Posts

Showing posts with the label animal spirits

Confidence in the Economy Grows as Holidays Near

Image
The holiday season is nearly upon us and people are a little more optimistic about the economy then they were just a few months ago. People are slowly starting to feel good about their future prospects and the potential for their incomes. According to the Gallop Poll a -6 is a significant improvement over the -20’s experienced throughout the year.  Economic confidence is a beneficial metric but isn’t a very conclusive one. Much of economic confidence is based in how people perceive the environment and their opportunities within it. New reports and the general impressions of reports does have an impact on economic impression (Barsky & Sims, 2012). Some have called positive economic beliefs part of our animal spirits.  Animal spirits are more psychological images and impressions than objective data. If you buy more on days when you feel good than on days you don’t then this is your animal spirits coming to play. What we read and how we read the environment will natural