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For Immediate Release January 31, 2008
Contact: Cristi Allen
callen@decisionanalyst.com
Phone: 817-640-6166

Arlington, Texas (January 31, 2008)— Decision Analyst�s U.S. Economic Index fell dramatically from December 2007 to January 2008, declining from 102 in December to 93 in January, the largest one-month decline in the history of the Index. The chart below shows the U.S. Economic Index for the past 13 months.

“All the recent negative economic news (volatility in stock markets, high oil prices, sub-prime woes, falling home prices, rising foreclosures) has dampened the spirits and darkened the outlook for the average consumer in the U.S.,” said Jerry W. Thomas, President/CEO of Decision Analyst. “The Economic Index is now clearly indicating that significant portions of the U.S. economy are in recession.” Among the components that make up the Economic Index, the most important in driving the Index lower in January were declining expectations about future stock prices and declining “business activity” where people work. Growing concern about employment was another negative factor, but had less impact than the other two variables.

Methodology

The Decision Analyst Economic Index is based on a monthly Internet survey of several thousand households balanced by gender, age, and geography. The survey is typically conducted between the 20th and 27th of each month. The Index is calculated from nine different economic measurements, using a sophisticated econometric model. The result is a snapshot of current U.S. economic activity, as seen through the eyes of representative consumers. Decision Analyst also conducts concurrent economic surveys in Argentina, Australia, Brazil, Canada, Chile, China, Colombia, France, Germany, India, Italy, Mexico, Netherlands, Peru, Russian Federation, United Kingdom, and Venezuela. Whenever the Decision Analyst Economic Index is greater than 110, it tends to signal an expanding economy. An Index value of 100 to 110 suggests a slow-growth economy, and below 100 generally indicates economic contraction. These guidelines vary by country, however.

About Decision Analyst

Decision Analyst (www.decisionanalyst.com) is a leading marketing research and marketing consulting firm specializing in advertising testing, strategy research, new product development, and advanced modeling for marketing decision optimization. The firm delivers competitive advantage to clients throughout the world in the consumer packaged goods, telecommunications, retail, high technology, medical and pharmaceutical, utilities, and e-commerce industries. Decision Analyst operates American Consumer Opinion® online, one of the world's largest Internet-based consumer-opinion panels, with more than seven million members.

For additional information contact:
Cristi Allen
Publicity
Email: callen@decisionanalyst.com
Phone: 1.800.ANALYSIS (262.5974)
Address: 604 Avenue H East
Arlington, TX 76011

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