The Income-Sentiment Divergence
Why consumers feel worse despite earning more (2019-2023)
Data sources: BLS Consumer Expenditure Survey, University of Michigan Consumer Sentiment Index
The Contradiction: Income Up Sentiment Down
Income Growth
+1.8%
$84,352
Moderate growth
Sentiment
78.1
Index (100 = neutral)
Below pre-pandemic
Spending Growth
-2.7%
$61,332
Recovery patterns
The Deloitte Contradiction
Deloitte claims: Financial well-being decreased in 2023 (102.8 in Oct, down from 103.5 year prior)
BLS shows: Income grew 8.3% while spending only grew 5.9% in 2023
The gap: Consumers had -4.5% MORE discretionary income, yet sentiment crashed to 78.1
Prepared for Steve Rogers | Deloitte Consumer Industry Center
Data Sources and References
Annual reports 2019-2023, income and expenditure data by consumer unit
Consumer Sentiment Index monthly data, averaged by calendar year
Historical consumer sentiment data and economic indicators
Reference comparison for financial well-being claims