Forty-Six Percent of People Fear Being Left Behind in the ‘Great Recovery’

Print  | 

The just-released Wealth Hazards WorryIndex(TM) indicates that many people are feeling left out of recent improvements in the economy

Atlanta, GA, October 2, 2009 — The Wealth Hazards WorryIndex(TM) now shows that the number of people who fear that they may be left out of the current recovery has grown to 46 percent versus 31 percent just one month ago. As the stock market has regained some of its value and the high rate of job losses has slowed, people have begun to question “when will these improvements help me?” An alarming number of people now feel that their lives will not improve until early or mid-2010, according to the most recent survey from Wealth Hazards. Forty-six percent of survey respondents now feel that a real recovery is still many months away. Their main concern is “how durable is the current recovery and when will I benefit from it?”

Although recent reports regarding consumer confidence, interest rates, and housing prices could lead one to believe that the recession may be starting to subside, a large and growing number of people are still not experiencing a renewed sense of comfort or security. Many still have anxiety about a long, drawn-out recovery that will not create enough jobs for the nearly 15 million people presently unemployed. People facing foreclosure, continued unemployment, lack of healthcare, and a high level of stress about their future are raising a red flag that contrary to recent news, millions of Americans are still suffering the ill-effects of the “great recession” and they think that their voices are not being heard.

“The recent economic news puts us on the right track going forward,” said Thomas Hertog, editor at Wealth Hazards, “but what is of concern to most people, of course, is how all of this will impact their daily lives.” The unemployment rate remains very high and the housing market is difficult in many parts of the country. “One important factor is that improvement in the economy is somewhat uneven; people read that interest rates are historically low, but they still can’t refinance their mortgage. People hear that fewer workers are losing their jobs, but then their company eliminates their position in a cost-cutting move.” All of this volatility causes stress and uncertainty for the consumer; it’s no wonder that people are still reluctant to increase their spending without continued support from a stimulus plan. “The fear factor will not diminish until people believe that their jobs are safe, access to credit is improved, healthcare benefits are available, and the recovery begins to extend to the broader economy,” says Hertog.

About the WorryIndex(TM)

The Wealth Hazards WorryIndex(TM) was created to capture the sentiment of consumers. It is measured by comparing the difference in survey responses to when the current recovery began vs. when it will begin over a one-month time interval. Those responses that indicate a belief that improvement will occur in future quarters (versus the current quarter) increase the index’s score. A higher score reflects a heightened sense of discomfort or insecurity with the condition of the economy, housing, jobs, and stock market. You may vote once per 24-hour period. You can view the survey at http://www.WorryIndex.com.

About Wealth Hazards

A wealth hazard is a risk or threat to your financial health. Wealth hazards come in all shapes and sizes – and very often in disguise. Wealth Hazards was established to help people to avoid, manage, and recover from life’s wealth hazards. The new book Wealth Hazards – Surviving the Recovery is now available at http://www.WealthHazards.com.

Other press releases from Wealth Hazards

• Double-Dip Recession Anyone? Forty Percent of People Now Say ‘Yes’ - January 5th, 2010
• Sixty-Three Percent of People Hope for a Stronger Recovery in 2010 and Beyond - December 1st, 2009
• Fifty-Eight Percent of People Ask ‘What’s so Great About the Great Recovery?’ - November 3rd, 2009