For our QSF US Domestic Outlook, we Dive deeper into the predicating factors and we compared those broad measures with evidence about household bills and financial reserves. The question is whether families have enough left after necessities to handle a setback, even while the economy grows.

A system in which income and spending rise together suggests expansion supported by underlying strength. A system in which spending rises while real income declines suggests something else. It suggests that activity is being maintained under more constrained conditions.