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Americans' Economic Confidence Hits Eight-Year High

Americans' Economic Confidence Hits Eight-Year High

GALLUP NEWS SERVICE

PRINCETON, NJ -- According to a new Gallup poll, taken June 4-5, Americans are feeling more positive today about the state of the U.S. economy than they have in the eight years that Gallup's economic confidence measure has been tracked. Three-quarters of Americans, 74%, now say that economic conditions in the United States are "excellent" or "good," up five points from January of this year. The latest rise represents a continuation of the "good times" economic trends Gallup has seen since March of last year, when the percentage giving the economy high ratings reached 66%. In all Gallup polls prior to that, with one exception, less than half the public viewed the economy in positive terms.

Just as most Americans feel the economy is now doing well, they also express highly optimistic sentiments about their own finances. More than half the public, 57%, say that they are financially better off today than they were a year ago, and an even higher proportion, 67%, say they expect to be better off next year. By contrast, less than a quarter, 22%, say they are worse off this year compared to 1998, and only 17% think they will be worse off next year.

Personal Finances Score Maintained at High Level
Gallup computes a personal finances confidence score for Americans; the June 1999 score is 85 points, out of a possible high score of 200. The score is computed by adding the percentage who rate their finances as "better" on each of the two personal finances questions and subtracting the percentage who say "worse."

The current score of 85 is close to the highest score ever achieved on this measure, which was 97 points in March 1998. The lowest scores (ranging from -8 to -13) were recorded in 1979 and the early 1980s, during an economic recession that spanned Jimmy Carter's final year as president and the first half of Ronald Reagan's first term. Public perceptions of personal finances rebounded in the mid-1980s and the score reached 55 in 1984. In 1988, shortly before George Bush was elected to succeed Ronald Reagan, the score soared to 77. While high throughout most of Bush's presidency, personal financial confidence plummeted in January 1992 to 10. At the same time, public confidence in the economy was extremely low, with only 12% rating it excellent or good, and 87% considering it "only fair" or "poor."

These positive feelings about the economy and personal finances seem to be shared by most major groups in American society, including men and women, young and old, white and nonwhite. Even a majority of Americans living in households with relatively low incomes give the economy high marks and are optimistic about their finances, saying they expect to be financially better off next year.

SURVEY METHODS
The results below are based on telephone interviews with a randomly selected national sample of 1,053 adults, 18 years and older, conducted June 4-5, 1999. For results based on samples of this size, one can say with 95 percent confidence that the error attributable to sampling and other random effects could be plus or minus 3 percentage points. In addition to sampling error, question wording and practical difficulties in conducting surveys can introduce error or bias into the findings of public opinion polls.

How would you rate economic conditions in this country today -- as excellent, good, only fair, or poor?

  Excellent/
good
Only
fair/poor
No
opinion
Jun 4-5, 1999 74% 26% *%
Jan 15-17, 1999 69 31 *
Dec 4-6, 1998 65 35 *
Oct 29-Nov 1, 1998 66 33 1
Sep 1, 1998 65 34 1
Mar 20-22, 1998 66 34 *
Dec 18-21, 1997 48 50 2
Nov 6-9, 1997 58 42 *
Aug 22-25, 1997 49 51 *
May 6-7, 1997 46 53 1
Jan 31-Feb 2, 1997 42 58 *
Oct 26-29, 1996 47 52 1
Aug 30-Sep 1, 1996 37 62 1
Jul 18-21, 1996 43 57 *
May 9-12, 1996 30 69 1
Apr 9-10, 1996 27 72 1
Mar 15-17, 1996 33 66 1
Jan 5-7, 1996 29 70 1
Nov 6-8, 1995 30 69 1
May 11-14, 1995 29 70 1
Dec 16-18, 1994 27 73 *
Nov 2-6, 1994 30 69 1
Oct 22-25, 1994 26 73 1
Jul 15-17, 1994 27 73 *
Apr 22-24, 1994 24 75 1
Jan 15-17, 1994 22 78 *
Dec 4-6, 1993 21 78 1
Nov 2-4, 1993 17 83 *
Aug 8-10, 1993 10 89 1
Jun 29-30, 1993 10 89 1
Feb 12-14, 1993 14 85 1
Dec 18-20, 1992 1 81 18
Dec 4-6, 1992 1 84 15
Oct 23-25, 1992 1 88 11
Sep 11-15, 1992 1 88 11
Aug 31-Sep 2, 1992 10 90 *
Jun 12-14, 1992 12 88 *
Apr 9-12, 1992 12 88 *
Jan 3-6, 1992 12 87 1

* Less than 0.5%


Gallup https://news.gallup.com/poll/3772/americans-economic-confidence-hits-eightyear-high.aspx
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