September 20, 2012

CBA Bureau Forecasts Economic Growth

The Bureau of Business Research (BBR) at the UNL College of Business Administration has created a new monthly Leading Economic Indicator for Nebraska (LEI-N). The LEI-N is a highly needed service to Nebraskans developed by Dr. Eric Thompson and Dr. William Walstad of the BBR to help forecast the economic outlook in the state.

Thompson sees the LEI-N as an important new resource to communicate with Nebraska residents and business leaders during uncertain economic times.

“We initiated the Leading Economic Indicator for Nebraska in order to provide the business community and the public with current information about the short-term outlook for the Nebraska economy. College of Business Administration undergraduate and MBA students help develop the monthly index, which captures the latest outlook information about the Nebraska economy,” said Thompson.

Eric Thompson and William Walstad

Dr. Eric Thompson and Dr. William Walstad

The Leading Economic Indicator for Nebraska is a composite of six components that predict future economic growth: single-family housing starts, airline passengers, initial unemployment claims, manufacturing hours, the value of the U.S. dollar and business expectations gathered from the Survey of Nebraska Business.

Thompson and Walstad work with the CBA student researchers to compile the LEI-N reports, which are then disseminated to media sources throughout the state on the third Friday of each month.

In 2012, most of the reports have shown moderate growth expectations for the state and at least some encouraging signs compared to the national economy.

The entire list of reports can be found on the BBR website, along with the most recent audio clip for the current month’s forecast.