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For Immediate Release December 3, 2007
Contact: Cristi Allen
callen@decisionanalyst.com
Phone: 817-640-6166

Arlington, Texas – Decision Analyst�s U.S. Economic Index dropped 10 points in the past year, from 112 in December 2006 to 102 in November 2007. This is the lowest point for the Index in the past seven years.

“Higher gasoline prices, higher energy costs, stock market volatility, and the increasing number of home foreclosures are taking their toll on the average consumer in the U.S,” said Jerry W. Thomas, President/CEO of Decision Analyst. “The negative news about the declining housing market and about credit problems related to subprime loans, plus inflationary pressures and stock market bounces, are making the average consumer very nervous. The Economic Index is now indicating a high likelihood of recession.” Among the components that make up the Economic Index, the factors that appear to be driving the Economic Index downward (from October 2007 to November 2007) are pessimism about the “prices paid for goods and services” (down 20 points) and confidence in “stocks and mutual funds” (down 13 points).

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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