Ohio Consumer Confidence Rose in April

OHIO CONSUMER CONFIDENCE ROSE IN APRIL

COLUMBUS -- An April increase in the Ohio Consumer 
Confidence Index indicates that the state's consumers are 
satisfied with current and future economic prospects.

"It appears that consumers in Ohio have overcome last 
month's jitters and focused again on the very positive conditions 
in the present low-unemployment/low-inflation economy," said 
Lucia Dunn, professor of economics at The Ohio State University.

The index rose 1 1/2 points to 104.6 in April.  The March 
value of 103.1 had represented a decline from its record-high 
value of 106.7 in February. 

Values over 100 in the index are considered evidence of 
strong consumer confidence.  The index is compiled monthly by 
Ohio State's Survey Research Unit to gauge Ohioans' feelings 
about the economy.

Dunn said the overall improvement in Ohio consumers' 
confidence is at least partially attributable to continued low 
inflation.  Respondents' average expected rate of inflation for 
the next year stood at a low 3.4 percent, she said.

In Ohio, most of the consumer confidence index improvement 
in April appeared in the assessment of current economic 
conditions; that index rose almost three points, from 114 in 
March to 116.7 in April.  

"It's noteworthy that for the second straight month, 
consumer assessments of current economic conditions in Ohio 
surpassed the assessments of consumers nationally," said Dunn, 
referring to the national Index of Consumer Sentiment compiled by 
the University of Michigan.  In April, the national index of 
consumers' assessments of their current economic conditions stood 
at 115.5.

The index of Ohio consumers' one-year expectations for their 
own financial situations and one- and five-year expectations for 
national business conditions rose just .7 percent, from 96.1 in 
March to 96.8.  This expectations component of consumer attitudes 
in Ohio still lags behind the national level.

"Consumer attitudes continued to improve with regard to 
current personal condition and the short-term national outlook," 
Dunn said.  "But consumers have grown more cautious about 
projecting good times further into the future."

Consumers showed gains in positive responses to questions 
about current personal finances compared to one year ago:  53.6 
percent said their finances have improved in the past year, 
compared to 46.3 percent who responded similarly in April 1997.  
Consumers also showed higher expectations of national business 
conditions. 

Dunn said a favorable price environment is a factor in the 
70.7 percent of respondents who said now is a good time to make 
major purchases, compared to 69.6 percent in March and 62.3 
percent who responded positively about major purchases a year 
ago.
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Contact: Lucia Dunn, (614) 292-8071
Written by Emily Caldwell, (614) 292-8309