Consumption continues to grow fast

In October 2007 households spent 2.8 percent more on goods and services than in October 2006. By the summer of 2007, consumption had returned to last year’s growth rate level. Consumption kept growing fast, despite a drastic deterioration in consumer sentiment. Consumer confidence plummeted in September and did not recover.

At 3.5 percent, spending on food, tobacco and beverages saw the largest increase in about eighteen months. Spending on durable consumer goods saw another substantial volume growth. Households spent 4.5 percent more on durable goods than in October 2006. Spending on household appliances and clothing rose in particular. Spending on services grew by 2.3 percent, compared with October 2006.

These figures present the volume changes in consumer spending. They have been adjusted for price changes and for differences in the shopping day pattern. More information on this subject is to be found in the article “The volume concept in economic publications”.

Domestic household consumption (volume)