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Growing Inequality of Income and Wealth is Undermining Many Americans’ Faith in Our Democratic, Free Enterprise SystemThe lingering deep recession combined with a marked growth in inequality of income and wealth in this country over the past thirty years or so and practices perceived as unethical or contrary to the public interest by Wall Street banks, health insurance companies, pharmaceutical companies and oil, coal and utility companies is undermining the faith of many Americans in our democratic, free enterprise system. This is reflected both in the Tea Party and the Occupy Wall Street movements.

The main driver of the overall consumer confidence decline was expectations for the short term. While expectations had been improving over the last two months, now consumers are more pessimistic about the future. The percentage of consumers expecting business conditions to improve over the next six months decreased to 16.3 percent from 17.0 percent, while those anticipating business conditions to worsen increased to 13.3 percent from 12.2 percent. Consumers’ outlook for the labor market was also more pessimistic as those expecting more jobs in the months ahead declined to 13.3 percent from 15.1 percent, while those anticipating fewer jobs increased to 20.6 percent from 19.0 percent. The proportion of consumers expecting their incomes to increase declined from 16.6 percent to 15.4 percent, but those anticipating a decrease in their incomes also declined, from 13.9 percent to 13.1 percent

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