Just one year ago, Americans were at their lowest point ever as far as feelings about the economy and inflation were concerned. The stock market had crashed, unemployment was soaring, and inflation levels continued to climb higher. But now there is evidence that Americans are starting to feel better about their economic prospects.
A recent survey conducted by Nielsen shows that 56% of Americans have financially recovered to at least some degree, with more than one in four (27%) feeling that their personal financial situation is good to excellent. This is up from only 19% in April 2020.
On top of that, consumers’ outlook for future economic growth and inflation have improved significantly from the same time last year. 57% of Americans are now expecting an economic recovery by the end of 2021, an increase from 48% just six months ago. And while 19% of Americans worry about inflation, that figure is down significantly from 36% in April of last year.
This turnaround in consumers’ sentiment can be attributed mostly to the federal government’s swift response to the pandemic, including stimulus checks and enhanced unemployment benefits. Additionally, optimism in the future of the economy and inflation is likely being driven by the vaccine rollouts, which have given Americans hope that the pandemic will soon be over.
All of this suggests that Americans are starting to feel better about the economy and inflation, and that could be good news for businesses and consumers alike. By ensuring economic stability, more money flows into the market, creating opportunities for businesses to expand and hire more workers, which can in turn help get the economy back on track.
