Consumers Are Spending More Than Last Year, Moynihan

The video discusses the financial state of consumers, highlighting increased account balances and credit card borrowings. It examines consumer spending trends, noting a 10% increase compared to last year, despite inflation. The discussion touches on economic challenges like recession and stagflation, emphasizing the Fed's complex role in managing economic slowdown without harming consumer spending. The video concludes with insights into the vibrancy of the US consumer and potential external factors affecting the economy.

How have consumer account balances changed from pre-pandemic levels?

• They have decreased significantly.

• They have remained the same.

• They have increased significantly.

• They have fluctuated without a clear trend.

What is a common misconception about the pandemic relief funds?

• They were used to pay off all debts.

• They were never distributed.

• They were only given to businesses.

• They have been fully spent by consumers.

What trend is observed in consumer credit card borrowing?

• It has decreased to pre-pandemic levels.

• It has remained stable.

• It has been eliminated completely.

• It has increased, indicating more borrowing capacity.

How did consumer spending in the first two weeks of May compare to the previous year?

• It decreased by 10%.

• It remained the same.

• It increased by 10%.

• It decreased by 5%.

What challenge does the Federal Reserve face in managing the economy?

• Increasing unemployment rates.

• Slowing down consumer spending without causing a recession.

• Eliminating all credit card debt.

• Reducing consumer account balances.