It’s hardly news to most Americans that good jobs in the U.S. wounded economy are more than hard to come by. But with news that the job market is as tough as it’s been in three decades, is now having a substantial impact on America’s ability to bounce back.
According to a new report from Reuters, “U.S. consumer confidence was little changed in September amid concerns about income as a gauge of labor market conditions deteriorated to its worst since 1983, an independent survey showed on Tuesday. The Conference Board said its index of consumer attitudes ticked up to 45.4 from an upwardly revised 45.2 in August. Economists polled by Reuters had expected the index to rise to 46.0 from a previously reported 44.5 in August. “
Consumer confidence being the measure of consumer health, and consumerism amounting to upwards of 70% of U.S. economic activity, any hits to American spending is definitely considered a bad sign for the future of our domestic financial recovery.
“The pessimism that shrouded consumers last month has also spilled into September. Consumers expressed greater concern about their expected earnings, a sign that does not bode well for spending,'' Lynn Franco, director of the Conference Board Consumer Research Center told Reuters’ Lucia Mutikani.
“In a sign that people were struggling to find employment, the jobs-hard-to-get index rose to 50.0, the highest level since May 1983, from 48.5 the previous month.”
With job prospects at a three-decades old low, you might be wondering: what’s next?
Given consumers’ heightened level of anxiety, along with their pessimistic income outlook and lackluster job growth, retailers are very likely to face a challenging (or, ahem, a ho-ho-ho-hum) holiday season ahead. As a result, if you’re a retailer or consumer-driven business (as most are), this news could mean another quarter of lost sales, lower profits, and an overstock of inventory with nowhere to go because no one is buying. More directly, floundering business can mean hiring freezes and/or layoffs, contributing to a ever-more unemployment, and thereby, even less consumer spending.
And so, this endless cycle of no confidence, no business, no hiring, no jobs, no confidence, etc. etc. doesn’t seem to be changing anytime soon. In fact, concerns about business conditions and the labor market are casting a dark cloud over consumers that is not likely to lift until the job market improves. Plus, while financial experts and economists don’t agree whether this slow growth will lead to a second (or “double dip”) Recession, the longer the economy languishes in its current financial malaise the longer American families will likely do the same.
As the economy continues its “slow-to-no” recovery and consumer confidence fads, confidence in the benefits of bankruptcy continues to rise, with 1.5 million folks predicted to file in 2011 alone.
If your own economic house is shaken due to long-term unemployment, credit card debt, repossessions or foreclosure, it may be time to take your financial future into your own hands.
The first step is knowing a qualified bankruptcy attorney who can help you regain your power, conquer creditors and face your financial fears, yielding—all with the right kinds of support, information and insights—at a low cost— for a viable and secure future. The bankruptcy attorneys at the Law Offices of John T. Orcutt offer a totally FREE debt consultation and now, more than ever, it’s time to take them up on their offer. Just call toll free to 1-888-234-4181, or during the off hours, you can make your own appointment right online at www.billsbills.com. Simply click on the yellow “FREE Consultation Now” button.