Consumers say 2022 is the worst economy ever

The good news is that consumers don’t seem to be slashing spending in line with what they tell the Michigan statisticians. The bad news is that it might be on the wayPremium
The good news is that consumers don’t seem to be slashing spending in line with what they tell the Michigan statisticians. The bad news is that it might be on the way
 wsj 3 min read . Updated: 06 Jul 2022, 08:48 PM IST James Mackintosh, The Wall Street Journal

Surely they are wrong. It isn’t that bad, but measures of consumer sentiment clearly point to troubles ahead.

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One of the biggest threats to markets fails a basic sanity check. The threat is that households are the most depressed they have been since the University of Michigan began its long-running Consumer Sentiment index in the 1950s. When consumers are worried about their finances and the economy, the danger is a self-fulfilling cut in spending that brings on a recession.

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