Gallup Reports Upper-Income Spending Worst November Ever

Townhall.com ^ | December 10, 2012 | Mike Shedlock

[Kaslin]

With the generally upbeat spending reports on black Friday and cyber-Monday, Gallup paints a different point of view in its most recent poll that shows U.S. Consumer Spending Holds Steady, Consistent With 2011

Americans' self-reported daily spending averaged $73 in November, essentially on par with September and October. It is also similar to the $71 Americans spent last November and slightly higher compared with November 2010 and 2009 -- but still much lower than in November 2008.

November 2012 vs. November Prior Years



U.S. Upper-Income Spending Sees Worst November on Record

Upper-income Americans' (defined as those making at least $90,000 per year) self-reported daily spending was lower this November -- an average of $113 -- than in any November dating back to 2008. Upper-income spending has been trending downward since September, although the decline has not been large enough to drag down the overall spending figures.



Lower-income Americans' spending in November -- an average of $61 -- is on par with the $60 they spent last November. Lower-income spending is generally quite stable from month to month and has been holding steady since March.

Bottom Line

Although November marks the beginning of the holiday season -- generally a time for spending and splurging -- Americans did not spend any more than usual this November, and upper-income Americans appear to be spending less than usual. Americans' self-reported spending in November is on par with November 2011, matching Gallup's finding that Americans predict they will spend about as much on holiday gifts this year as they did last year.Note that both charts paint a different picture of holiday spending in the recovery. Spending levels did not recover to pre-recession levels, at least as reported in Gallup surveys.What consumers actually spend vs. what they report to Gallup might not be the same thing.

[MachIV]

I’m not remotely upper income; however, I am spending less this year than I ever have before.

[throwback]

Is that adjusted for inflation? Ben's been devaluing as fast as he can for the last 4 years. At best, this country has flatlined since ‘08. It's 1936 again.

[brownsfan]

This isn’t difficult to figure out. Let me help the folks at Gallup. Upper income Americans are generally upper income because they are smarter than lower income Americans. Being that upper income Americans are smarter, they see the economy going into the toilet, and Obama raping and pillaging the economic landscape for years to come. So, we are pulling back. The lower income class is enthused by the promise of more Obama bucks, so they are spending beyond their means. Just like daddy Obama.

Next year won’t be pretty, but the media will pacify the masses, telling them it’s the world economy, it’s the new normal, and their daddy Obama is the smartest man to ever live. If Obama can’t fix it, no one can. The masses will be content with that.

[Varsity Flight]

Which means all have spent LESS......as 40$, 50$, 60$, 70$ buy less product proportionately than a year ago.

For example air travel cost are up 9% than a year ago. and food etc.,,,

[KeyLargo]

The so-called 2 percent are not stupid and are having their accounts ensure that their income is kept below the $250K levels, especially small business owners will do what it takes in cutting workers to keep their costs down.

[greene66]

I’m nowhere near high-income, but like those in that range, I know what’s coming with Obama’s re-election, and I’ve all but wired my wallet shut. Used to spend around $1000 to $1200 during the Christmas season. This year, my plans are in the $50 range.

[hecht]

going Galt!!!!!!

[Thorliveshere]

If I were anywhere near the 1-10%, hell let’s even go 20%, I’d be hiding my money. Away from banks, away from any place the gov’ get its grubby paws on it. I don’t blame for them going offshore with it.

[KeyLargo]

Tax planning
http://www.forbes.com/sites/greggfisher/2012/07/20/start-planning-for-higher-taxes/

December 7, 2012, 3:00 pm
When $250,000 Isn’t Actually $250,000
By CATHERINE RAMPELL

Binyamin Appelbaum and I have an article in Friday’s paper about President Obama’s proposal to raise marginal income tax rates for married couples earning “more than $250,000.”

As we note, there are lot of couples earning more than $250,000 whose tax liability would not be affected.

http://economix.blogs.nytimes.com/2012/12/07/when-250000-isnt-actually-250000-2/

[dfwgator]

We’re going Galt!

[Buckeye McFrog]

The so-called 2 percent are not stupid and are having their accounts ensure that their income is kept below the $250K levels, especially small business owners will do what it takes in cutting workers to keep their costs down.

Since California has just proven that you can go back a year later and change the rules retroactively, the joke may be on them.

[KeyLargo]

Dean Exposes Obama’s Need For Middle Class Tax Hike
Investors Business Daily ^ | Dec 6, 2012

Posted on Monday, December 10, 2012 9:52:59 AM by KeyLargo

IBD Editorials

Dean Exposes Obama’s Need For Middle Class Tax Hike

Posted 12/06/2012 06:52 PM ET

Taxes: The president says all he wants is for “the wealthiest Americans to pay a little more.” But far-left Howard Dean just reminded us Obama wants a lot more from all taxpayers.

http://www.freerepublic.com/focus/news/2967368/posts?page=1

[ConservativeStatement]

Any idea if spending “Obama Money” has increased?

[concerned about politics]

Food is nontaxable. We're giving food baskets. Baskets can be bought at the dollar store. That saves a lot of money on consumers taxes.

Home made goods are gifts from the heart. Everyone this year will be getting home made jams and jellies, plus holiday quick breads and cookies.

The kids will get cash. Of course, we'll tell them to save it for another day, because they're going to need it more at a later date. They're good at taking our advice, so we know they'll stash it rather than spend it.

In the end, we get through the holidays without feeding the beast. Making sure everyone else in the world get's their free christmas bling is not our responsibility.

[RetiredArmy]

We also. Our Christmas this year is just to not spend at all. We have what we need, thus we are not going to spend more money just to help Obama out. We are trying to save what we can because with the cuts and more and more they are taking away from military retirees, we are now making less than we did five years ago.

[jennychase]

Not spending a single buck on travel or gifts or decoration. Last year I did $4K shopping.

[concerned about politics]

Any idea if spending “Obama Money” has increased?

Heck no. The elites are hoarding theirs. Don't you even suggest touching their stash!

As far as spending everyone elses money.....they're printing 4 BILLION a month (QE3), and borrowing 4.8 BILLION a DAY!

To put it bluntly, our economy has already crashed. We have no money left. The American people just haven't noticed it yet. We're still throwing around useless paper and arguing over who's going to be blamed for it when the chaos hits.

[Terry Mross]

We’ve been told over and over that November was a record. Why are we now getting the truth? Why is the headline saying the “upper income” is not spending? So the masses will say “Well, if they won’t spend, raise their taxes.” It was the press that helped the Founding Fathers create a new nation. Can’t count on ‘em today.

[Kaslin]

Maybe it isn’t in NY, but it is sure in TN where I live