Mainers’ confidence in economy on the upswing in 2002, poll says

SOUTH PORTLAND – Maine residents, after 18 months of declining confidence, are starting to feel better about the economy, according to a new survey released Thursday.

The poll by South Portland-based Market Decisions found two of three indices used to measure consumer sentiment rose sharply in January.

The findings represented only the second significant uptick in consumer outlook in Maine since July 2000, around when the current economic downturn began.

An overall measure of consumer sentiment rose 5.6 percent since last October, while an index measuring views toward future economic conditions increased by 14.4 percent.

However, a third index, which measures the public’s attitudes about the current economic climate, dropped by 1.2 percent during the last three months.

The firm attributed that gap to a normal lag between consumers’ expectations and their everyday experiences.

“Mainers feel that conditions will improve, but that the upturn in the economy hasn’t arrived yet,” said Brian Robertson, the polling firm’s research director.

Pollsters said the findings in Maine reflect trends in consumer sentiment nationwide, where overall consumer sentiment and consumer expectations increased sharply in January while perceptions about current economic conditions rose only slightly.

While promising, the results are not necessarily proof that the recession in Maine is coming to an end. Increases in all three indices last April were followed by sharp declines in August.

The survey found Maine residents feeling somewhat better about current employment conditions.

Twenty-five percent of those surveyed said they feel “positive” about employment conditions, compared to 18 percent in October.