Another Sign Of American Economic Pessimism
Greg Mankiw passes along this chart from the University of Michigan’s survey of consumer attitudes. The question that this chart is based on is “By about what percent do you expect your (family) income to increase during the next 12 months?”
Given how high it was in 81, the obvious question is whether this is a sign of economic pessimism or a sign that inflation is expected to remain low.
It seems that the worse the economy gets, the higher Comrade Obama’s number gets. If Comrade Obama gets reelected in 2012, the economy will be so bad and his numbers will be so high that in 2016 he will be anointed Comrade President for life, just like in the 3rd world.
Are pessimism and seeing reality the same thing? I know my income will not increase because I have been told that already. I also know I’ll be paying more for medical benefits. That doesn’t make me pessimistic it allows me to plan ahead. The important thing is I know I’m employed and barring a total, I mean total, collapse of the entire country, I’ll remain employed.
In terms of what the chart is measuring, I suppose I am basically in Mr. Prosser’s camp: since the last several years have seen very little in the way of income increases, I don’t expect one in the coming year. I am not sure that the is pessimism, per se. One suspects that most people are in that situation, and hence the chart.
Actually, the dip tracks with the Great Recession, so not really a surprise, yes?
Nice thing about being in a union, Comrade Obama will see that the unions are taken care of.
@SH:
Who mentioned unions?
Also: do you really think that the “Comrade Obama” is clever or does anything other than make you look childish? Just curious.
I mentioned unions because my future earnings are based on union contracts.
“Comrade Obama” is my way of expressing the contempt I have for the man that I truly believe is ruining this country.
Hmm…perhaps you would care to tell us what “Comrade” Obama has in common with the “3rd world”, eh, Grand Dragon Southern Hoosier?
Oh? So your willing to suck off the union teat, but you still hold them in contempt? Hardly surprising but typical of people of your ilk…
@ An Interested Party
I do find it interesting that the worse the economy gets the higher Comrade Obama’s numbers seems to get. If Comrade Obama finds a way to stay presidents in 2016, then we have because a 3rd world nation, politically.
Hardly, I live in a right to work state and pay my union dues.
That “truly” does a lot of work, especially next to “believe.” It’s almost like you know that it’s not true, but if you just believe hard enough……..
I truly believe the sun will come up tomorrow morning.
When you can see the prices of the things you buy going up and your income staying the same, I don’t see any way to paint it as other than a pessimistic view.
http://goo.gl/mh4Dj
Is less confident the same as pessimistic?
Well, I truly believe that the sun won’t come up at all, but mostly that’s because the earth rotates around the sun.
Look, here’s my point……you can’t demonstrate that the country is “ruined,” (whatever that means) nor can you demonstrate that Obama is the one who ruined it. So you must fall back on your truly held beliefs.
And hey, that’s fine. Everyone’s entitled to an opinion.
LOL That’s what I told my wife the other day. That if I said the sun come up, someone would correct me and say the earth turns and the sun doesn’t move.
I think you need to check your beliefs. The sun comes up becasue the Earth rotates on its axis, not around the sun. 🙂
Seriously, thank you.
Nah, the “sun coming up” is a turn of phrase stemming from our limited experiences. Celestial bodies rotate and while the sun may be “coming up” in one hemisphere, it’s “going down” in the other. (And sorry….but the earth does rotate around the sun, as well as rotating on its axis. Scientists call this phenomenon a “year.”)
It all depends on your perspective. You may truly believe your perspective is the right one, but that doesn’t make it so.
Time will tell, who is right.
“But it does move.” – Galileo