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Home » Optimism is tempered in new survey

Optimism is tempered in new survey

Most rate state's economy as fair; majority doesn't expect substantial change

June 21, 2012
Linn Parish

Inland Northwest businesspeople view the current state of the economy somewhat more favorably than does the population as a whole, but they are more tempered in their optimism for its future, says a survey conducted in recent weeks.

Meanwhile, Eastern Washington businesspeople and the general public alike agree that King County has too much influence over policies that affect all of Washington state.

The Spokane office of Portland-based Gallatin Public Affairs and Boise-based GS Strategy Group conducted a statewide survey via telephone in late May and early June, with a large sampling from Eastern Washington. In conjunction, the Journal of Business put together an online survey in early June. Its results were coupled with results of a similar survey gathered by the Tri-Cities Area Chamber of Commerce to gauge the current mindset of Eastern Washington businesspeople.

The majority of the businesspeople who took the survey, 56 percent, rated the current economy in Washington state as fair. Almost a third considered it to be good, while 10 percent viewed it as poor. A miniscule 1 percent described it as excellent.

On the whole, 42 percent of Eastern Washington residents rated the state's economy as fair, but only 19 percent considered it to be good. More than a third, or 34 percent, viewed it as poor, and similar to the business respondents, only 1 percent saw it as excellent.

During the next two years, however, a majority of businesspeople foresee little change. Forty-five percent of respondents said they expect the economy to stay the same over that period. Meanwhile, 37 percent said the economy likely will get better, and 14 percent said they expect it to get worse.

The general population in Eastern Washington was slightly more optimistic, with 40 percent expecting the state's economy to get better in the next two years. Almost a third, 32 percent, predicted it will stay the same, and 18 percent said they think it will get worse.

When asked about the most important sector of the state's economy, business respondents deviated from Inland Northwest general population. Forty-four percent of Eastern Washington businesspeople rated technology as the top sector, followed by natural resources, at 21 percent; manufacturing, 12 percent; and health care, 8 percent.

Spokane businesspeople alone also chose technology as the most important sector, but manufacturing took a close second place.

Eastern Washington residents overall, however, gave a nod to natural resources, which includes farming, fishing, and timber. Almost 40 percent said that sector was most important, followed by technology, 22 percent; manufacturing, 18 percent; and health care, 14 percent.

Inland Northwest businesspeople and residents were in agreement, however, on the question as to whether King County had too much influence over the policies that affect the entire state.

The survey said 62 percent of Eastern Washington businesspeople strongly agreed with the statement that King County has too much influence over the entire state, and an additional 26 percent somewhat agreed.

In the general Eastern Washington survey, 58 percent strongly agreed with the statement about King County's influence, and another 27 percent somewhat agreed.

When asked the best reason to locate a business in Washington state, Eastern Washington businesspeople chose quality of life most often, with 36 percent of respondents selecting that option. Next, with 19 percent of responses, was an educated workforce.

In the general survey, Eastern Washington equally chose quality of life and an educated workforce, with one-half of one percentage point separating the two.

The statewide survey involved about 400 respondents, with about 200 of those living in Eastern Washington. The business portion of the survey involved more than 200 businesspeople in Spokane and the Tri-Cities.

Separately, Gallatin and GS Strategy announced earlier this month plans to form a joint venture called G Squared Public Strategies. The new venture will offer public-opinion research and strategic counsel among other services for legislative issue advocacy campaigns and ballot measures.

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