Ukraine Crisis Rattles Americans' Confidence in Economic Recovery: Survey
More broadly, 67% of millennials and Generation Xers said they are delaying important purchases because of inflation, compared with 52% of Gen Zers and 44% of baby boomers.
Even though Gen Z is not leading the overall delay in purchases, 49% of these young respondents said they are delaying the purchase of gifts for others, compared with about a third of their older counterparts.
Better Positioned for Post-COVID World
Before the onset of the Ukraine conflict, Americans took positive financial steps to help them better position themselves for a post-COVID world, according to the survey.
Fifteen percent of respondents said their income has increased since the beginning of the pandemic, up from 8% in 2020. Only 19% this year said their income has decreased, versus 40% in 2020.
During the pandemic, saving and paying down debt also emerged as new financial habits for many Americans. Men, regardless of generation, were more likely than women to save money and pay down debt.
Millennials, both men and women, were the most likely generation to prioritize saving and paying down debt, the survey found.
Millennials were also significantly more likely than other generations to adopt positive lifestyle habits. Thirty-eight percent reported that they practiced activities to improve emotional health/wellness and saved by entertaining at home, while 22% developed more meaningful interactions with neighbors.
According to the survey, Americans entered 2022 with a more optimistic view of their finances. Optimism has increased since the beginning of the pandemic, with 31% of Americans saying they expect their personal finances will improve post-COVID, up from 25% in April 2020.
Many Americans are eager to leave the pandemic behind them. Twenty-four percent of respondents declared, “It’s time to move on whether the pandemic is over or not,” and 33% said, “The pandemic is on its way to being an endemic like the flu.”
“With several historic events threatening to hinder finances, consumers are taking pause as uncertainty remains the only constant,” Fanning said. “However, many Americans have made positive financial strides through the pandemic which could lead to renewed optimism once the current conflict ends, and inflationary pressures subside.”
