{"id":1621022,"date":"2022-08-25T17:49:56","date_gmt":"2022-08-25T21:49:56","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1621022"},"modified":"2022-08-25T17:50:28","modified_gmt":"2022-08-25T21:50:28","slug":"three-quarters-of-americans-say-they-are-tightening-their-belts-to-deal-with-recession","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/three-quarters-of-americans-say-they-are-tightening-their-belts-to-deal-with-recession\/","title":{"rendered":"Three-Quarters Of Americans Say They Are Tightening Their Belts To Deal With Recession"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"float:left\"><div class=\"counts mashsbcount\">26<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fthree-quarters-of-americans-say-they-are-tightening-their-belts-to-deal-with-recession%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1621022&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><p>Nearly three-quarters of households profess to be taking financially conservative actions as <a href=\"http:\/\/dailywire.com\/topic\/recession\" target=\"_blank\" rel=\"noopener\">recessionary<\/a> pressures impact the American <a href=\"http:\/\/dailywire.com\/topic\/economy\" target=\"_blank\" rel=\"noopener\">economy<\/a>, according to a recent survey from Bankrate.<\/p>\n<p>The United States met the rule-of-thumb definition of a recession \u2014 two consecutive quarters of negative growth \u2014 last month as the economy <a href=\"https:\/\/www.dailywire.com\/news\/united-states-economy-shrinks-in-the-first-part-of-2022\">shrank<\/a> at a 1.5% annualized rate in the first quarter and <a href=\"https:\/\/www.dailywire.com\/news\/u-s-in-a-recession-after-second-straight-quarter-of-negative-growth\">contracted<\/a> at a 0.6% pace in the second quarter. Citing employment data, economists in the White House have <a href=\"https:\/\/www.dailywire.com\/news\/bidens-economy-identifies-as-growing\">rejected<\/a> the idea that the nation is in a technical recession.<\/p>\n<p>The poll from Bankrate nevertheless shows that Americans are reporting changes in behavior as economic pressures continue. Among the 74% of respondents who are taking steps to prepare for a recession, 47% are cutting discretionary spending, 35% are saving more for emergencies, and 30% are paying credit card debt.<\/p>\n<p>\u201cWhile some Americans indicate they believe the economy is already in a recession, it is perhaps more important that so many are already taking actions based on their fears or beliefs that one is inevitable over the next year or so,\u201d Bankrate senior economic analyst Mark Hamrick said in a <a href=\"https:\/\/www.bankrate.com\/banking\/federal-reserve\/recession-preparedness-survey-august-2022\/\" target=\"_blank\" rel=\"noopener\">press release<\/a>.<\/p>\n<p>However, David Bahnsen \u2014 the founder of Manhattan-based wealth management firm The Bahnsen Group \u2014 pointed out to The Daily Wire that sentiment data is not always correlated with actual economic behavior.<\/p>\n<p>\u201cThere is an unfortunate but predictable trend in economic data for Americans to reflect in sentiment and surveys a desire to curtail spending, but then demonstrate in action and behavior a very strong comfort level with going to the mall,\u201d he explained.<\/p>\n<p>The personal saving rate \u2014 the portion of disposable income Americans devote to savings \u2014 was 5.1% in July, according to <a href=\"https:\/\/fred.stlouisfed.org\/series\/PSAVERT\" target=\"_blank\" rel=\"noopener\">data<\/a> from the Bureau of Economic Analysis. Although households saved between 10% and 35% of their income in the months that followed COVID and the lockdown-induced recession, the personal savings rate is currently well below the 7% or more Americans saved through much of the last decade.<\/p>\n<p>Indeed, Bahnsen said that he is concerned about Americans neglecting to pay credit card debt or save for emergencies in the first place.<\/p>\n<p>\u201cSaving is investment; we cannot have invested dollars that are not first saved dollars. Greater investment equals greater productivity,\u201d he continued. \u201cAnd greater productivity equals more growth. Consumption will come; but when we starve production through inadequate savings, we cut off the real key to economic output.\u201d<\/p>\n<p>With respect to inflationary pressures, 51% of respondents to the Bankrate survey predicted that inflation will be higher one year from now, while only 16% expect inflation to decrease.<\/p>\n<p>Last week, President Joe Biden <a href=\"https:\/\/www.dailywire.com\/news\/biden-signs-740-billion-inflation-reduction-act\" target=\"_blank\" rel=\"noopener\">signed<\/a> the Inflation Reduction Act, which carries a $740 billion price tag \u2014 including $369 billion in climate funding. According to a <a href=\"https:\/\/www.dailywire.com\/news\/inflation-reduction-act-to-cut-after-tax-income-for-rich-and-poor-alike-report\" target=\"_blank\" rel=\"noopener\">report<\/a> from the Tax Foundation, households will see declines in after-tax incomes between 0.2% and 0.3% as a result of the legislation.<\/p>\n<p>The White House is also facing <a href=\"https:\/\/www.dailywire.com\/news\/breaking-biden-announces-details-of-student-loan-cancellation-plan\" target=\"_blank\" rel=\"noopener\">criticism<\/a> over its move to cancel $10,000 in student debt per borrower. Roughly 59% of Americans are concerned that student debt cancellation \u201cwill make inflation worse,\u201d according to a new <a href=\"https:\/\/www.dailywire.com\/news\/clear-majority-of-americans-worried-about-more-inflation-as-biden-mulls-canceling-student-debt\" target=\"_blank\" rel=\"noopener\">survey<\/a> from CNBC. While 30% said that no student debt cancellation should occur, only 19% of adults between 18 and 34 years old maintain such a position.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Nearly three-quarters of households profess to be taking financially conservative actions as recessionary pressures impact the American economy, according to a recent survey from Bankrate. The United States met the rule-of-thumb definition of a recession \u2014 two consecutive quarters of negative growth \u2014 last month as the economy shrank at a 1.5% annualized rate in &#8230;<\/p>\n","protected":false},"author":1,"featured_media":1621026,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"","fifu_image_alt":"","footnotes":""},"categories":[],"tags":[],"class_list":["post-1621022","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry"],"_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1621022","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=1621022"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1621022\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/1621026"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=1621022"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=1621022"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=1621022"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}