Household consumption radar

The Household Consumption Radar is an instrument developed by Statistics Netherlands to analyse developments in consumption by Dutch households and place them in some sort of context. Using six indicators – selected on the basis of an econometric study - the radar monitors whether circumstances have developed favourably or unfavourably for Dutch consumption.

Source: Statistics Netherlands
Inside the dotted line: less favourable than average.

Outside the dotted line: more favourable than average.

Conditions for consumption more favourable

In February 2019, conditions for Dutch household consumption are more favourable than in January. New data have become available for all indicators. Two indicators improved, two indicators deteriorated and two remained the same. Household consumption is affected by consumers’ expectations, their personal financial situation and developments on the job market. Although the Radar indicators show a strong correlation with household consumption, improved circumstances are not necessarily translated into increased growth.

Manufacturers’ expectations on future employment were more positive than in the previous month and the year-on-year growth of share prices also improved. The rise in house prices and the growth of the employed labour force was lower than in the previous month. Consumers opinions about both their financial situation in the next twelve months and future unemployment remained the same.

the rise in both share prices and house prices was higher.

Explanatory notes: Consumption Radar.