Real wage losses are at the root of low consumer sentiment, new paper finds - https://www.marketplace.org/story/2026/08/18/real-wage-losse... - August 18th, 2026

> It wasn’t inflation per se, but the fact that wages didn’t keep up — that’s been weighing down consumer sentiment, he said. His proof: Belgium.

> “It is the only European country that had consumer confidence that bounced back after the inflation period,” Hurst said.

> That’s because it also happens to be the only European country where wage increases are directly tied to inflation. If prices go up by 7%, then by law, so does your salary.