US President Joe Biden speaks with Indian Prime Minister Narendra Modi (not shown) during a virtual meeting at the South Court Auditorium of the White House Complex in Washington, DC on April 11, 2022. Listen.
Drew Anger | Getty Images
According to the latest CNBC All-America Economic Survey, Americans have had the most negative views of the economy since the recovery from the Great Recession, and some of their attitudes are consistent with those seen only during the recession. I am.
With inflation soaring, 47% of the population rate the economy as “bad”, the highest number in this category since 2012. Only 17% rate the economy as good or good, the lowest since 2014.
Only one in five Americans states that they are “advancing” their personal financial situation. This is the weakest in eight years. Most people say “calm down” and one in ten says “fallback”. Meanwhile, 56% say they anticipate a recession next year. This is a level achieved only in a real recession survey.
“In the past, anxiety was about what’s happening in the economy, but now we’re moving to a new place that’s more pessimistic about what’s happening,” said public partner Mika Roberts. It states. strategy. Republican pollster for investigation. “There is no collapse of pessimism in this survey. It is on every page and it is inevitable. »»
A survey of 800 Americans nationwide was conducted on April 7-10, with an error of plus or minus 3.5%.
The president also saw a double-digit year-on-year decrease in economic approval among the key members who contributed to his nomination: women aged 18-49, people of color, and young Americans aged 18-35. I confirmed that.
The president’s response to the war in Ukraine has improved slightly with 40% approval and 49% disapproval. His new proposal to tax unrealized capital gains split the country in half, with 43% in favor and exactly as many against the bill.
Inflation as a bipartisan focus
Biden’s problem is that inflation is bipartisan, said Jay Campbell, a partner at Hart Research and a Democratic pollster in the study.
“The cost of living has blown everything else out of the water, including Covid, and partly because of its attitude towards the economy, which is primarily a partisan phenomenon,” he said. rice field. “It’s not the case of inflation, at least not now. This is a big problem for Democrats, independents and Republicans.” »»
Inflation was selected by 48% of participants as one or two major issues facing the country, up 9 points from October. The war in Ukraine is second with 31%, followed by immigration and border security, employment, crime and climate change. Coronavirus, not so long ago, was the most important problem to date, reaching only 14%.
There is a lot of responsibility for inflation, and it seems that almost no one is spared, except perhaps former President Donald Trump.
Indeed, 69% of the population blame supply chain disruptions, while 66% say it is the result of companies taking advantage of this situation. Meanwhile, 55% point to Russian President Vladimir Putin and 49% blame Biden’s policies. Just over three out of ten respondents are in the Federal Reserve, and 28% cite President Trump’s policies.
Americans, on the other hand, are saving more than ever due to rising prices, with 84% reducing spending in some way to achieve their goals.
Approximately 62% said they had reduced their spending on entertainment such as going to movies, concerts and restaurants, and the majority also said they were spending less on travel and driving and spending more on savings. Only 16% said they were motivated by rising gas prices to buy electric cars.
The only good news is for the owner. Just over half (52%) of respondents expect home prices to rise next year, the highest level since 2017. But this optimism could be challenged in the coming months by rising mortgage rates. About 37% expect wages to rise by an average of 5% over the next 12 months. This is the highest number since 2019. Unfortunately, 82% expect their living expenses to rise.