{"id":410,"date":"2010-05-03T09:46:00","date_gmt":"2010-05-03T13:46:00","guid":{"rendered":"http:\/\/www.intuitiveinvestor.com\/web\/?p=410"},"modified":"2018-08-19T10:14:29","modified_gmt":"2018-08-19T14:14:29","slug":"increased-in-consumer-spending","status":"publish","type":"post","link":"https:\/\/jasonapollovoss.com\/web\/2010\/05\/03\/increased-in-consumer-spending\/","title":{"rendered":"Increase in consumer spending"},"content":{"rendered":"<p><span style=\"font-size: 16px;\">March consumer spending was up 0.6% from February.\u00a0 Meanwhile, personal income was up only 0.3%.<\/span><\/p>\n<p><span style=\"font-size: 16px;\"><strong>Analysis:<\/strong> It is good to see an increase in consumer spending since it makes up 70% of the U.S. economy.\u00a0 One of the reasons that the recession has been as protracted as it has been is that consumers increased their savings during the recession.\u00a0 This is an issue that I have been tracking for a year now.\u00a0 My hope was that the recession would cure consumers of their debt addiction.\u00a0 Further I hoped that consumers would exit the recession spending only what they earned.\u00a0 However, March&#8217;s data clearly demonstrates that consumers spent more than they earned.\u00a0 This is a back door way of saying that they reduced their savings.<\/span><\/p>\n<p><span style=\"font-size: 16px;\">You could argue that consumer spending levels have been too depressed and that consumer savings as brought upon by unemployment-paranoia have been too high.\u00a0 That would mean that consumer spending in March is simply returning to less paranoid levels.\u00a0 Only time will tell.\u00a0 In the long-term spending &gt; savings is not a sustainable trend.\u00a0 I will be watching this number closely.<\/span><\/p>\n<p><span style=\"font-size: 16px;\"><strong>Importance grade:<\/strong> 6; because of the big piece of the economic pie that is consumer spending, an increase in spending means an increase in the size of the economy.<\/span><\/p>\n<p><span style=\"font-size: 16px;\">Jason<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>March consumer spending was up 0.6% from February.\u00a0 Meanwhile, personal income was up only 0.3%. Analysis: It is good to see an increase in consumer spending since it makes up 70% of the U.S. economy.\u00a0 One of the reasons that the recession has been as protracted as it has been is that consumers increased their [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_et_pb_use_builder":"","_et_pb_old_content":"","_et_gb_content_width":"","footnotes":""},"categories":[3],"tags":[],"class_list":["post-410","post","type-post","status-publish","format-standard","hentry","category-the-blog"],"_links":{"self":[{"href":"https:\/\/jasonapollovoss.com\/web\/wp-json\/wp\/v2\/posts\/410","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/jasonapollovoss.com\/web\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/jasonapollovoss.com\/web\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/jasonapollovoss.com\/web\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/jasonapollovoss.com\/web\/wp-json\/wp\/v2\/comments?post=410"}],"version-history":[{"count":0,"href":"https:\/\/jasonapollovoss.com\/web\/wp-json\/wp\/v2\/posts\/410\/revisions"}],"wp:attachment":[{"href":"https:\/\/jasonapollovoss.com\/web\/wp-json\/wp\/v2\/media?parent=410"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/jasonapollovoss.com\/web\/wp-json\/wp\/v2\/categories?post=410"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/jasonapollovoss.com\/web\/wp-json\/wp\/v2\/tags?post=410"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}