An August 5th poll by PEW shows how
Americans are having an improved perception of the economy but is unsure of how
beneficial it will become. The study uses 1002 adults to gauge their perception
of the economy and what it means to them. Whether this impression will continue
will depend on whether they realize benefits in their opportunities, income,
earning power, and social networks.
At present Americans 10% hear mostly good news, 24%
mostly bad news, 64% mixed news and 3% not sure. The vast majority of Americans are unsure if
the economy is really improving or if it will have positive impact on them. They
are becoming more optimistic but with a recession full of skepticism to
overcome.
Despite the mixed results there have been some
improvements since a similar poll in February. The amount of people hearing
positive news increased 5%, those hearing bad news dropped 9%, while mixed news
increased 4%. There appears to be an adjustment going on that will impact
consumer behavior in terms of purchasing, seeking employment, and savings rate
that could support sustained growth.
Hearing about the economy from media and politicians
does have an impact on how people perceive the economy but is not the final
word. These words will only have so much meaning unless it impacts their
employment opportunities and chances to earn living wages. People must
experience the same phenomenon in their personal lives and hear confirmation of
improvement in their social networks.
They are more optimistic about jobs with 20% hearing
good news, 34% bad news, 41% mixed news, and 4% don’t know. That is an
improvement since January with an increase in 8% hearing good news, a decrease
in 8% hearing bad news, a decrease in 3% hearing mixed news and an additional 1%
unsure.
The results of the study are limited by their sample
size but offers a small glimpse of what could be improvement of perception of
the economy by Americans. Lasting positive impressions will only occur if the
continued news is confirmed within the way they live their lives and among the
people they associate.
That proof comes in varying forms but is often seen
through employment and wages. It can also be realized in earning power as it
relates to prices of everyday items such as gas, household products, rent/mortgage
and food. If these prices rise and cut their spending and saving potential the
overall impact will be muted and short lived.
That should be the end goal. Americans want to see
improvement on the ground level. The recent news of growth is less than a year
old and benefits on the corporate level may not have yet trickled down to the
masses. This financial boost will be a major sticking point with people. If
opportunities do not both improve upon the profit margins of companies and the
livelihoods of people than their impression will change again and the positive
news seem more like wishful thinking.
http://www.people-press.org/2014/08/05/modest-improvement-in-views-of-economic-news/
