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Factors affecting Consumer Spending (2019 Update)

  • Levels: AS, A Level, IB, BTEC Level 3, BTEC Tech Award
  • Exam boards: AQA, Edexcel, OCR, IB, Eduqas, WJEC

In this short video we will look at some of the key factors that influence total consumer spending in the UK economy and use up to date information to see the direction in which consumption might take in the months ahead.

Consumer spending is easily the biggest component of aggregate demand, so an understanding of factors affecting household spending on goods and services is crucial when analysing and evaluating different stages of the economic cycle.

Factors affecting Consumer Spending (2019 Update)

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