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Utahns are more likely than most Americans to believe there are good financial times ahead but are still uncertain about the economy.
Consumer sentiment, which measures attitudes, feelings, values, motivations and behaviors of people within a particular market, rose less than one point between March and April 2023, according to a new report from the Kem C. Gardner Policy Institute.
Utah’s consumer sentiment rose from 70.2 in March to 70.5 in April, according to an institute survey. A similar survey by the University of Michigan found Americans’ overall consumer sentiment rose from 62 to 63.5 in that same time frame.
April is the second straight month the index has remained “relatively unchanged,” said Phil Dean, the institute’s chief economist. That reflects “continued uncertainty among Utahs about the economy as they face mixed economic signals,” Dean added.
Higher interest rates and the banking crisis are negative signals, while a strong local labor market and improvements to inflation may make people feel better about the economy, he said.
Utahns who responded to a consumer sentiment survey were more likely to say they:
Are worse off financially than a year ago.
Will be better off financially in a year.
Expect bad times financially in the next year.
Expect continuous good times in the next five years.
Think it’s a bad time for people to buy major household items.
But their answers were more positive than ones from a national survey conducted by the University of Michigan.
Utahns were more likely to say good financial times are coming in the following year — 36% said so, compared to 20% of Americans.
They also were more likely to predict continuous good times in the next five years.
U.S. World News and Report recently gave Utah the top spot in its “Best States” rankings, citing the state’s economic strength and educational offerings. Dean told the outlet that Utah “has one of the strongest economies in the country, and has for some time.”
Utah also has been ranked as the top state for economic outlook for more than a decade in an index from the American Legislative Exchange Council. ALEC describes itself as a nonpartisan organization, but most of its members are Republican.
State leaders touted the ranking in a statement issued last month.
Gov. Spencer Cox, Senate President Stuart Adams, R-Layton, and House Speaker Brad Wilson, R-Kaysville, said policies, reserves, “smart fiscal decisions” and hard work from Utahns put the state in the top spot.
