Survey finds glass is half full for New Jerseyans

Less than half of people surveyed in New Jersey believe their personal financial outlook will approve this year, according to a survey conducted by Fairleigh Dickson University's Siberman College of Business.

According to the report, 48 percent of New Jerseyans have hope that their personal financial well-being will improve in 2010 while 23 percent are thinking negative. Last year, the figures were even more grim. 46 percent thought they would be in a better financial standing, and 25 percent thought they would be in a worse standing than before.

The scary truth? 18 percent of New Jerseyans reported being better off, while 54 percent reported being worse off by the end of 2009.

Professor Sorin Tuluca, of Siberman College of Business and an expert in financial crisis, says the worst is over. "This year the consumer might be closer to the truth than a year ago," he says. "Indeed, most of the indicators point toward an economic recovery. It's just not happening as fast as people are hoping."

Luckily for New Jerseyans, the unemployment rate is stabilizing. "Stabilization in unemployment is good news. Even if the upward trend is not as steep as we would like, it is there," Tuluca says.

58 percent of residents believe business will pick up in the next 12 months, compared to 42 percent last year. As for unemployment, 67 percent of residents report they or someone they know closely has lost a job. This is a dramatic increase from last year's 54 percent. Luckily, this percentage has not increased since October.

Unfortunately, a stabilized unemployment rate is not the most important factor when it comes to a positive financial outlook. Last year 12 percent of New Jerseyans reported they refinanced their home, or they took out a home equity loan. This year, 5 percent of residents report of thinking about doing either. Tuluca explains, "People who are in a position to borrow more have either taken advantage of low rates or are being very cautious."

If New Jerseyans were given $1000, what would consumers do? The survey shows that 34 percent would save the money, 15 percent would spend it, 43 percent would pay bills, and only 6 percent would give the money to charity. Here are a few more New Jerseyan stats from the survey:

• 60 percent of residents are not confident about their children's economic future, 31 percent are.

• If workers were to be laid off, 45 percent would only be able to live on their savings for less than six months.

• 56 percent of New Jerseyans think housing prices are on the rise in 2010. 26 percent think they'll decline further and 11 percent say they will stay the same.