Consumer Confidence Surges
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The current recession is the worst the country has seen since the 1970’s, but Floridians may be starting to get a little more optimistic about the economy.
The latest University of Florida surveys says consumer confidence went up six points, to 71, in April. Experts say, despite the high unemployment rate, more and more people are willing to buy big-ticket items like cars and appliances. They also say the economy will only get better in the future.
Chris McCarty/UF Survey Researcher: “If you look at the sort of information that’s available to consumers right now, in balance, the stock market’s kind of up, housing prices look like they’re flattening out a bit, you don’t hear about a lot more bailouts, you don’t hear quite the dire news anymore. And so, on balance, I think it looks a bit better for consumers.”
But, with more budget cuts on the way, experts do anticipate that this optimism will only be short-lived.
Chris McCarty/UF Survey Researcher: “The Florida budget affects lots and lots of people around the state; when the legislators are debating cuts to the salaries of all state employees, when they’re talking about cuts to teachers, cuts to schools, raising impact fees that are going to affect lots and lots of people. The Florida budget affects a lot more than people who directly receive money from it.”
Good deals and historically low interest rates may have sparked consumer spending. But, by June, experts predict consumer confidence will drop again.