debtconsolidationconnection.com
501 (c)(3) non-profit Organization
Free Consultation
Deloitte: Index for consumer spending down in December
01/15/2010
An indicator of potential consumer spending saw a recent drop in December as real wages declined.
Deloitte Research's Consumer Spending Index dropped from 4.66 percent to 4.63 percent in December. However, the firm noted that the rating system continues to stay near its highest level since 2004.
Carl Steidtmann, chief economist for the organization, said that increases in prices are reducing the effect of improvements in other areas of the index, including a decline in tax burdens and initial claims of unemployment.
"The most notable shift in the index results from inflation, primarily due to rising energy prices, which is undermining the gains in real hourly earnings," Steidtmann said.
Regarding spending power, the most recent data from the U.S. Bureau of Economic Analysis shows that disposable income increased 0.5 percent in November, rising by $54.1 billion.
And though disposable income may have gone up, some consumers may still be having problems in trying to pay off debt. People who can't seem to make ends meet may consider getting help, which could include the advice offered by a consumer credit counseling firm.
These organizations can advise people on where they can cut expenses while also developing strategies to get them out of debt.
More Consumer Credit Counseling News
