One-third of US citizens believe the country is in a period of depression, according to a new poll conducted by USA Today.

The news provider said 33 per cent of respondents used the word 'depression' to describe the current state of the economy.

Almost half are worried about their home losing value and nearly three-quarters think the financial troubles facing the country will get worse before they improve.

Just three per cent said they believe the economy is growing, although 42 per cent expect it to grow in a year from now, suggesting many consumers see an end to the current crisis.

However, debt problems and the rising cost of living do appear to be taking their toll, with 30 per cent of respondents having postponed or thought about postponing a major purchase.

Figures released earlier this month by TransUnion LLC revealed that the number of consumers who were delinquent on their credit card debt payments increased in the second quarter of 2008.

-----------------------------------------------------------------------