The use of plastics packaging is closely tied to the production of consumer goods. Therefore, if you follow the trends in consumer goods production you'll get an indication of what is happening in the packaging industry. To understand what will happen with consumer goods production, we start with real disposable income. The month-over-month rate of change in real disposable income has grown faster in each of the last three months. The current month-over-month rate of growth in real disposable income is 2%, which is the fastest growth since September 2011 (except for that of November and December 2012, which were artificially inflated by tax-law changes). This means that real disposable income should be growing faster in upcoming months.
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