America’s economy can’t fully recover without help from its consumers, who are the backbone of the nation’s economic strength. But rising inflation, goods shortages, supply chain issues and rising coronavirus cases have left consumers in a difficult spot.
Consumer spending contributes some two-thirds of America’s gross domestic product, the broadest measure of economic activity. But consumer spending has taken a hit in some parts of the country as the Delta variant spreads.
The Federal Reserve said in a report last week that economic growth “downshifted slightly to a moderate pace” over the summer as worries over the coronavirus caused consumers to dine out and travel less.