A Note of Pessimism


Senior executives of U.S. multinationals were sounding less optimistic about both the domestic and world economies in the latter part of 2005. According to Management Barometer, some 59% of them saw energy prices as a possible deterrent to their company’s growth (compared with 39% in the second quarter).

Only 70% of managing directors and CFOs said the U.S. economy was growing, compared with 84% a year ago. Executives from energy-vulnerable companies in particular expected they would have slower revenue growth, less new hiring and fewer key investments.

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