A recent poll has found that a majority of Americans believe the US is currently in a recession, citing concerns regarding ongoing inflation and high interest rates.
The survey, conducted by Affirm in June and involving 2,000 adults, found that 59 percent of respondents consider the American economy to be in a recession. Many respondents indicated that they believe the recession began around March 2023 and expect it to persist until the summer of next year.
Inflation and the rising cost of living were cited as the primary reasons for this belief. A significant 68 percent of those surveyed said inflation is negatively impacting their future plans and their ability to afford upcoming purchases. Vishal Kapoor, Senior Vice President of Product at Affirm, commented on the findings, saying, “With confidence in the U.S. economy at a low point, consumers are urgently seeking ways to feel in control of their finances.”
“Amidst these levels of uncertainty and doubt, we believe that the antidote to the current ‘vibecession’ is greater choice and transparency in how people manage their finances,” Kapoor added.
The poll also found that 54 percent of respondents have used or would consider using “buy now, pay later” options, with 45 percent agreeing that such options make it easier to manage their finances.
Officially, the US is not in a recession, which is traditionally defined by economists as two consecutive quarters of negative GDP growth. However, this definition has come under scrutiny, particularly when the White House disputed it in 2022 when the economy did, in fact, see two quarters of negative growth.
Regardless of the official status, the fact that a majority of Americans feel the economy is in a recession reflects the challenges faced by the average citizen. A recent CNN poll also highlighted growing concerns, with nearly four in ten Americans worried that their family income may not be sufficient to cover all expenses—a higher percentage than during the 2008 recession.
This piece first appeared at TPUSA.