Indiana Business Review
100 years of economic insights for Indiana

The IBR is a publication of the Indiana Business Research Center at IU's Kelley School of Business.

Executive Editor, Carol O. Rogers
Managing Editor, Brittany L. Hotchkiss

Indiana state flag waving in the breeze with a geometric financial.

Indiana’s outlook for 2026

Indiana's growth in real GDP is expected to hover close to 1% in 2026. The state's unemployment rate is expected to rise from 3.6% to 4.4%.

A man holding an umbrella and a briefcase running over two graphs: one is red and pointing down, the other is green and pointin up.

U.S. outlook for 2026

National real GDP growth is expected to be 1.8% in 2026, with unemployment rising to 4.8% and inflation continuing its trajectory to 2%.

Image of colorful houses in a row with a financial graph in the background behind them.

Indiana housing market: 2026 forecast

Nationally, forecasters expect that house prices will increase 1.1% in 2026 while existing home sales increase 4.7%.

A world globe on a graph background with a graph line running across the screen. .

International outlook for 2026

The world economy is expected to grow by 3.2% in 2025 and 3.1% in 2026, as measured by change in real GDP, but levels of economic uncertainty remain high.

A statue of a bull standing on th ground littered with coins and a fiery financial graph line rising from the ground.

Financial markets in 2026

Assuming that the growth of AI and several rounds of Fed easing will overcome market volatility, forecasts for 2026 are bullish for equity markets, bonds, real estate and alternative investments.

IBRC

The Indiana Business Review is a publication of the Indiana Business Research Center at Indiana University's Kelley School of Business. Permission to use the material is encouraged, but please email us at ibrc@iu.edu to indicate you will be using the material and in what other publications. Privacy Notice

Kelley School of Business