Business Inflation Expectations

The BIE was created to measure the year-ahead inflationary sentiments of businesses in the Sixth District. It also helps inform our view of the sources of cost changes and provides insight into the factors driving business' pricing decisions.

Note: We discontinued the press release of results of our monthly Business Inflation Expectations (BIE) survey in June 2017. We will continue to post the BIE data according to our monthly schedule.

Business Inflation Expectations Unchanged — June 16, 2017

  • Inflation expectations: Firms' inflation expectations went unchanged at 2.0 percent over the year ahead.
  • Current economic environment: Sales levels and profit margins improved somewhat over the month.
  • Quarterly question: Firms' sales gap (percentage below normal sales levels) has fallen to its lowest level to date.
  • Special question: Firms were asked to rate their optimism about both the U.S. economy and their firm's financial prospects on a scale from 0–100, with 0 being the least optimistic and 100 being the most optimistic. This question was previously asked in November 2016 and February 2017. These questions are asked on a quarterly basis by the Duke CFO Global Business Outlook Survey. Of those firms responding in both February and June, optimism about the U.S. economy was 72 out of 100 in February compared to 70 this month, on average. Respondents' optimism about their firms' financial prospects was 72 out of 100 in February and 73 this month, on average. None of the differences in the mean values from February to June are statistically significant.
Click on a marker to view that month's results summary (starting January 2012).

Source: Federal Reserve Bank of Atlanta


Standard Questions

The questions below are asked each month to assess the firm’s current business environment and inflation expectations.

Question 1. How do your current sales levels compare with sales levels during what you consider to be "normal" times?

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Source: Federal Reserve Bank of Atlanta

Source: Federal Reserve Bank of Atlanta

Question 2. How do your current profit margins compare with "normal" times?

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Source: Federal Reserve Bank of Atlanta

Source: Federal Reserve Bank of Atlanta

Question 3. Looking back, how do your unit costs compare with this time last year?

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Source: Federal Reserve Bank of Atlanta

Source: Federal Reserve Bank of Atlanta

Question 4. Projecting ahead, to the best of your ability, please assign a percent likelihood to the following changes to unit costs over the next 12 months.

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Source: Federal Reserve Bank of Atlanta

Source: Federal Reserve Bank of Atlanta


Rotating Questions

Each question is asked once per quarter in the order indicated below.

Quarterly Question: Projecting ahead, to the best of your ability, please assign a percent likelihood to the following changes to unit costs per year over the next FIVE TO 10 years.

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Source: Federal Reserve Bank of Atlanta

Source: Federal Reserve Bank of Atlanta

Quarterly Question: Projecting ahead over the next 12 months, how do you think the following five common influences will affect the prices of your products and/or services?

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Source: Federal Reserve Bank of Atlanta

Source: Federal Reserve Bank of Atlanta

Show Diffusion | Show Response Breakdown

Source: Federal Reserve Bank of Atlanta

Source: Federal Reserve Bank of Atlanta

Show Diffusion | Show Response Breakdown

Source: Federal Reserve Bank of Atlanta

Source: Federal Reserve Bank of Atlanta

Show Diffusion | Show Response Breakdown

Source: Federal Reserve Bank of Atlanta

Source: Federal Reserve Bank of Atlanta

Show Diffusion | Show Response Breakdown

Source: Federal Reserve Bank of Atlanta

Source: Federal Reserve Bank of Atlanta

Quarterly Question: By roughly what percent are your firm's unit sales levels above/below "normal," if at all?

Source: Federal Reserve Bank of Atlanta


Special Questions

Typically a unique question is asked each month exploring a current topic of interest to policymakers.

Special Question