Optimism in the middle market amid expectation of change
INSIGHT ARTICLE |
Authored by RSM US LLP
With the inauguration of Joe Biden as president of the United States, senior executives at middle market businesses are optimistic about the American economy, even as they expect substantial shifts under the new administration, according to a recent RSM survey.
The survey for the RSM US Middle Market Business Index—fielded from Nov. 19 to Dec. 2, 2020, with 401 executives responding—captures the dynamic changes taking place across the middle market and the broader economy.
The executives’ responses presented a generally positive view that they expected the economy to grow under a Biden administration. A plurality of 46% said that they were much more optimistic or somewhat more optimistic when asked how their expectations for the economy had changed due to the results of the election.
Among the survey’s findings:
- Executives told RSM that they anticipated substantial changes in the government’s approach to a range of issues. Ranking highest among those issues was an expected shift in COVID-19 mitigation efforts. Other expected changes would be reversals of policies adopted by the Trump administration, including:
- Taxes: 82% expect changes in the nation’s tax code
- Regulations: Reinstituting regulations that were eliminated or reduced in areas like the environment, labor, health care, consumer financial protections and immigration
- Rejoining the global community: A reversal of tariffs and trade policies, and an expectation of rejoining the Paris climate accord
- But some executives had a more tempered outlook. Of those surveyed, 36% said they were somewhat more pessimistic or much more pessimistic about the economy. Executives with these views expressed concern about the economic impact that changes from the Biden administration would bring.
Download the report for more survey findings and insights on the expectations of senior executives in the middle market.
This article was written by RSM US LLP and originally appeared on 2021-01-21.
2020 RSM US LLP. All rights reserved.
https://rsmus.com/economics/rsm-middle-market-business-index-mmbi/mmbi-election-pulse-survey.html
RSM US Alliance provides its members with access to resources of RSM US LLP. RSM US Alliance member firms are separate and independent businesses and legal entities that are responsible for their own acts and omissions, and each is separate and independent from RSM US LLP. RSM US LLP is the U.S. member firm of RSM International, a global network of independent audit, tax, and consulting firms. Members of RSM US Alliance have access to RSM International resources through RSM US LLP but are not member firms of RSM International. Visit rsmus.com/about us for more information regarding RSM US LLP and RSM International. The RSM logo is used under license by RSM US LLP. RSM US Alliance products and services are proprietary to RSM US LLP.
Pugh CPAs is a proud member of RSM US Alliance, a premier affiliation of independent accounting and consulting firms in the United States. RSM US Alliance provides our firm with access to resources of RSM US LLP, the leading provider of audit, tax and consulting services focused on the middle market. RSM US LLP is a licensed CPA firm and the U.S. member of RSM International, a global network of independent audit, tax and consulting firms with more than 43,000 people in over 120 countries.
Our membership in RSM US Alliance has elevated our capabilities in the marketplace, helping to differentiate our firm from the competition while allowing us to maintain our independence and entrepreneurial culture. We have access to a valuable peer network of like-sized firms as well as a broad range of tools, expertise and technical resources.
For more information on how Pugh CPAs can assist you, please call 865.769.0660.
Let's Talk!
Call us at 865.769.0660 or fill out the form below and we'll contact you to discuss your specific situation.