CONSTRUCTION INDUSTRY POSTED GROWTH IN NOVEMBER; Expectations for Improvements Declined, Says Dun & Bradstreet Survey.NEW YORK--(BUSINESS WIRE)--Dec. 14, 1994--The effects of higher interest rates have finally begun to show in The Dun & Bradstreet Brad·street , Anne Dudley 1612-1672. English-born colonial poet who wrote several collections of verse, including The Tenth Muse Lately Sprung Up in America (1650). Corporation's monthly survey of 200 construction executives. According to according to prep. 1. As stated or indicated by; on the authority of: according to historians. 2. In keeping with: according to instructions. 3. this month's survey, the industry posted another good month of growth in November November: see month. , but expectations for further improvements significantly declined. "Even with the decline in order books expectations, optimism still remains about where it was one year ago, which was a fairly strong period," said Douglas P. Handler A software routine that performs a particular task. It often refers to a routine that "handles" an exception of some kind, such as an error, but it can refer to mainstream processes as well. The term is typically used in operating systems and other system software. , manager of econometric e·con·o·met·rics n. (used with a sing. verb) Application of mathematical and statistical techniques to economics in the study of problems, the analysis of data, and the development and testing of theories and models. analysis for D&B. "This implies that the first signs of slower growth will be seen in the construction industry by the first quarter of 1995, although it is by no means conclusive Determinative; beyond dispute or question. That which is conclusive is manifest, clear, or obvious. It is a legal inference made so peremptorily that it cannot be overthrown or contradicted. that this slowdown For articles with similar titles, see Slow Down (disambiguation). A slowdown is an industrial action in which employees perform their duties but seek to reduce productivity or efficiency in their performance of these duties. will result in a more serious industry-wide contraction contraction, in physics contraction, in physics: see expansion. contraction, in grammar contraction, in writing: see abbreviation. contraction - reduction ." Note to Editors The Dun & Bradstreet Construction Survey asks construction firms about current conditions and expectations for the coming three months for order books, employment and prices. The indexes are calculated by subtracting the percentage of respondents In the context of marketing research, a representative sample drawn from a larger population of people from whom information is collected and used to develop or confirm marketing strategy. expecting a decrease in order books, employment and prices from the percentage expecting increases. Expectations for Order Books and Hiring Declined; Inflation Expectations Remained Unchanged The Order Books Index for the coming three months dropped 12 points from last month's reading of 26, and is unchanged from November 1993. Employment expectations for the coming three months decreased 11 points to six and is two points below last year's index level of nine. Construction executives' expectations to raise prices remained unchanged at 18 and is three points above last November's reading of 15. "Consistently, almost three-fourths of all respondents reported that their employment levels were normal for November, with only 15 percent reporting employment as being above normal for this time of year," said Handler. "This contrasts with 63 percent reporting normal employment in October and 24 percent stating employment was above normal." Current Conditions Continue to Reflect Healthy Business Conditions The Order Books Index and the Employment Index for the past three months rose one point to 25 from last month, and is 20 points ahead of last year. The employment index for the past three months dropped five points to five, but is still 11 points ahead of last year. "The fact that hiring dropped off so much in the face of still-strong demand is another sign of pessimism pessimism, philosophical opinion or doctrine that evil predominates over good; the opposite of optimism. Systematic forms of pessimism may be found in philosophy and religion. regarding the coming few months," said Handler. Construction executives reported a drop in current plans to increase prices. The Prices Index level for the past three months dropped two points to 21. The Dun & Bradstreet Corporation is the world's leading marketer of information, software and services for business decision making, with worldwide revenue of $4.7 billion in 1993. -0-
THE DUN & BRADSTREET CONSTRUCTION SURVEY
Nov Sept Oct Nov
1993 1994 1994 1994
Three Month Expectations
Indexes
Order Books 14 27 26 14
Employment 9 17 17 7
Prices 15 17 18 18
Current Conditions
Indexes
Order Books 6 24 24 25
Employment -7 10 10 6
Prices 14 24 23 21
The indexes are calculated by subtracting the percentage of respondents expecting a decrease in new orders, employment and prices from the percentage expecting an increase. Source: Economic Analysis Department The Dun & Bradstreet Corporation CONTACT: The Dun & Bradstreet Corporation, New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of Susan Jacobs, 212/593-4164 |
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