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Economics vocabulary · Economic News and Data

Consumer confidence

Meaning in economics, with examples

nounCommon term

In economics, consumer confidence means: How optimistic households feel about their finances and the economy, measured by monthly surveys that ask about income, jobs and plans to spend.

In Turkish: tüketici güveni

How it is used

Reported as an index: consumer confidence rose, fell or hit a record low. Analysts use it to predict consumer spending. In Turkey, TurkStat and the central bank publish a consumer confidence index on which values above 100 show optimism and values below 100 show pessimism.

Example sentences

  1. Consumer confidence fell to its lowest level in two years.

  2. Rising consumer confidence suggests that spending will pick up.

Common collocations

  • consumer confidence index
  • consumer confidence fell
  • boost consumer confidence
  • business confidence
  • consumer spendingThe money that households spend on goods and services, from food and rent to cars and holidays; it is the largest part of GDP in most economies.
  • householdAll the people who live together in one home and share its income and spending; in economic models, households buy goods and services and supply labour.
  • forecastAn estimate of future economic figures, such as growth, inflation or unemployment, based on data and models; it is also used as a verb.
  • pick upTo increase or improve after a slow or weak period, as when growth, demand, sales or inflation start to rise again.

More terms: Economic News and Data

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