Because consumers beliefs about what the future holds is such an important determinant of how much they will pump into the economy when making discretionary purchases, many companies take forecasts about intended spending seriously (e.g., "Do you plan to buy [a car] in the next year?") and have surveys conducted to measure:
A) social strength
B) consumer purchase behaviour
C) consumer confidence
D) discretionary spending
E) economic health

Question

Quizplus · Accepted Answer

Consumer confidence measures how optimistic or pessimistic consumers are about the future of the economy, which directly influences their spending behavior.

Because Consumers Beliefs About What the Future Holds Is Such