Nearly Half Of Americans Now Describe Their Financial Situation As Bad, Poll Finds

Topline

Nearly half of Americans are struggling with their finances, according to a new survey from the Associated Press-NORC Center for Public Affairs Research, up from about 37% of people in March, as fears of a recession continue to grow less than a month before the midterm elections.

A man calculates his bills.

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Key Facts

Roughly 46% of people describe their personal financial situation as poor, while about 54% say their finances are in good condition, according to the survey, which was conducted among 1,121 adults from October 6 to October 10.

Households making less than $50,000 a year experienced the biggest spike in concerns, with 33% rating their economic situation as good, compared to 50% in March.

The majority of Americans also continue to express disappointment with President Joe Biden’s handling of the economy, with 63% of people saying they disapprove.

Biden’s overall approval rating remains at a steady 43% after falling to 36% in July polling, according to the survey, which also suggested that most Americans believe Biden is not entirely responsible for the country’s economic struggles: 55% said inflation has been caused by factors beyond Biden’s control, compared to 44% who said Biden is the main problem.

Americans’ outlook on the economy also remains poor, the poll found: Only 25% believe the country is going in the right direction.

Contra

Biden this week downplayed worries of an impending recession, telling CNN’s Jake Tapper in a sit-down interview Tuesday he didn’t believe one would happen soon, and if it did, it would be a “very slight recession.” A recession is “possible,” Biden said, adding, “I don’t anticipate it.”

Tangent

Though many expressed disappointment with Biden’s handling of the economy, the president received praise for his management of several other issues, according to the poll. About 55% of voters said he has responded well to the Covid-19 pandemic, while 63% said they approve of how he handled natural disaster relief in the wake of Hurricane Ian, which claimed more than 100 lives in Florida.

What To Watch For

Some of the latest polling shows Democrats and Republicans neck and neck for control of Congress. Biden’s standing, as well as the economy, are viewed as two key issues for the November midterm elections, with Democrats projected to lose the House, while the race for the Senate remains tight.

Key Background

Several experts this week offered gloomy predictions for the economy. JPMorgan Chase CEO Jamie Dimon warned on Monday that high inflation, the Federal Reserve’s interest rate hikes and fallout from the war in Ukraine could leave the U.S. in “some kind of recession six to nine months from now.” The International Monetary Fund on Tuesday cautioned inflation could be worse than previous expectations as it downgraded its predictions for the global economy in 2023, in large part due to Russia’s invasion of Ukraine. Biden has also pointed to the war in Ukraine as the source of rising food and gas prices in the U.S., which have been climbing back up in recent weeks. Recent polling suggests as many as 70% of Americans are worried about a recession in the near future.