We use cookies to provide you with a better experience. By continuing to browse the site you are agreeing to our use of cookies in accordance with our Cookie Policy.
  • ::COVID-19 COVERAGE::
  • INDUSTRY PRESS ROOM
  • ABOUT
  • CONTACT
  • MEDIA FILE
  • Create Account
  • Sign In
  • Sign Out
  • My Account
Free Newsletters
  • MAGAZINE
    • Current Issue
    • Archives
    • Digital Edition
    • Subscribe
    • Newsletters
    • Mobile Apps
  • TRANSPORTATION
  • MATERIAL HANDLING
  • TECHNOLOGY
  • LIFT TRUCKS
  • PODCAST ETC
    • Podcast
    • Webcasts
    • Blogs
      • One-Off Sound Off
      • Global Logistics and Risk
      • Empowering Your Performance Edge
      • Analytics & Big Data
      • Submit your blog post
    • Events
    • White Papers
    • Industry Press Room
      • Upload Your News
    • New Products
      • Upload Your Product News
    • Conference Guides
    • Conference Reports
    • Newsletters
    • Mobile Apps
  • DCV-TV
    • DCV-TV 1: News
    • DCV-TV 2: Case Studies
    • DCV-TV 3: Webcasts
    • DCV-TV 4: Viewer Contributed
    • DCV-TV 5: Solution Profiles
    • MODEX 2022
    • Upload Your Video
  • MAGAZINE
    • Current Issue
    • Archives
    • Digital Edition
    • Subscribe
    • Newsletters
    • Mobile Apps
  • TRANSPORTATION
  • MATERIAL HANDLING
  • TECHNOLOGY
  • LIFT TRUCKS
  • PODCAST ETC
    • Podcast
    • Webcasts
    • Blogs
      • One-Off Sound Off
      • Global Logistics and Risk
      • Empowering Your Performance Edge
      • Analytics & Big Data
      • Submit your blog post
    • Events
    • White Papers
    • Industry Press Room
      • Upload Your News
    • New Products
      • Upload Your Product News
    • Conference Guides
    • Conference Reports
    • Newsletters
    • Mobile Apps
  • DCV-TV
    • DCV-TV 1: News
    • DCV-TV 2: Case Studies
    • DCV-TV 3: Webcasts
    • DCV-TV 4: Viewer Contributed
    • DCV-TV 5: Solution Profiles
    • MODEX 2022
    • Upload Your Video
Home » Searching for signs of optimism
outbound

Searching for signs of optimism

January 3, 2012
Mitch Mac Donald
No Comments

According to economists, "the Great Recession"—the worst economic downturn since the Great Depression of the 1930s—officially ended 30 months ago. The private, non-profit National Bureau of Economic Research, for instance, tells us the recession began in December 2007 and ended in June 2009.

Yet it's hard to find anyone who feels things have gotten materially better since then. A November 2011 poll conducted by the Marist Institute for Public Opinion, a research center based at Marist College in Poughkeepsie, N.Y., showed that not only do 73 percent of Americans think we're still in a recession, but more than half (53 percent) believe the worst is yet to come for the U.S. economy.

It's not hard to understand why. A lagging housing and construction market, nearly a decade of wage stagnation, and the fear of inflation (especially relative to necessities like food, gasoline, and home heating fuel) have conspired to create a widespread sense of economic malaise.

That's not to say there aren't signs of improvement out there. Growth in the U.S. gross domestic product (GDP) from July through September 2011 hit 2 percent. Not great, but a clear improvement over the second quarter's 1.3 percent. And just last month, the nation's unemployment rate finally dropped below 9 percent for the first time since March 2009.

There are even indications that the public's mood is beginning to brighten. Take the Marist surveys, for example. Although the institute's November poll found that 53 percent of the respondents believed the U.S. economy had yet to hit bottom, that was down significantly from the 68 percent who were of the same mind in August. Still not great, but it suggests at least a guarded sense of optimism.

Those findings align nicely with the results of our own 2012 Outlook survey, which asked DC Velocity's readers what they foresaw for the U.S. economy in the months ahead. As Editor at Large James Cooke notes in his report on the survey results, more logistics professionals are optimistic than are pessimistic about the U.S. economy's prospects over the next 12 months. Admittedly, the percentages are close: 39 percent of respondents said they believed economic conditions would improve, while 34 percent described themselves as pessimistic about the future. About 27 percent said they were unsure what 2012 would hold.

The survey respondents expressed similar views when asked about their own companies' revenue prospects. Thirty-five percent said they expected revenues to be flat in 2012, while a slightly smaller share (34 percent) said they anticipated strong sales growth. Another 25 percent predicted sales would be weak, and 6 percent had no opinion.

In addition to the questions about general economic conditions and revenues, the survey asked respondents about their spending plans for logistics products and services over the next 12 months. Of the 189 survey-takers, about 55 percent said they expected to boost their transportation expenditures in 2012.

That doesn't necessarily mean they're gearing up for a surge in freight volumes. It might simply mean they're bracing for higher rates. Like the general public, logistics professionals remain concerned about the effects of rising energy costs (89 percent of the survey respondents said they expected fuel prices to go up in 2012). And as anyone in this business knows, as fuel costs go, so go freight rates.

In any event, the economic news may not exactly be good, but the outlook is clearly better than it's been in some time. To put it another way, the search for signs of optimism will likely prove more fruitful now than at any time in the past three years.

Business Management & Finance
  • Related Articles

    in times of crisis ...

    ahead of the curve: interview with Joe Andraski

    the man for the mission: interview with Paul Brinkley

Mitchmacdonald
Mitch Mac Donald has more than 30 years of experience in both the newspaper and magazine businesses. He has covered the logistics and supply chain fields since 1988. Twice named one of the Top 10 Business Journalists in the U.S., he has served in a multitude of editorial and publishing roles. The leading force behind the launch of Supply Chain Management Review, he was that brand's founding publisher and editorial director from 1997 to 2000. Additionally, he has served as news editor, chief editor, publisher and editorial director of Logistics Management, as well as publisher of Modern Materials Handling. Mitch is also the president and CEO of Agile Business Media, LLC, the parent company of DC VELOCITY and CSCMP's Supply Chain Quarterly.

Recent Articles by Mitch Mac Donald

20 years later, the question remains the same: Are you up to SPEED?

Hail and farewell: interview with Gail Rutkowski

Thought I’d something more to say …

You must login or register in order to post a comment.

Report Abusive Comment

Most Popular Articles

  • Private equity firm acquires packaging provider Coregistics in e-commerce bet

  • Packaging industry reprioritizes amid inflation, supply chain disruption

  • Trucking industry warns that AB 5 decision could push freight capacity out of California

  • Warehousing's perfect storm

  • Raymond Corp. marks 100th anniversary

Now Playing on DCV-TV

E3f9e6d5 8bd4 40ca 8c7f 43aa63ea3fc9

Lessons from CSCMP’s Annual Report Card for Shippers and Carriers

DCV-TV 4: Viewer Contributed
Recently, the Council of Supply Chain Management Professionals (CSCMP) released their 33rd Annual State of Logistics Report which is created by AT Kearny. I've viewed this as basically a "Report Card" for shippers and carriers since it offers a comprehensive view of what they both have dealt with in the past year,...

FEATURED WHITE PAPERS

  • Breaking Bad: Conducting Full Truckload RFPs in the Age of Digital Freight Procurement

  • Fueling Sustainability for Manufacturers: Strategies to Increase Fuel Efficiency and Reduce Your Carbon Footprint

  • Guide to Proven Warehouse Solutions

  • Five common misconceptions about running a private fleet

View More

Subscribe to DC Velocity Magazine

GET YOUR FREE SUBSCRIPTION
  • SUBSCRIBE
  • NEWSLETTERS
  • ADVERTISING
  • CUSTOMER CARE
  • CONTACT
  • ABOUT
  • STAFF
  • PRIVACY POLICY

Copyright ©2022. All Rights ReservedDesign, CMS, Hosting & Web Development :: ePublishing