As we near the end of another year and the holiday season is upon us, all eyes are on the U.S. consumer, watching to see if the old ways of spending will return, leaving behind the mentality of saving more and spending less. Given that consumer spending accounts for 70 percent of economic activity, the resurgence of the consumer is expected to play a vital role in the recovery. While we have seen glimmers of hope recently, the questions many are now asking are whether this growth can be sustained, and whether there has been a fundamental shift in consumer behavior as a result of the recession.
Recent economic releases have been showing improvements in consumer activity, further raising the question of whether the expansion has staying power. Read the article