Outlook improves on spending, employment.

• Position: YOUR LIFE

Chief financial officers in the U.S. are becoming more optimistic about the economic outlook for 2011, raising expectations for continued growth in capital spending and earnings, as well as for improved job expansion. Wages are expected to rise 2.5%, but concerns about the consumer sector and continued price pressure still limit the extent of economic recovery anticipated by CFOs. These are some of the findings of the most recent Duke University/CFO Magazine Global Business Outlook Survey. The research has been conducted for 59 consecutive quarters.

A summary of findings includes:

* The recovery still is hindered by concerns about consumer demand, pressure on profit margins, and the difficulty in planning during uncertain economic times.

* More than half of U.S. firms say they would be hurt by protectionist economic policies.

*. Half of CFOs are more optimistic about the U.S. economy this quarter, compared to 14% who are less optimistic.

* CFOs expect to boost company earnings (20%), capital (nine percent) and tech (five percent) spending, dividends and share buybacks (three percent), and hiring (two percent).

* Overall, 36% of companies find borrowing conditions have improved compared to fall 2009. The smallest firms (100 or fewer employees) say credit remains tight.

"The current level of optimism has increased notably from last quarter," reports Kate O'Sullivan, senior editor at CFO Magazine. "U.S. optimism still trails Asia, but this...