Effect of Layoffs and Discharges on Consumer Confidence.

ABSTRACT This paper investigates the impact of layoffs and discharges (separations) on consumer confidence. Empirical tests ar apply to measure any relationship among separations and two superior general consumer confidence indexes. The paper found separations can be spend to predict consumer confidence three months from now. INTRODUCTION This paper let al atomic number 53 by streak and error investigate the impact on consumer confidence by separations during the gunpoint between December 2000 and August 2005. The hypothesis is that there willing be a positive and significant coefficient of correlation between separations and consumer confidence. It is my belief that consumer confidence is a reflection of consumers perceptions of rudimentary stinting conditions. I expect to find that separations will affirm a significant impact on those consumers perception which will payoff in the expected correlation. This hypothesis will be time-tested statistically usin g employment data from the get together States section of Labor and consumer confidence indexes from the University of knot and the Conference carte. accentuate Consumer attitudes regarding the economy ar measured by two sweltry indexes; the University of Michigan great power of Consumer Sentiment (ICS) and the Conference Board Index of Consumer Confidence (CCI). These popular indexes ar considered by umpteen to be economic indicators predicting everything from presidential elections to future consumer spending.

Both these indexes are widely reported in the monetary media on their turn each month. Popular sign headlines stating unproven re! lationships between the indexes and the fall market, unemployment, weather, politics and war are common. The ICS index began in 1946. The University of Michigan surveys more or less 500 community by telephone. The survey consists of approximately 50 questions about their attitudes and expectations. The responses to fin questions on whether it is a upright time for people to debase major consumer goods and on the familys financial condition relative to one year ago are combined to calculate the... If you expect to get a plenteous essay, order it on our website: OrderCustomPaper.com

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