Data Resources

Data Resources Inc., commonly known as DRI, was a United States economic-data and forecasting company founded in 1969 by financier Donald Marron and economist Otto Eckstein. The company became one of the most important private-sector providers of economic statistics, macroeconomic analysis, and quantitative forecasting during the second half of the twentieth century. Its business combined the distribution of economic data with the construction and operation of large macroeconometric models used to analyze national economies, industries, regions, and policy scenarios. DRI's origins reflected the meeting of two complementary capabilities. Marron brought business and financial-market experience, while Eckstein contributed academic economics, public-policy expertise, and a strong interest in applied macroeconomic measurement. Eckstein had taught economics at Harvard, advised President Lyndon B. Johnson, and served on the Council of Economic Advisers. Under their leadership, DRI developed a commercial model for turning large quantities of economic information and econometric analysis into subscription services, research publications, conferences, and consulting work. The company expanded rapidly during the 1970s and became the world's largest nongovernmental distributor of economic data, according to the reference account. It also built what was described as the largest macroeconometric model of its era. Allen Sinai was a leading architect of the modeling work, while Richard Hokenson was closely involved in maintaining the models. DRI's work was used to interpret economic conditions, formulate forecasts, examine policy alternatives, and support business planning. Technology was central to the company's operations. DRI was a major customer of Burroughs Computer and used Burroughs 6700 and 7700 mainframes during its period of rapid growth. Its technical staff created specialized software and programming languages for storing, manipulating, and modeling economic information. These included the PRIMA and AID database languages, Econometric Programming Language, MODSIM for model solution, and MODEL for econometric-model analysis. Their functions were later brought together in the EPS Econometric Programming System, whose chief architect was Robert P. Lacey. John Ahlstrom, Greg George, and Joe Polak were among the programmers associated with this development effort. DRI also built a prominent publishing and events business around its analytical output. The monthly DRI Review summarized the conclusions of its models and economic outlook work. The company presented forecasts through outlook conferences and offered educational seminars, creating direct channels between its technical research and professional users in business, finance, government, and other institutions. In 1979, Eckstein and Marron sold DRI to McGraw-Hill for more than $100 million. Joseph Kasputys became president in 1981. The company continued to operate as a major economic-analysis business, but the reference account identifies a technology challenge after Eckstein's death in 1984: DRI remained strongly associated with mainframe computing while comparable analytical work was increasingly moving toward personal computers. This slower technology transition weakened its position as the industry changed. DRI's later corporate history was shaped by consolidation in the forecasting sector. In 2001, it merged with Wharton Econometric Forecasting Associates, or WEFA, creating Global Insight. Global Insight was subsequently acquired by IHS Inc. in 2008. Through those transactions, DRI's data, forecasting, and economic-consulting capabilities became part of larger information and research organizations. The original Data Resources brand is therefore best understood as a defunct historical company and an important predecessor to later global economic-information businesses.

Data Resources was established in 1969 by Donald Marron and Otto Eckstein as a commercial economic-information and forecasting enterprise. Marron was a business and financial executive who later became associated with PaineWebber and Lightyear Capital. Eckstein was an economist with academic and public-policy experience, including work at Harvard, advising Lyndon B. Johnson, and service on the Council of Economic Advisers. Their partnership gave DRI both a commercial orientation and a strong foundation in applied macroeconomics. During the 1970s, DRI grew into a major private distributor of economic data. Its activities went beyond the sale of statistics: the company created and operated large macroeconometric models that translated historical data and economic relationships into forecasts and policy analysis. The reference account describes DRI as the largest nongovernmental distributor of economic data in the world and as the builder of the largest macroeconometric model of its period. Allen Sinai was a leading contributor to the modeling program, and Richard Hokenson performed important model-maintenance work. The company's analytical infrastructure depended on large-scale computing. DRI was a significant Burroughs Computer customer and used Burroughs 6700 and 7700 mainframes during its expansion. Its programmers developed specialized tools for economic databases and model construction, including PRIMA, AID, Econometric Programming Language, MODSIM, and MODEL. These capabilities were later consolidated into EPS, the Econometric Programming System, under the technical direction of Robert P. Lacey, with John Ahlstrom, Greg George, and Joe Polak among the programmers involved. DRI packaged its research in several forms. The monthly DRI Review reported the implications of its models for the economic outlook. Outlook conferences allowed clients to receive and discuss the company's forecasts, while educational seminars helped users understand the methods and applications of economic modeling. This combination of data, software, publications, events, and consulting made DRI an influential intermediary between academic and government economic analysis and commercial decision-makers. In 1979, Eckstein and Marron sold the company to McGraw-Hill for more than $100 million. Joseph Kasputys became president in 1981. Following Eckstein's death in 1984, the organization reportedly adapted slowly to a changing technology environment. Its continued reliance on mainframe-based systems became a disadvantage as economic and analytical work increasingly shifted toward personal computers and more distributed computing platforms. The broader economic-forecasting industry later consolidated. In 2001, DRI merged with Wharton Econometric Forecasting Associates, a company that had earlier been associated with a merger involving Chase Econometrics. The resulting organization was named Global Insight. In 2008, IHS Inc. acquired Global Insight, thereby absorbing the business and legacy of DRI into a larger provider of information, analysis, and consulting services. Data Resources no longer operates as an independent brand, but its historical contribution survives through the modeling, data, and forecasting businesses that followed it.

• 2008

  Global Insight acquired by IHS

  [1]Data Resourcesen.wikipedia.org

  IHS Inc. acquired Global Insight, incorporating DRI's legacy operations and expertise.

• 2001

  Merged into Global Insight

  [1]Data Resourcesen.wikipedia.org

  DRI merged with Wharton Econometric Forecasting Associates to form Global Insight.

• 1984

  Technology-transition challenge

  [1]Data Resourcesen.wikipedia.org

  After Otto Eckstein's death, DRI was described as slow to move from mainframe computing toward personal-computer-based analytical work.

• 1981

  Joseph Kasputys becomes president

  [1]Data Resourcesen.wikipedia.org

  Joseph Kasputys was appointed president of the company.

• 1979

  Acquired by McGraw-Hill

  [1]Data Resourcesen.wikipedia.org

  The founders sold DRI to McGraw-Hill for more than $100 million.

• 1970

  Rapid expansion of data and modeling operations

  [1]Data Resourcesen.wikipedia.org

  During the 1970s, DRI became a leading private distributor of economic data and developed a large macroeconometric model.

• 1969

  Data Resources founded

  [1]Data Resourcesen.wikipedia.org

  Donald Marron and Otto Eckstein co-founded Data Resources to provide economic data and quantitative forecasting services.

A quantitative economic-information and forecasting provider combining proprietary data distribution, large macroeconometric models, software, publications, and professional analysis.

• Economic information · 1969

  Economic data services

  DRI distributed economic statistics and related analytical information to professional users. Its data business formed the foundation for forecasting, research, and decision-support activities and made the company one of the largest private-sector economic-data distributors of its period.

• Economic forecasting

  Macroeconometric models

  The company constructed large macroeconometric models designed to represent economic relationships and generate forecasts or scenario analysis. These models were central to DRI's research, consulting, outlook publications, and conferences.

• Research publication

  DRI Review

  The DRI Review was a monthly publication that summarized the conclusions of the company's economic models and presented its view of the economic outlook. It connected DRI's technical forecasting work with subscribers and other professional audiences.

• Econometric software

  EPS Econometric Programming System

  EPS was a later software environment that brought together functions developed in DRI's earlier database and modeling tools, including PRIMA, AID, EPL, MODSIM, and MODEL. Robert P. Lacey was identified as its chief architectural figure.

• Professional services and events

  Outlook conferences and educational seminars

  DRI presented its forecasts through economic outlook conferences and supported users through educational seminars. These activities extended the company's role from data supplier and model builder to an adviser and educator for professional clients.

• 2008

  Global Insight acquired by IHSM&A

  Background

  Global Insight represented the successor organization carrying forward DRI's economic-data and forecasting heritage.

  Action taken

  IHS Inc. acquired Global Insight.

  Aftermath

  DRI's historical capabilities became part of IHS's broader information and consulting portfolio.

  Source

• 2001

  Merger with Wharton Econometric Forecasting AssociatesM&A

  Background

  The economic-forecasting sector was consolidating around larger providers with complementary data, modeling, and consulting capabilities.

  Action taken

  DRI merged with WEFA to create Global Insight.

  Aftermath

  The Data Resources identity became part of Global Insight rather than continuing as a standalone company.

  Source

• 1979

  Sale of Data Resources to McGraw-HillM&A

  Background

  After a decade of growth as an economic-data and forecasting company, the founders pursued a corporate sale to a major information and publishing group.

  Action taken

  Donald Marron and Otto Eckstein sold DRI to McGraw-Hill for more than $100 million.

  Aftermath

  DRI continued under McGraw-Hill ownership, with Joseph Kasputys becoming president in 1981.

  Acquisition price. More than $100 million (1979)

  Source

1. 1Data Resourcesen.wikipedia.org