Metro Denver Business Economy & Economic Summary Archive
Consumer confidence, pivotal to economic recovery, shows encouraging gains
While a final tally of Metro Denver's retail activity during the important sales month of December is pending, retail sales increased by 7.9 percent through the end of November, according to data compiled by the Metro Denver Economic Development Corporation (Metro Denver EDC) in its Monthly Economic Summary for March 2013.
Since consumer activity represents about 70 percent of total economic activity, consumer behavior has a strong influence on the overall health of the economy. Consumers tend to spend money based on how "wealthy" they feel, which includes not just their salary and wages, but also the value of their home and other investments.
"On a positive note, consumers have nearly recovered the investment wealth lost during the recent recession, with two of the four stock indexes now surpassing their October 2007 peak and the other two stock indexes within about 2 percent of their peak," said Patty Silverstein, president of Development Research Partners and chief economist for the Metro Denver EDC.