PA Chamber Economic Survey Reveals Level of Optimism about State's Economy, but Specific Concerns Remain


HARRISBURG, Pa., Sept. 27, 2004 (PRIMEZONE) -- The Pennsylvania Chamber of Business and Industry's 14th Annual Economic Survey revealed that businesses in Pennsylvania are feeling more optimistic about our economy here in Pennsylvania. This is a first since 2000.

The survey, which gauged the current status of the state's business climate, was conducted by Pittsburgh-based Campos Inc.

Floyd Warner, president of the PA Chamber, said that a majority of companies expect to see a growth in sales, employment and investments in Pennsylvania operations over the next 12 months. "These are positive survey results considering that 40 percent of the respondents said they'd leave this state because of the business climate in 2003."

Although many PA Chamber-member businesses polled have a positive perception of the economy's performance over the past year, the outlook has still not reached the level of optimism that existed prior to 2000 when more than 80 percent of the companies surveyed said they would not leave Pennsylvania.

"We still have business leaders surveyed who saw no noticeable change in the past 12 months, and those who don't foresee noticeable change occurring in the next 12 months," he said.

Additionally, the survey indicated that respondents with operations in eastern and central Pennsylvania were much more favorable in their opinion than those in western Pennsylvania.

"The survey responses do indicate that some recovery from the recent national economic downturn is being realized in Pennsylvania," Warner said. "While that's good news, it's also clear that this perception isn't shared equally by business in all geographic regions of the state."

Warner also said specific issues impacting business remain serious concerns, particularly health-care costs, taxes and lawsuit abuse.

"Business leaders are troubled by the escalating cost of health care, again naming it as the No. 1 legislative issue impacting competitiveness, followed by business taxes," he said. "In fact, over the past four years, these two issues have consistently been the top concerns of the business community and frequently cited reasons why businesses would consider leaving the state."

Warner said while progress toward economic recovery continues, the state can and should do more to create a business climate that fosters the competitiveness of Pennsylvania's job creators. He noted that this past year there were several proposals in the General Assembly and out of the administration that would have significantly increased the cost of doing business in Pennsylvania by raising taxes.

"If we want to continue to see an increase in jobs and investments in companies here in Pennsylvania, then we must not increase the cost of doing business here. This survey shows that companies will hire more people and improve their operations if we hold the line on costs," Warner concluded.

Complete survey results can be found on the PA Chamber website at www.pachamber.org.

Founded in 1986, Campos Inc. is a full-service, research-driven marketing strategy firm.

The Pennsylvania Chamber of Business and Industry is the state's largest broad-based business association and the fastest growing state chamber in the United States, with more than 10,000 members covering all 67 counties. More information is available on the Chamber's website at www.pachamber.org

The PA Chamber of Business and Industry logo is available at: http://media.primezone.com/prs/single/?pkgid=353



            

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