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Flash Index of Illinois economy rebounds, ending three-month slide
Mark Reutter,
Business & Law Editor
217-333-0568; mreutter@uiuc.edu
J. Fred Giertz, Institute of Government and Public Affairs
217-244-4822
6/1/2006
EDITORS,
NEWS DIRECTORS: The Flash Index of Economic Growth, produced by economists
at the University of Illinois, is based on the most up-to-date information
on the Illinois economy.
CHAMPAIGN, Ill. —
The University of Illinois Flash Economic Index ended its three-month
slide, increasing to 106.2 from its 105.1 level in April.
While the Index is still below its eight-year high of 107.1 reached
in January, the May result suggests that the Illinois economy is still
expanding at a good pace.
“This is consistent with national economic data indicating that
the economy is growing strongly – enough, in fact, to cause some
concern about the prospects for inflation,” said J. Fred Giertz,
the Illinois economist who compiled the Index.
All three components of the Index were up strongly in real (inflation-adjusted)
terms from the same month of last year. Corporate tax receipts registered
the largest percentage increase.
The Flash Index is a weighted average of state growth rates in consumer
spending, corporate earnings and personal income. Tax receipts from
these categories are adjusted for inflation before growth rates are
calculated. The growth rate for each component is then calculated for
the 12-month period using data through May 31.
