Get Aleteia delivered to your inbox. Subscribe here
The world and your Catholic life, all in one place.
Subscribe to Aleteia's free newsletter!

Not Prepared to Donate?

Here are 5 ways you can still help Aleteia:

  1. Pray for our team and the success of our mission
  2. Talk about Aleteia in your parish
  3. Share Aleteia content with friends and family
  4. Turn off your ad blockers when you visit
  5. Subscribe to our free newsletter and read us daily
Thank you!
Team Aleteia

Subscribe

Aleteia

Consumer spending goes up even as income falls in January

Share

Income dropped in January by the most it has in 20 years

Despite the fact that income dropped in January by the highest percentage in 20 years, consumer spending actually increased, though modestly. Bloomberg has the story:

Consumer spending in the U.S. rose in January even as incomes dropped by the most in 20 years, showing households were weathering the payroll-tax increase by socking away less money in the bank.
 
Household purchases, which account for about 70 percent of the economy, climbed 0.2 percent after a 0.1 percent gain the prior month, a Commerce Department report showed today in Washington. The median estimate in a Bloomberg survey of 76 economists called for a 0.2 percent advance. Incomes slumped 3.6 percent, sending the saving rate down to the lowest level since November 2007.

Employment gains, the rebound in housing and growing demand for autos will probably keep supporting consumer spending in the first quarter as the world’s largest economy picks up from an end-of-year slowdown. Even so, rising gasoline prices and the need to rebuild nest eggs may make it difficult for households to match last quarter’s performance.
 

Read more

Newsletter
Get Aleteia delivered to your inbox. Subscribe here.
Aleteia offers you this space to comment on articles. This space should always reflect Aleteia values.
[See Comment Policy]
Readers like you contribute to Aleteia's Mission.

Since our inception in 2012, Aleteia’s readership has grown rapidly worldwide. Our team is committed to a mission of providing articles that enrich, inspire and inform a Catholic life. That's why we want our articles to be freely accessible to everyone, but we need your help to do that. Quality journalism has a cost (more than selling ads on Aleteia can cover). That's why readers like you make a major difference by donating as little as $3 a month.