Despite a decline in approval for President Biden, holiday spending is expected to increase, according to a CNBC economic survey.

• This year, the intended holiday spending per person increased by 31% to $1,300, as stated in the CNBC All-America Economic Survey. Additionally, 18% of respondents indicated that they will spend more during the holidays.
• A record 17-year low of 66% of Americans are pessimistic about the current economy and its future prospects.
• In Biden's presidency, his overall approval rate dropped to 35%, the lowest CNBC has ever recorded, while his economic approval increased by a point to 33% and his disapproval decreased by a point to 62%.
• A survey of 1,002 Americans was conducted from Dec. 8 to 12, with a margin of error of +/-3.1%.

It seems like Christmas will be both green and blue.

Despite a continued slump in American views on the economy and increasingly negative job approval for President Joe Biden, holiday spending plans remain buoyant.

This year, the survey revealed that the intended holiday spending per person increased by 31% to $1,300, compared to last year. Although a small number of respondents said they would spend large sums, the gains were still significant when those answers were removed. Additionally, 18% of respondents said they would spend more, up from 11% the previous year, and the highest since 2019. Among those who would spend more, 32% said it was due to higher incomes or salaries, up 2 points from the previous year, while 24% said it was due to inflation, down 6 points.

This year, 37% of those spending less say it's due to inflation, an increase from 15% the previous year.

Despite positive economic data, recent surveys reveal a growing divide between American economic sentiment and consumer spending.

The CNBC Survey revealed slight improvements in views on the economy, but they remain largely negative. While 19% of respondents now say the economy is excellent or good, this is still 31 percentage points lower than in December 2019. Additionally, 81% of respondents view the economy as fair or poor, which is 2 points higher than in the October survey.

The percentage of Americans who expect the economy to improve has increased by 5% since October, but is still lower than in 2019. However, the 66% of Americans who are negative about the current state of the economy and the outlook is an all-time high in the 17 years of the survey.

A survey of 1,002 Americans was conducted from Dec. 8 to 12, with a margin of error of +/-3.1%.

Biden approval hits new low

Economic sentiment is being influenced by inflation, with 30% of respondents identifying it as the top issue, although this is down 2 points from the previous quarter, despite a decline in inflation numbers. Immigration and border security are the next most pressing concerns, chosen by 18%, while foreign policy and national security have risen 4 points to 12%.

Micah Roberts of Public Opinion Strategies, the Republican pollster for the survey, stated, "It's not a mystery. People may be spending more, but they're likely getting less. If you're working as hard, spending more and getting less, that is a wheel-spinning, head-imploding kind of experience to have over and over and over again. It just wears people out."

Biden's approval numbers are not favorable in any of the three categories surveyed. His overall approval rate has fallen to 35%, the lowest CNBC has recorded in his presidency, from 37% in the previous quarter. Additionally, his disapproval rate has increased by a point to 59%. The president's approval is the most underwater it has been during his term, with a -24 rating. His economic approval numbers are also worse, with approval rising by a point to 33% and disapproval declining by a point to 62%. However, these numbers remain more underwater at -29% than his overall approval numbers. On foreign policy, Biden's 33%-63% approval and disapproval numbers leave him 34 points underwater, compared with -29 in October.

In a recent survey, former President Donald Trump gained a larger lead over President Biden in a head-to-head matchup, winning 48-42 compared to 46-42 in the previous survey. However, the president appears to be losing support among key constituents who helped him win the 2020 election. Specifically, younger women, independents, and Latinos have shown a sharp decline in support for the president. In fact, the survey revealed that Latinos now favor Trump by 5 points in the head-to-head matchup, compared to a 7-point advantage for Biden in the previous survey.

According to Jay Campbell of Hart Associates, the Democratic pollster for the survey, younger women under 50 have faced significant challenges in the post-pandemic economy. This group is politically significant, and the data from the poll reveals that they are not in a positive mood.

Biden faces opposition from Democrats on both overall approval and the economy, with Democratic approval of the president on the economy dropping 10 points from last year. In contrast, Trump's economic approval among Republicans remained consistently high, nearly always near 90%.

The full survey can be viewed here.