Economic Recovery 5 Years Off, Say Harvard Business School Grads

Online, September 9, 2010 (Newswire.com) - U.S. Economic Recovery Up to Five Years Away According to New Study of Harvard Business School Graduates in Workforce 20+ Years

ANNAPOLIS, MD - While many economists and business leaders remain guardedly optimistic that the U.S. economy may finally be on the mend, a new survey of Harvard Business School graduates who have been in the workforce for more than 20 years reveals that it could take an additional five years before the U.S. economy achieves noticeable improvement.

According to the latest economic research conducted by Zenais Marketing (www.ZenaisMarketing.com), more than two-thirds of respondents (68%) believe the economic recovery is at least two years away and of those, 30% think it will take as many as five years. Major factors cited by respondents that contributed to the recession were: poor underwriting of mortgages (57%); lack of proper regulation of the banking sector (44%); sub-prime borrowers over-reaching on home purchases (37%); and, insufficient controls on securitization (35%).

"These findings, though sobering, do present a few bright spots," noted survey sponsor and Zenais President, Paul D. Feldman. "More than two-thirds of respondents believe that the economy is either stabilizing or improving. That is in sharp contrast to a minority, 30%, who believe the situation is getting worse," Feldman stated. The research further asked its target audience - approximately 900 graduates of The Harvard Business School class of 1989 - to cite actions vital to growing the U.S. economy. Topping the list were: more private sector hiring (78%); reducing the federal deficit (54%); lowering taxes (45%); and, a general level of improvement in the global economy (42%).

Conversely, direct government action - either at the federal or local level- received poor grades in stimulating the economy. At the bottom of the list in terms of effectiveness were: government incentives (15%); federal stimulus spending (13%); and state and local spending (10%). What's more, nearly 55% of respondents believe that the federal stimulus program did not have much impact on the economy and only 11% said it did achieve significant results.

"Clearly, we are nowhere near an 'uncork the champagne moment,' " Feldman observed. "Rather, the raw data and anecdotal feedback from this group of business leaders emphasize that debt levels at all junctures of the U.S. economy - household, municipal, city, state, corporate and federal - are excessive. Further, the study suggests that without a concrete plan to reduce spending and broaden the manufacturing sector, sustained growth may be capped."

Zenais Marketing Inc. is a leading public relations, graphic design and advertising firm emphasizing a unique approach to building value among its client based by incorporating a fusion of research, positioning, branding, creative and social networking services. The company has a legacy of serving clients on a global basis for more than 20 years and its leadership has received numerous industry awards -- including a Gold Quill from the International Association of Business Communicators and a special commendation from the United States Secretary of Defense. The firm has offices in the Greater Washington, D.C. area, Cincinnati, London and Johannesburg. More information can be found at: www.ZenaisMarketing.com.

Contact: Paul D. Feldman
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