ANNUAL BUDGETS - Annual U.S. budget cost changes and related 1978-1979 indicators

Sep 21, 2026

Uploaded by Levi

Annual U.S. budget information contrasts lower, intermediate, and higher urban family costs during autumn 1978 to autumn 1979, noting overall percentage increases, drivers such as homeowner costs and social security contributions, and consumption cost growth with transportation as a major component. The text also reports price changes by Consumer Price Index categories since fall 1979 (food, housing, transportation, clothing and personal care, medical care). Additional sections summarize trends in home mortgage rates, consumer confidence, consumer installment credit, help-wanted advertising, and industrial production during 1980.

LanguageEnglish

CategoryResearch & Report

FormatPDF

Pages5

Reading Time13 min

AccessFree to download

HOME MORTGAGE RATES

CONSUMER CONFIDENCE

Consumer Expectations and Plans To Buy

CONSUMER INSTALLMENT CREDIT

HELP-WANTED INDEX

INDUSTRIAL PRODUCTION

BUSINESSMEN’S EXPECTATIONS

Any or all the material in this publication may be quoted or reproduced. ANNUAL BUDGETS n Autumn 1979,U.S.average cost of lower budget for an urban family offour was $12,585 a year,while intermediate and higher levels were$20,517 and $30,317,respectively,according to U.S.Department ofLabor.From autumn 1978 to autumn 1979,total cost of lower budget rose 9.0%,and intermediate and higher budgets rose 10.2%and 10.6%respec-tively.Latter two budgets rose more than lower budget in 1979 because oflarge increases in homeowner costs and social security contributions.Consumption costs rose approximately 9%in lower budget and 10%inintermediate and higher budgets,with largest increase among compo-nents occurring in transportation. Prices based on the Consumer Price Index for Urban Wage Earners andClerical Workers have increased since fall 1979 for specific categories asfollows:Food-5.3%,housing-10.1%,transportation-11.9%,clothingand personal care-4.7%and medical care-7.2%. # HOME MORTGAGE RATES Conventional home mortgage rates declined sharply in early June,according to the Federal Home Loan Bank Board.Commitment rates foruture mortgage lending posted record decline of more than two fullpercentage points,bringing rate of dropoff since early April to more than3%.Reflecting loan commitments issued since early April,rates on loansclosed declined for first time in three years. # CONSUMER CONFIDENCE For first time in eight months,consumer confidence has improved,TheConference Board reported.The Consumer Confidence Index(1969-1970=100)climbed to 48in June,a gain of nearly 6 points over May.Since lastOctober,consumer confidence had plunged more than 41 points.TheBuying Plans Index also turned up in June,closing at 87.2,up ll pointsfrom MayHopes of American consumers for next six months havebrightened.Expectational segment of the survey,which has accuratelyforecast major turning points in the economy,has perked up considerably.Over 15%of families expect business conditions to improve in next sixmonths,up from 9.5%in May.About 13%look for increased number ofjobs,rising from only 7%in May. Buying plans improved for all of the series included in the surveyIntentions to buy automobiles were reported by 6.6%of all familes,upfrom 6%.Home-buying plans are now 2.9%,up from 2%in May.Plans tobuy major appliances are only marginally better than last time,gain ofabout 1 point over May.Vacation plans in June were about same as inApril,about 43%. FINANCE FACTS A Monthly Publication an Consumer Financial Behavior AUGUST 1980 # Consumer Expectationsand Plans To Buy FINANCE FACTS AUGUST 1980 Source:Board of Govemors ot the Federal Reserve Systemlioir Parts may not add to totalsr to roundng. # CONSUMER INSTALLMENT CREDIT Total consumer installment credit at end of May 1980,was $303.8 billion.Of this amount,$114.3 billion wasoutstanding in automobile credit,$51.8billion in revolving credit,$17.6 billion in mobile home credit and $120.0billion in all other credit(consisting ofother consumer goods and personalloans). During May 1980,total installment credit outstanding declined by $2.4billion—automobile credit decreased by $0.7 billion,revolving creditdown $0.4 billion,and all other down $1.3 billion. Net increase in installment credit outstanding by type since end May1979 amounted to $16.4 billion.Of this increase,$5.1 billion was inautomobile credit,$5.3 billion in revolving credit,$1.2 billion in mobilehome credit and $4.8 billion in all other credit. Net change by institution over year was increase of $1.1 billion forcommercial banks,and $12.5 billion for finance companies,decrease of $1.9 billion for credit unions,and increase of $4.8 billion for all otherinstitutions. # HELP-WANTED INDEX The Conference Board's Help-wanted Advertising Index fell again inMay for the sixth month in a row.At 112(1967=100),seasonally-adjustedIndex stood ten points below April level of 122 and 42 points belowyear-ago figure of 154.Since Octob

FAQs

How did lower, intermediate, and higher urban family budgets change from autumn 1978 to autumn 1979?

Lower budgets rose 9.0%, intermediate budgets rose 10.2%, and higher budgets rose 10.6% from autumn 1978 to autumn 1979.

What categories showed the largest Consumer Price Index increases after fall 1979?

Transportation increased the most at 11.9%, followed by housing at 10.1%, medical care at 7.2%, food at 5.3%, and clothing and personal care at 4.7%.

What happened to consumer installment credit in May 1980?

Total consumer installment credit outstanding declined by $2.4 billion in May 1980, with automobile credit down $0.7 billion, revolving credit down $0.4 billion, and all other credit down $1.3 billion.

Sep 21, 2026

Uploaded by Levi