AICPA survey examines economic optimism

Findings from a recently released American Institute of CPAs (AICPA) survey showed business executives are expressing optimism with regard to economic recovery in the coming year not witnessed since 2018.

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The second-quarter AICPA Economic Outlook Survey gathered feedback from chief executive officers, chief financial officers, and other certified public accountants in domestic firms possessing executive and senior management accounting roles.

Polling was conducted from April 27 to May 24, 2021, and included 770 qualified responses from CPAs in leadership positions, per the AICPA.

“What we’re seeing is a broad expectation that things will really open up in the second half of the year,” Ash Noah, vice president and managing director of CGMA learning, education, and development for the Association of International Certified Professional Accountants, said. “Many issues remain, of course. Supply chains are still straining to meet demand in a number of sectors. The global response to the pandemic still contains many uncertainties, which impacts the United States. But we are clearly seeing growing confidence on the part of business executives that the worst is behind us.”

Half of business executives expressed optimism about the global economy, representing an increase from 37 percent last quarter; companies’ input prices are predicted to increase by 4.4 percent over the next 12 months – a rise from last quarter’s forecast of 3.1 percent; and prices executives expect their companies to charge are expected to rise 2.7 percent within the same timeframe – a boost from 1.8 percent.