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For Immediate Release
February 4, 2010
Contact: Cristi Allen
callen@decisionanalyst.com
Phone: 817-640-6166

Arlington, Texas—Decision Analyst’s U.S. Economic Index for January 2010 remains unchanged for the third month in a row—at an Index of 94. During 2009, the Index increased nine points from a low point of 85 in January 2009 to 94 in January 2010, as shown in the graph below. Since this Index tends to lead the U.S. economy by nine to 12 months, this sideways movement of the Economic Index is predicting a sluggish economy during 2010. Below is the Economic Index for the past three years.

“The economy is starting 2010 on more solid footing than it started in 2009, but the ‘recovery’ remains weak and tentative. Record high unemployment, looming housing foreclosures, and lack of credit availability are all major risks to economic growth in 2010. The risk that financial markets will freeze up again during 2010 is substantial. Consumer plans to purchase durable goods in 2010 are relatively weak,” said Jerry W. Thomas, President/CEO of Decision Analyst. “The U.S. economy is still on life support in the emergency room, and any shock to the system could trigger another downward spiral.”

Census Divisions

The Mountain, South Atlantic, East North Central, Pacific, and Middle Atlantic Divisions continue to struggle, compared to other sections of the U.S. The West North Central, West South Central, East South Central, and New England Divisions appear to be doing a little better than the rest of the country.

 

International Index

The table below compares the U.S. Economic Index to Decision Analyst’s Economic Indices in other countries. Germany and the UK appear to be doing about the same as the U.S., while the emerging markets in China, Brazil, and India have the highest scores of the countries listed. France, Mexico, and Argentina appear to be doing comparatively worse than other countries.

Methodology

The Decision Analyst Economic Index is based on a monthly Internet survey of several thousand households balanced by gender, age, and geography. The online survey is conducted the last 10 days of each month. The Economic Index is calculated from nine different economic measurements using a sophisticated econometric model. The result is a snapshot of current economic activity in each country surveyed, as seen through the eyes of representative consumers living in the respective countries. Decision Analyst conducts its concurrent economic surveys each month in Argentina, Australia, Brazil, Canada, Chile, China, Colombia, France, Germany, India, Italy, Mexico, Netherlands, Peru, Russian Federation, Spain, United Kingdom, United States, 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 near or below 100 generally indicates economic contraction. These guidelines vary by country, however.

About Decision Analyst

Decision Analyst (www.decisionanalyst.com) is a leading global marketing research and analytical consulting firm specializing in advertising testing, strategy research, new product development, and advanced modeling for marketing decision optimization. The 31-year-old firm delivers competitive advantage to clients throughout the world in the consumer packaged goods, telecommunications, retail, technology, medical, and pharmaceutical industries. In addition, Decision Analyst owns and operates American Consumer Opinion® Online—one of the largest consumer opinion panels in the world—with more than eight million members.

For additional information contact:
Cristi Allen
Publicity
Email: callen@decisionanalyst.com
Phone: 1-800-ANALYSIS (262-5974) or 1-817-640-6166
Address: 604 Avenue H East
Arlington, TX 76011

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