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Economic Index Background
Decision Analyst's Economic Index is based on a monthly Internet survey designed
to produce a snapshot of current U.S. economic activity, as seen through the
eyes of representative consumers.
The Index itself is calculated from nine different economic measurements, using
a sophisticated econometric model. The nine measures are:
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Expected trend for stocks and mutual funds over the next six months
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Availability of new jobs in region
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Price trends for goods and services
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Respondents' employment status
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Expectations of layoffs and staff reductions at place of employment
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Changes in staffing levels at place of work
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Estimate of current level of business activity at place of work
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Credit availability (relationship of spending to available credit limits)
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Purchase intent over next 12 months for high-ticket items
These measures are compiled from an online survey of several thousand households
balanced by gender, age, and geography. The survey is conducted during the last
10 days of each month, and the new Index value is calculated immediately
thereafter.
Interpreting The Index
Although the Economic Index is not a precise measure of absolute economic
activity, it is nonetheless a remarkably powerful tool for understanding and
predicting the economy. With its emphasis on measuring consumer opinions and
perceptions, it provides genuine insight into that great intangible behind
economic growthconfidence. There are two ways of interpreting the Economic
Index. First, its "direction"whether it is rising or falling.
Second, the values themselves provide a reliable guidewhen the Index is
greater than 110, it tends to signal an expanding economy. An Index value of
100 to 110 suggests a stagnant economy, and below 100 generally indicates
economic contraction.
The International Index
Alongside the main U.S. Economic Index, Decision Analyst also conducts
concurrent economic surveys in Canada, the U.K., Germany, France, Italy,
Netherlands, Mexico, Brazil, India, and Australia. These surveys are not
currently made available to the public in the form of an International Economic
Index. However, if you are interested in the findings for a specific country or
countries, please contact us at the address below.
View Current Economic Index.
View the History of the Economic Index Data.
An archive of all Economic Index PR releases is located in Decision Analyst's
Press Research Archives.
For additional
information, or to subscribe to our advanced release
list, Contact:
Callen
Publicity
Email: callen@decisionanalyst.com
Phone: 1.800.ANALYSIS (262.5974)
Address: 604 Avenue H East
Arlington, TX 76011
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