Consumer sentiments in the Consumer Pyramids survey are measured on the lines of the work done in this regard by the Survey Research Center at the University of Michigan. This effort, called the Survey of Consumers, began in 1946 and has produced several measures that are well established lead indicators in the US.
Five questions are asked to measure consumer sentiments. The first two questions pertain to consumers perceptions regarding their current well-being and expectations of their future well-being. The next two questions take into account perceptions that consumers have regarding current and prospective economic conditions of the country as a whole. The last question is with respect to the household's propensity to spend on consumer durables around the time of the interview.
All this data is as of a point in time - as of the date of the survey.
This is a longitudinal survey. The identity of households is kept constant over time with the help of household identity codes.
The Consumer Pyramids household survey is a longitudinal survey of households. Each Wave is executed over a period of four months.
The four months of a Wave during a year is called a Round ....
A Wave of the Consumer Pyramids household survey is conducted over a period of four months. The total sample is divided equally into four parts to be executed during the four months of the survey.
A large sample size and a uniform distribution of execution of the Consumer Pyramids Household Survey enables the generation of useful daily observations of sample households.