When it comes to informing decisions about the future of your business, the Wall Street Journal/Vistage Small Business CEO survey should be part of your toolkit.
The survey, updated monthly, measures the sentiment of U.S. small business CEOs and small business owners about the economy. Respondents have businesses across various industries with annual revenues of $1 million to $20 million. Dr. Richard Curtin at the University of Michigan analyzes the findings.
How is the WSJ/Vistage Small Business CEO Confidence Index calculated?
Dr. Richard Curtin from the University of Michigan calculates the WSJ/Vistage Small Business CEO Confidence Index based on a set of six standard questions about the state of the economy and the prospects for small businesses’ revenues, profitability, fixed investment expenditures, and hiring.
All six component questions are scored as the percentage giving favorable replies minus the percentage giving unfavorable replies, plus 100. The WSJ/Vistage Small Business CEO Confidence Index is the sum of the components calculated as a percentage of the level recorded in the June 2012 survey. Because the survey began in June 2012, the index for that month was 100. The survey is fielded online and results are
shared for a period of 7-10 days every month.
About Dr. Curtin
Dr. Richard Curtin is a Research Professor and has been the Director of the Surveys of Consumers at the University of Michigan since 1976. Professor Curtin’s monthly report on consumer confidence is one of the most closely followed economic indicators, with findings from his research extensively reported in the media. His research is widely used by businesses and financial institutions as well as by federal agencies responsible for monetary and fiscal policies. Data from the Surveys of Consumers is an official component of the Index of Leading Economic Indicators.