Toby Smith

U.S. Recession Deepens

by Toby Smith   12/15/08

The survey also shows an unprecedented deterioration in the labor market. Thirty-one percent of respondents said they have fewer new hires in their company at this point in the fourth quarter versus the last quarter -- a nine-point increase since the previous survey. Only 8% said they have more new hires.

Credit Crisis Tightens Its Chokehold

So far we've been looking at symptoms of this accelerating recession. Now let's turn to one of the key causes.

During the past year, we've been measuring the impact of the credit crisis on U.S. businesses. And despite the federal government's numerous attempts to open the credit spigot, our latest data show the U.S. credit crunch continues to worsen.

Thirty percent of respondents said it is harder for their company to borrow money than it was just 90 days ago -- a five-point jump from the previous survey. Less than 1% said it's easier to borrow money.

No Relief Coming in the First Quarter

On top of everything, the current ChangeWave survey shows a huge plunge in visibility for Q1 2009.