Half of people living in the United States are unsatisfied with their current financial situation because of the continuing effects of the pandemic and a year of record inflation
According to a Gallup Poll taken between Jan. 2 and 22 this year, 50 percent of Americans say they are “worse off” financially than they were a year ago. It is the highest rate of such a response since the tail end of the Great Recession in 2009.
Conversely, about 35 percent say they are in a better financial state, the poll said.
“Lower-income Americans, who have consistently been most likely to report that higher prices are causing them financial hardship, are particularly inclined to say they are financially worse off,” wrote Jeffrey M. Jones, senior editor for Gallup.
The 35-percent mark for “better off” responses is in line with responses during similarly difficult times across the economic landscape, Gallup reports. In 2009, 2003, the early 1990s and early 1980s participants responded “better off” at lower rates.
While inflation put a strain on the wallets of many Americans, Gallup notes that wages also increased.
Political affiliations and income levels play some role in how participants respond, the survey said. Democrats are more likely to respond favorably during a Democratic presidency than Republicans. About 61 percent of respondents with low incomes said their financial situation had gotten worse. Coincidentally, 61% of Republicans responded the same way.
Last January’s poll had positive and negative responses split 41 percent each way.
Americans are starting to see the light at the end of the tunnel. The Federal Reserve assures that much progress will be made on inflation in 2023 and inflation is beginning to tame. About 60 percent of people said they expect to be in a better situation at this time next year.
“Americans have tended toward optimism when projecting their future financial situations in all Gallup readings since 1977, with more expecting their finances to get better rather than get worse,” Jones said.
CURRENTPH NEWS SERVICE