The State of European Consumerism

While much discussion ensues in the political arena over the Eurozone crisis, we wanted to understand how proposed financial reforms impact ordinary citizens and their planned consumption in 2012. We surveyed citizens comprised of five European Union countries (and four Euro currency members) including France, Germany, Italy, Spain and the U.K. The full report is here

Among the highlights:

• Eighty two percent of Europeans are beleaguered with their present income, while two-thirds believe the economy will get weaker this year. Germans are the most satisfied but they account for only thirty percent of the population. Italians are the most dissatisfied.
• European citizens blame banks and government the most for the current problems in the Eurozone, however Euro currency nations still have more confidence in the Euro over other currencies. Nowhere is the dollar valued higher than other currencies.
• Aside from paying taxes, European citizens strongly reject making quality of life concessions like working longer hours, taking fewer vacations, cutting government services or forfeiting pension plans.
• Germans are more supportive of the idea of allowing Greece to fail and exit the European Union.
• Europeans view the democracy movements in the middle-east with distant support, but are more fervent in protesting income inequality, political gridlock and high unemployment in the Eurozone.

As the proposed reforms are enacted, our survey shows signs of a weakening German populace bearing the brunt of the costs in the European bailout. Germany, U.K. (and to a large extent France) are showing signs of a cultural and economic chasm with their southern European neighbors who are more resistant of reform. While the desire to hold the union together is evident, northern European citizens are frustrated and pressuring their governments, and soon perhaps, each other.