New study finds a significant relationship between partisan politics and consumer sentiments

A new study from UF’s Bureau of Economic and Business Research (BEBR) has found that national elections have a greater impact on consumer sentiment and spending intentions than previously thought, especially during transitions of power between political parties. Led by Hector Sandoval, director of the Economic Analysis Program and research assistant professor at the Bureau of Economic and Business Research (BEBR), the study draws on years of meticulous observation and analysis of monthly sentiments data collected by the UF Survey Research Center.

Despite the wealth of data available to economics researchers, studies on these relationships are relatively uncommon. This study, according to Sandoval, is built on similar work performed in Australia back in 2018, marking the first of its kind conducted in the state of Florida.

“Consumer sentiment surveys have existed for nearly 75 years, yet the causal relationship between sentiment and consumption is mixed and scarce,” Sandoval said.