{"id":21816,"date":"2022-02-23T18:08:15","date_gmt":"2022-02-23T17:08:15","guid":{"rendered":"https:\/\/observatoirecetelem.com\/?page_id=21816"},"modified":"2025-11-27T17:51:12","modified_gmt":"2025-11-27T16:51:12","slug":"purchasing-power-is-under-threat-from-inflation","status":"publish","type":"page","link":"https:\/\/observatoirecetelem.com\/en\/lobservatoire-cetelem-de-la-consommation\/circular-economy-the-rise-of-the-consumer-entrepreneur\/purchasing-power-is-under-threat-from-inflation","title":{"rendered":"Purchasing power is under threat from inflation"},"content":{"rendered":"
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In terms of purchasing power, things are looking better overall<\/h2>\n<\/div>\n\n
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This 2022 Observatoire Cetelem Barometer reveals a more significant change in the opinions of Europeans when asked about their purchasing power, which they have traditionally considered to have declined with each successive survey (Fig. 10 Barometer \/ Context)<\/strong>. The feeling that it has increased is up 4 points, while the belief that it has fallen is down 3 points. The proportion of Europeans who feel that nothing has changed has remained more or less stable (-1 pt).<\/p>\n<\/div>\n\n

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\n Fig. 10 Evolution of consumption and purchasing power in the euro zone\n <\/p>\n \n \n Download this infographic for your presentations\n <\/a>\n <\/div>\n

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\n \"Compare\n \n The graph presents the annual evolution (in %) of two indicators in the euro zone: \u2022 household consumption, \u2022 purchasing power, from 2000 to 2021.\n\nThe objective is to visualize the trends, periods of growth or decline, and the impact of recent economic shocks (notably 2020).\n\nThe asterisks at the end of the curve indicate: \u2022 C*Ways forecast ** GfK The visual marks (lines, colors) are decorative and have no particular meaning beyond differentiating the curves.\nSource: Eurostat.\n\nKey Visuals \u2022 Two curves: \u2022 Consumption (dark green) \u2022 Purchasing power (light green) \u2022 Vertical axis: annual variations in %, from +4% to -10%. \u2022 Horizontal axis: years from 2000 to 2021. \u2022 A major negative peak in 2020, followed by a strong rebound in 2021.\n\n2000\u20132007: \u2022 Consumption and purchasing power fluctuate globally between +1% and +3%. \u2022 Some deviations, but the two curves remain close.\n\n2008\u20132013 (financial crisis and sovereign debt): \u2022 Sharp decline around 2009, close to -2% to -3%. \u2022 Slight recovery \n\n2010-2011, then new decline around 2012-2013.\n\n2014\u20132019: \u2022 Return to a slightly positive zone (0% to +2%). \u2022 Consumption slightly higher than purchasing power over several years.\n\n2020: \u2022 Simultaneous collapse of the two indicators: around -8% for consumption and -4% for purchasing power. \u2022 This is the lowest point in the series.\n\n2021: \u2022 Very strong rebound, above +4% for consumption, and around +2.5% to +3% for purchasing power.\n\nEnseignement principal\nThe two indicators follow a similar dynamic over 20 years, with: \u2022 Moderate variations in “normal” periods; \u2022 Two clear crises: 2009 and 2020; \u2022 A historic decline in 2020, with the largest decline in the series; \u2022 A marked rebound in 2021, stronger for consumption than for purchasing power.\nThis evolution highlights the great sensitivity of the two indicators to major economic shocks.\n\n <\/span>\n <\/figure>\n <\/div>\n <\/div>\n<\/div>\n\n
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In all countries, the perception that purchasing power has increased is palpable, with the Spanish and the Swedes being the most likely to hold this view. Only in Austria is there a degree of stability. At the risk of repeating ourselves, these figures are lower overall than those reported in the 2019 edition, prior to the Covid crisis.<\/p>\n<\/div>\n\n

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Disparities between the nations are much more significant when it comes to the decline in purchasing power, with a clear geographical divide emerging once again. While 46% of Romanians and Hungarians point to a drop in purchasing power, the Swedes (22%) and the Danes (25%) are much less vocal on this issue. The French, for their part, still hold a negative perception, with a score of 40%.<\/p>\n<\/div>\n\n

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The spectre of inflation haunts Europeans once more<\/h2>\n<\/div>\n\n
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A development that is closely linked to purchasing power, as well as being a central aspect of this 2022 Barometer, is the sharp increase in the perception that prices are on the rise. 1 in 2 Europeans are now of the belief that prices have increased significantly (+25 pts) (Fig. 11 Barometer)<\/strong>.<\/p>\n<\/div>\n\n

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\n Fig. 11 Perception of the overall evolution of prices\n <\/p>\n \n \n Download this infographic for your presentations\n <\/a>\n <\/div>\n

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\n \"Distribution\n \n The infographic presents the responses of consumers on the evolution of prices over the last 12 months, expressed as a percentage. Respondents evaluate whether prices have increased, remained stable, or decreased.\n\nTwo summary indicators complement the graph: \n\u2022 87% declare that prices have increased. \n\u2022 2% declare that prices have decreased.\nThe arrows indicating an increase or decrease are purely decorative.\nSource: Observatoire Cetelem 2022.\n\n\u00c9l\u00e9ments visuels cl\u00e9s \u2022 Five horizontal bars for each category. \u2022 A general subtotal “Prices have increased”. \u2022 A subtotal “Prices have decreased”. \u2022 All bars use the same green color (no additional visual code).\n\nData Transcription\nCategory Percentage Have \nincreased significantly 47% \nHave increased somewhat 40% \nRemained stable 11% \nHave decreased somewhat 1% \nHave decreased significantly 1%\n\nSynthesys: \u2022 87% (+17) estimate that prices have increased \u2022 2% (-2) estimate that prices have decreased\n\nEnseignement principal\n\nThe perception of a generalized price increase is overwhelming: nearly nine out of ten Europeans consider that prices have increased. The proportion of people perceiving an increase is increasing strongly (+17 points), while the perception of a decrease is becoming marginal (2%).\nThis infographic illustrates a very clear awareness of the inflationary phenomenon in the population.\n\n <\/span>\n <\/figure>\n <\/div>\n <\/div>\n<\/div>\n\n
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And barely more than 1 in 10 believe that they have remained stable or fallen. It is worth remembering that respondents were interviewed between 5 and 19 November 2021. Throughout the summer and again when schools went back in September, much of the news revolved around rising prices, particularly those of raw materials, which in turn have had an impact on fuel and heating costs. And the statistical data has reflected a notable uptick in inflation as a whole. This was a topic that inevitably gained further traction as we entered the winter months and the health situation once more became a major concern.<\/p>\n<\/div>\n\n

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Looking at the average score, it is obvious that the impression that prices are rising is shared in many countries, with those in Eastern Europe once again unified in expressing considerable pessimism (Fig. 12 Barometer)<\/strong>. Thus, 8 out of 10 Bulgarians report a substantial increase (in other countries in the region the average figure is 7 out of 10), while conversely, fewer than 3 in 10 Swedes and Danes are of this view. Interestingly, with \u201conly\u201d 34% of consumers flagging a marked increase in prices, the French are not among the most pessimistic on this issue. However, it is worth underlining that inflation in France was lower than in many other European countries at the time of the survey in November (Fig. 13 Barometer \/ Context)<\/strong>. This goes some way to explaining such an unusual degree of contentment.<\/p>\n<\/div>\n\n

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\n Fig. 12 Perception of price increases by country\n <\/p>\n \n \n Download this infographic for your presentations\n <\/a>\n <\/div>\n

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\n \"Table\n \n This table presents, country by country, the perception of the overall evolution of prices over the last 12 months. \n\nThe data are expressed as a percentage of people declaring “Yes, prices have increased”, or belonging to one of the five categories: \n\u2022 Have increased significantly \n\u2022 Have increased somewhat \n\u2022 Remained stable \n\u2022 Have decreased (somewhat \/ significantly)\n\nThe flags are decorative and have no other meaning than identifying the countries.\nSource: Observatoire Cetelem 2022.\n\nKey Visuals Elements\n\nThe table includes for 15 countries: \n\u2022 a subtotal “increased” (sum of “increased significantly” + “increased somewhat”), \n\u2022 the distribution between: increased significantly \/ increased somewhat, \n\u2022 the proportion of people estimating that prices have remained stable, \n\u2022 the proportion estimating a decrease.\n\nThe horizontal bars are decorative (illustration of proportion).\n\nData Transcription\n\nCountry Subtotal increased \nHave increased significantly \nHave increased somewhat \nStable Decreased \n\nGermany 87 53 34 11 2 \nAustria 91 53 38 9 0 \nBelgium 88 46 42 10 2 \nBulgaria 96 80 16 3 1 \nDenmark 79 29 50 20 1 \nSpain 86 48 38 12 2 \nFrance 87 34 53 12 1 \nHungary 95 73 22 4 1 \nItaly 86 40 46 13 1 \nNorway 85 34 51 14 1 \nPoland 88 71 17 10 2 \nPortugal 95 51 44 5 0 \nCzech Republic 95 62 33 4 1 \nRomania 92 69 23 4 1 \nUnited Kingdom 86 32 54 14 1 \nSlovakia 93 67 26 5 1 \nSweden 80 24\n\nThe perception of a price increase is extremely dominant in all European countries: \n\n\u2022 Between 79% and 96% of respondents declare that prices have increased. \n\u2022 The countries with the highest levels are: Bulgaria (96%), Hungary (95%), Portugal (95%), Czech Republic (95%). \n\u2022 Perceptions of stability remain minority (3% to 20% depending on the country). \n\u2022 The perception of a decrease is almost non-existent (0% to 2%).\n\nThis very strong homogeneity confirms a widely shared European perception of generalized inflation.\n\n <\/span>\n <\/figure>\n <\/div>\n <\/div>\n<\/div>\n\n
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\n Fig. 13 Average annual inflation in 17 European countries\n <\/p>\n \n \n Download this infographic for your presentations\n <\/a>\n <\/div>\n

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\n \"Bars\n \n This infographic compares the average annual inflation rates for 17 European countries over three years: \u2022 2019 \u2022 2020 \u2022 2021\n\nEach country is represented by three vertical bars (one per year). The colors are purely differentiating (no additional meaning). \n\nA global average is provided for the 17 countries: \u2022 1.3% in 2019 \u2022 1.3% in 2020 \u2022 2.7% in 2021\nSource: Eurostat.\n\nKey Visuals Elements \n\u2022 Three series of vertical bars per country (2019, 2020, 2021). \n\u2022 The exact values are not indicated country by country, but the heights allow comparing the trends. \u2022 Several countries exceed 4% inflation in 2021. \n\u2022 The 2021 bars are systematically the highest, confirming a generalized increase.\n\nTrends Transcriptions \nGermany 2019 \u2248 1.5% \u2014 2020 \u2248 1% \u2014 2021 \u2248 3%\nAustria 2019 \u2248 1.5% \u2014 2020 \u2248 1.3% \u2014 2021 \u2248 2.8%\nBelgium 2019 \u2248 1.2% \u2014 2020 \u2248 1% \u2014 2021 \u2248 2.5%\nBulgaria 2019 \u2248 3% \u2014 2020 \u2248 1.2% \u2014 2021 \u2248 2.8%\nDenmark 2019 \u2248 0.8% \u2014 2020 \u2248 0.4% \u2014 2021 \u2248 1.8%\nSpain 2019 \u2248 0.8% \u2014 2020 \u2248 -0.3% \u2014 2021 \u2248 3.3%\nFrance 2019 \u2248 1.3% \u2014 2020 \u2248 0.5% \u2014 2021 \u2248 2.2%\nHungary 2019 \u2248 3.4% \u2014 2020 \u2248 3.3% \u2014 2021 \u2248 5%\nItaly 2019 \u2248 0.6% \u2014 2020 \u2248 -0.2% \u2014 2021 \u2248 1.8%\nNorway 2019 \u2248 2.2% \u2014 2020 \u2248 1.3% \u2014 2021 \u2248 3.2%\nPoland 2019 \u2248 2.3% \u2014 2020 \u2248 3.4% \u2014 2021 \u2248 5%\nPortugal 2019 \u2248 0.3% \u2014 2020 \u2248 -0.2% \u2014 2021 \u2248 1.5%\nCzech Republic 2019 \u2248 2.8% \u2014 2020 \u2248 3.2% \u2014 2021 \u2248 4.2%\nRomania 2019 \u2248 3% \u2014 2020 \u2248 2.2% \u2014 2021 \u2248 3.5%\nUnited Kingdom 2019 \u2248 1.6% \u2014 2020 \u2248 0.8% \u2014 2021 \u2248 2.6%\nSlovakia 2019 \u2248 2.6% \u2014 2020 \u2248 1.9% \u2014 2021 \u2248 3%\nSweden 2019 \u2248 1.5% \u2014 2020 \u2248 0.5% \u2014 2021 \u2248 2.3%\n\nAnnual inflation increases significantly in 2021 in all countries, after two relatively moderate years (2019 and 2020). The countries with the strongest increases in 2021 are: \u2022 Hungary (\u22485%) \u2022 Poland (\u22485%) \u2022 Czech Republic (\u22484.2%)\n\nMany countries move from almost zero or negative inflation in 2020 to strong inflation in 2021, revealing a generalized acceleration of inflationary tensions in Europe.\n\n <\/span>\n <\/figure>\n <\/div>\n <\/div>\n<\/div>\n\n
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Since the last pre-crisis edition of the Barometer in 2019, however, geographical perceptions have been turned on their head (Fig. 14 Barometer)<\/strong>. The feeling that prices have risen is more prevalent in Western Europe, although significant differences can be observed (+16 pts in Italy, +14 pts in Germany and Portugal).<\/p>\n<\/div>\n\n

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\n Fig. 14 Evolution of prices according to European countries\n <\/p>\n \n \n Download this infographic for your presentations\n <\/a>\n <\/div>\n

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\n \"Map\n \n The infographic presents the general evolution of prices by European country over the last 12 months, through: \n\u2022 a map indicating the proportion of people judging that prices have increased, \n\u2022 and a table detailing these values, expressed as a percentage.\nSource: Observatoire Cetelem 2022.\n\nThe colors of the map (green \u2192 dark green gradient) indicate only the intensity of the increase. They have no additional meaning.\n\nKey Visuals Elements \n\u2022 A map of Europe colored according to the intensity of the perceived price increase (from 79% to 96%). \u2022 A associated table reproducing the same values in textual form. \n\u2022 No functional pictograms; flags and icons are decorative.\n\nBoard Transcription \n\nCountry Subtotal “prices have increased” \nGermany 87% \nAustria 91% \nBelgium 88% \nBulgaria 96% \nDenmark 79% \nSpain 86% \nFrance 87% \nHungary 95% \nItaly 86% \nNorway 85% \nPoland 88% \nPortugal 95% \nCzech Republic 95% \nRomania 92% \nUnited Kingdom 86% \nSlovakia 93% \nSweden 80%\n\nThe perception of a price increase is almost unanimous in Europe: \n\u2022 Scores range from 79% to 96%, which is exceptional homogeneity. \n\u2022 The highest countries exceed 95%: Bulgaria, Portugal, Czech Republic, Hungary. \n\u2022 The only countries below 85% are Denmark (79%) and Sweden (80%), but remain very high.\n\nThis map confirms that the inflationary sentiment is massive, generalized, and shared across all European countries studied.\n\n <\/span>\n <\/figure>\n <\/div>\n <\/div>\n<\/div>\n\n
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The fact that these results co-exist with an impression among Europeans that their purchasing power has remained stable indicates that, when it comes to weighing up what has happened in the past and what might occur in the future, the economic sense and rationality of consumers is often more sophisticated than they are given credit for. One would wager that barring a sudden inversion of price trends next year, which seems unlikely, by then many more Europeans will feel that their purchasing power has deteriorated.<\/p>\n<\/div>\n\n

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\n Fig. 15 Annual inflation in the euro zone since 2000\n <\/p>\n \n \n Download this infographic for your presentations\n <\/a>\n <\/div>\n

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\n \"Curve\n \n The graph presents the annual evolution of the inflation rate in the euro zone from 2000 to 2021, in percentage. The year 2022 is indicated as a forecast (asterisk). Source: OCDE; CWays forecast.\n\nThe objective is to visualize: \n\u2022 fluctuations, \n\u2022 major shocks, \n\u2022 and cycles of acceleration \/ deceleration of inflation.\n\nThe vertical markers and color are decorative.\n\u00c9l\u00e9ments visuels cl\u00e9s \n\u2022 A curve ranging from +3.3% (peak in 2008) to +0.2% (low points in 2014-2015). \n\u2022 Two marked declines in 2009 and 2014-2015. \n\u2022 A notable rebound in 2021, followed by a high forecast in 2022.\n\nVisible Value\n\nYear Inflation (%) \n2000 2.2 \n2001 2.4 \n2002 2.3 \n2003 2.1 \n2004 2.2 \n2005 2.2 \n2006 2.2 \n2007 2.1 \n2008 3.3 (peak) \n2009 0.3 (sharp decline) \n2010 1.6 \n2011 2.7 \n2012 2.5 \n2013 1.3 \n2014 0.4 \n2015 0.2 \n2016 0.2 \n2017 1.5 \n2018 1.8 \n2019 1.2 \n2020 0.3 \n2021 2.4 \n2022 2.7* (forecast) \n2023 (illegible) 1.8* (forecast)\n(The asterisks indicate forecast values.)\n\nEnseignement principal\nOver twenty years, euro zone inflation evolves within a narrow range, between 2% and 3% in “normal” periods, but experiences three significant episodes: \u2022 2009: post-financial crisis collapse (0.3%) \n\u2022 2014-2016: almost zero inflation, close to 0% \n\u2022 2021-2022: strong rebound, linked to economic recovery and the European inflationary context\nThe recent trend confirms a return to higher inflation levels than those observed during the 2010s.\n\n <\/span>\n <\/figure>\n <\/div>\n <\/div>\n<\/div>\n\n
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\"Key<\/figure>\n<\/div>","protected":false},"excerpt":{"rendered":"

In terms of purchasing power, things are looking better overall This 2022 Observatoire Cetelem Barometer reveals a more significant change in the opinions of Europeans when asked about their purchasing power, which they have traditionally considered to have declined with each successive survey (Fig. 10 Barometer \/ Context). The feeling that it has increased is […]<\/p>\n","protected":false},"author":1920,"featured_media":21077,"parent":21789,"menu_order":6,"comment_status":"closed","ping_status":"closed","template":"t-etude-chapitre.php","meta":{"_acf_changed":false,"footnotes":""},"tags":[],"class_list":["post-21816","page","type-page","status-publish","has-post-thumbnail","hentry"],"acf":[],"_links":{"self":[{"href":"https:\/\/observatoirecetelem.com\/en\/wp-json\/wp\/v2\/pages\/21816","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/observatoirecetelem.com\/en\/wp-json\/wp\/v2\/pages"}],"about":[{"href":"https:\/\/observatoirecetelem.com\/en\/wp-json\/wp\/v2\/types\/page"}],"author":[{"embeddable":true,"href":"https:\/\/observatoirecetelem.com\/en\/wp-json\/wp\/v2\/users\/1920"}],"replies":[{"embeddable":true,"href":"https:\/\/observatoirecetelem.com\/en\/wp-json\/wp\/v2\/comments?post=21816"}],"version-history":[{"count":4,"href":"https:\/\/observatoirecetelem.com\/en\/wp-json\/wp\/v2\/pages\/21816\/revisions"}],"predecessor-version":[{"id":33446,"href":"https:\/\/observatoirecetelem.com\/en\/wp-json\/wp\/v2\/pages\/21816\/revisions\/33446"}],"up":[{"embeddable":true,"href":"https:\/\/observatoirecetelem.com\/en\/wp-json\/wp\/v2\/pages\/21789"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/observatoirecetelem.com\/en\/wp-json\/wp\/v2\/media\/21077"}],"wp:attachment":[{"href":"https:\/\/observatoirecetelem.com\/en\/wp-json\/wp\/v2\/media?parent=21816"}],"wp:term":[{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/observatoirecetelem.com\/en\/wp-json\/wp\/v2\/tags?post=21816"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}