January’s Surveys of Consumers found expectations for future inflation increased, reflecting growing concerns about tariffs Trump has promised. The New York Times quotes SCA’s director, Joanne Hsu: “These consumers generally report that tariff hikes will pass through to consumers in the form of higher prices. Recent data show an emergence of inflationary psychology — motives for buying-in-advance to avoid… Continue reading Which Interest Rate Should You Care About?
News Tag: Economic Behavior
Joanne Hsu discusses the political divide in consumer sentiment
While the overall economy is good – inflation and unemployment are down and wages are up – consumers have not been feeling great. Now that political power is changing, so is spending and consumer sentiment. Joanne Hsu told Marketplace, “Republicans believe Trump’s policies are going to usher in growth, lower inflation in the future, whereas Democrats are… Continue reading Joanne Hsu discusses the political divide in consumer sentiment
Joanne Hsu on Holiday Shopping in 2024
Americans are doing more than picking gifts this holiday season—they’re forecasting the economy. The University of Michigan’s Surveys of Consumers, led by economist Joanne Hsu, offers insights into how consumer sentiment shapes holiday spending and broader economic trends. With over 75 years of data, the index has become a trusted economic barometer, illustrating that perceptions about… Continue reading Joanne Hsu on Holiday Shopping in 2024
Consumers aren’t seeing any relief ahead for high prices, says U of M’s Joanne Hsu
Surveys of Consumers’ director, Joanne Hsu, joined the CNBC Power Lunch to discuss the latest consumer sentiment numbers and the impact of tariffs on how consumers feel about their personal finances.
One set of economic indicators is pointing to a future economic slowdown
A forward-looking index of economic indicators put out by The Conference Board is flashing warning signs of “economic slowdown.” The Leading Economic Index, or LEI, fell sharply in April by 1% after falling nearly that much in March. It was the largest one-month drop in more than two years. Joanne Hsu, director of Surveys of Consumers, told… Continue reading One set of economic indicators is pointing to a future economic slowdown
Why the consumer sentiment plunge is different now
Consumer sentiment fell to its second lowest level-the lowest was June 2022 when inflation peaked at 9%-this decline is among all income levels. Joanne Hsu says, Consumers are specifically concerned about instability, unpredictability, uncertainty around trade policy, and they broadly believe that uncertainty will generate upward pressure on inflation.
Personal Finance ‘We’re living in two separate economies.’ Why young Americans feel stuck, financially
While on paper, GenX and Millennial generations’ net worth has been growing, the costs of housing, medical care, and insurance are rising faster. Older generations blame younger generations for not reaching the same financial milestones that they did, but the problem is structural, not behavioral. Joanne Hsu told CNBC, ““It’s a lot harder for young… Continue reading Personal Finance ‘We’re living in two separate economies.’ Why young Americans feel stuck, financially
The human cost of cutting Medicaid
Helen Levy & Tom Buchmueller (Stephen M. Ross School of Business & visiting scholar at The Brookings Institution) discuss the impact cuts to Medicaid will have on Americans’ health and mortality, “Medicaid coverage improves children’s health at birth, and coverage in childhood and adolescence leads to better health and economic outcomes later in life. Furthermore, women covered by… Continue reading The human cost of cutting Medicaid
Joanne Hsu on Michigan Public’s Stateside
Joanne Hsu discussed the August results of the Surveys of Consumers on Michigan Public’s Stateside. Listen to the interview.
Consumer Sentiment Ticks Lower in June
The Surveys of Consumers survey released it’s preliminary data on Friday. Sentiment declined slightly in the first two weeks of June, while Joanne Hsu noted the change was “statistically insignificant” and within the margin of error, “Assessments of personal finances dipped, due to modestly rising concerns over high prices as well as weakening incomes. Assessments of personal… Continue reading Consumer Sentiment Ticks Lower in June