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Global Economic Confidence Swells in First Quarter

Global Economic Confidence Swells in First Quarter

Confidence in the global economy saw a huge recovery in the first quarter of 2012, making up for optimism that plummeted in 2011, according to the most recent ACCA/IMA Global Economic Conditions Survey.

The study, which is the largest global assessment of professional accountants, asked the confidence of 2,2000 professionals around the world, and found that confidence had nearly doubled from 16 percent in late 2011 to 29 percent. Although 54 percent still believe the global economy was stagnant, it is down from 73 percent in the final quarter of 2011.

In the U.S., 32 percent of respondents reported confidence gains, compared with 18 percent in the previous quarter.

"When the results came in, we were a little skeptical and had to consider all of the likely objections first," said Emmanouil Schizas, survey editor. "Much of the rise in confidence is being reversed as we speak, as the relief factor subsides, but a lot of it is here to stay."

According to The Wall Street Journal, about a third of the rise in confidence can be chalked up to "macro" views of the world's current state. And while the confidence could soon reverse on euro zone worries, it shouldn't take away from the fundamental improvements noted in the study.