Economists see a “soft landing” for a strong job market, but Americans still use words like “miserable” and “miserable” to describe their lives – exclusive poll
How to lower your monthly bill
Reduce your recurring monthly bills with these budgeting tips.
Problem solved, USA TODAY
Ask any American what words they would use to describe the financial situation in their lives, and you’ll hear a catalog of dire circumstances.
“Horrible.” “Chaotic.” “Sad.” “Struggling.” “Scary.”
A new Suffolk University Sawyer School of Business/USA TODAY poll found that three out of four people volunteered words that reflect anxiety or deterioration, saying things are good, improving, or at least fair.5 It overwhelmed one person to another. While economists have praised a strong jobs market and a “soft landing” that has eased inflation without sending the economy into recession, at least for now, the outlook from the dinner table is less rosy.
“My reading of this data is that there is no soft landing,” said David Paleologos, director of the Suffolk Center for Political Research.
More than 3-to-1, 70% to 22%, those surveyed said the economy is getting worse, not better.
Why do Americans feel so bad when the economic statistics are good?
Here are six findings that help explain that disconnect. The poll, conducted among 1,000 people by landline and mobile phones between September 6 and 11, has a margin of error of plus or minus 3.1 percentage points.
Grocery costs remain tough
Is inflation improving? Americans can’t see that.
There is a national consensus that the cost of living is still rising, with 84% saying so. Only 4% said prices were easing, just outside the poll’s margin of error. Half (49%) of those who expect inflation to continue cite food prices as the biggest cause.
16% cited housing costs, and 11% each cited utilities, gas, and other transportation costs.
Household debt increases and savings decrease
As Congress debates how to deal with the growing federal budget deficit, many families are finding themselves doing the same.
Four in 10 (39%) say their household debt has increased in the past year, twice as many as the 18% who say it has decreased. Nearly nine out of 10 people said they had no plans to buy or sell a home in the next 12 months, and more than a third said they simply couldn’t afford to do so right now.
30% say they have had to dip into their savings to pay bills, and about the same number say they have saved less than usual in the past year. That will cause trouble in the future.
Aid for the pandemic has run out
A majority of Americans, 55%, say they received federal stimulus checks or other federal aid during the pandemic, which was important to many. More than a third of award winners said it was “very important” that we get through the worst of the pandemic. Another 1 in 4 girlfriends said it was “somewhat important.”
But now that three rounds of stimulus funding have ended, Congress has rejected a proposal to resume expanded support for child care. That’s one reason why Census Bureau data released Tuesday showed child poverty more than doubled last year, from 5.2% in 2021 to 12.4% in 2022.
new clothes? A night out? never mind.
Most Americans are cutting back on some of the pleasures in life because of economic concerns.
Around 7 in 10 people are eating out less often and spending less on clothing. Nearly six in 10 people have delayed home improvements or canceled vacations. More than half are cutting back on grocery spending, restoring thermometer settings at home and trying to save money on electricity bills.
Low-income earners are hurting
![](https://www.gannett-cdn.com/presto/2021/05/28/USAT/f9de082a-1661-44e5-939b-c517e335eb7a-Inflation_RectThumb.png)
Rising inflation affects things like the stock market. Here’s how:
Rising prices are scaring investors. Here we explain how inflation works, how it affects investments like stocks and funds, and how to protect your money.
FAQ only, USA TODAY
Americans who earn less than $50,000 a year are being hit hardest.
They are most likely to lose their savings and increase household debt. Many of them received pandemic assistance more than higher-income earners, and that assistance was more important to them in making ends meet. They were twice as likely to report spending less on groceries than higher-income households with annual incomes of $100,000 or more.
Additionally, low-income households were most likely to say someone in their household had an addiction problem, such as drugs, alcohol or gambling. That situation and the burden it brought affected 24% of people earning less than $50,000 a year, compared with 14% of people earning more than $100,000 a year.
Christmas is coming
For many families, Santa events will be on hold this year.
By a 3-to-1 margin, 44% to 14%, Americans say they plan to spend less on holiday shopping this year, rather than more. 4 in 10 say they would spend the same amount.
That vigilance itself could also have an impact on the economy. Retailers are counting on consumer spending, including the traditional holiday surge, to boost profits.