Why Are People So Down About the Economy? Theories Abound.

The U.S. economy is causing confusion as the job market thrives and consumers continue to spend. However, many Americans express dissatisfaction with the economy and President Biden’s economic record. The University of Michigan consumer confidence index and a measure of sentiment by the Conference Board indicate a prevailing negative outlook. This negativity could impact the 2024 presidential election, as a recent poll in six battleground states showed more than half of registered voters rating the economy as ‘poor’. One explanation for this pessimism is the high inflation experienced in 2021 and 2022, which has led to increased prices in various areas such as rent and food.