Small Business Minister Gordon Hill says most media had missed the point of Dun and Bradstreet's survey of business confidence released yesterday.
Mr Hill said the media used national statistics and overlooked the fact that Western Australia was the only State where business expectations of sales had increased.
He said the survey found businesses in WA and NSW were the most optimistic about the future.
"The Dun and Bradstreet figures came out on the same day that statistics for new motor vehicles showed strong consumer confidence in WA," Mr Hill said.
"Seasonally adjusted car registrations jumped 10.3 per cent in December, the highest monthly figure since January 1990.
"We have the strongest economy in Australia and that has been confirmed by a range of recent economic indicators and independent analysts, including the NSW Liberal Government Treasury."