The NABE August 2014 Economic Policy Survey summarizes the responses of 257 members of the National Association for Business Economics. Conducted semiannually, this survey was taken between July 22 and August 4, 2014.

“Respondents to the latest NABE Policy Survey express less concern than in earlier polls about fiscal policy uncertainty, but a majority still consider it an impediment to the economic recovery, ”said NABE Policy Survey Committee Chair Peter Evans, vice president at the Center for Global Enterprise. “Most panelists do not see inflation being a major concern in the coming years. The majority of NABE panelists believe that inflation will be at or near 2% in 5 years.”

“While there is no clear consensus on current fiscal policy, the share expressing approval has increased markedly to 42 percent compared to just 31 percent one year ago,” said NABE President Jack Kleinhenz, chief economist at the National Retail Federation. “Over this same period, the panel’s approval of Federal Reserve policy has edged downward.”

Inflation and monetary policy perspectives:

• Most panelists do not see inflation being a major concern in the coming years. The majority of NABE panelists believe that inflation will be at or near 2% in 5 years.
• A majority of respondents (53%) indicated they believe monetary policy is on the right track, but 39% felt that monetary policy was too stimulative.
• Nearly a third (30%) of panelists believe the Federal Reserve should stop reinvesting Treasury debt and agency-backed securities by the end of 2014, but only 7% expect the Fed to do so by then.

To read the full National Association for Business Economic Survey, click here.