for this decline is because of the political debate over revamping Social Security. Economists also say that the President's budget proposal is a reason for the decline because it is again in red figures. In January the Consumer Confidence Index was 92.5 and was down in February to 79.1. In my opinion, I do not believe that these situations should have an effect on consumer confidence. I am not going to change the way I am spending my money because of Social Security and the budget for the new fiscal year. Do you believe these are the reasons why consumer confidence is slacking or are there other reasons? What could be done to help improve consumer confidence?

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