The United Kingdom’s (U.K.) decision to exit the European Union, a move referred to as “Brexit,” appears to be weakening the country’s economy, according to an ongoing monthly economic survey of the world’s leading nations by Decision Analyst.
In the past 6 months, the U.K.’s Economic Index has declined from 110 to 101, the largest drop in any nation in Europe. The Economic Index tends to foreshadow what will happen to U.K.’s economy in the next six to 12 months.
“It seems the consequences of the Brexit vote are starting to become evident to the average man on the street,” said Jerry W. Thomas, president and chief executive of Decision Analyst. “Inflation in the prices of imported goods is one of the immediate consequences Britons are experiencing.”
Decision Analyst conducts concurrent economic surveys each month in 15 leading countries. Whenever the economic index in a country is greater than 110, it tends to signal an expanding economy. An index value of 90 to 110 suggests a no-growth or slow-growth economy, and near or below 90 generally indicates economic contraction.
As a point of comparison, the U.S. registered an Economic Index of 112 in October – a 3-point increase from April 2016. The increase signals continued U.S. economic growth for the rest of the year, and may indicate an acceleration of growth, researchers said.
Decision Analyst, a global marketing research and analytical consulting firm conducts two economic surveys each month. Its domestic survey is the 25-year-old U.S. Economic Index, which examines economic conditions in the nine Census regions of the U.S. The company also publishes a monthly Global Economic Index, which describes economic conditions in Europe, Asia, and Latin America.
About Decision Analyst
Decision Analyst is a global marketing research and analytical consulting firm specialising in strategy research, new product development, advertising testing, and advanced modelling for marketing decision optimisation. For more than 35 years the firm has delivered competitive advantage to clients throughout the world in consumer-packaged goods, telecommunications, retail, technology, medical, and automotive industries.
SOURCE: Decision Analyst