The CEOs of America’s biggest companies don’t expect the economy to grow like gangbusters in 2017, but they are optimistic that a pro-business Trump administration will help lay the groundwork for faster growth in the future.

In its latest quarterly survey, the Business Roundtable said companies expect to increase hiring and post higher sales over the next six months. As a result, the Roundtable’s CEO economic outlook index climbed to 74.2 in the fourth quarter from 69.6.

Although that’s the highest level in more than a year, the index still lags its 79.6 historic average.

What’s more, CEOs remain cautious about the economy in 2017. They predict roughly 2% growth for the eighth straight year — a level well below the nation’s 3.3% historic average.

Still, Roundtable Chairman Doug Oberhelman, also the CEO of Caterpillar CAT, -1.88% , sounded downright giddy about what he expects to be a very friendly Trump White House compared to the outgoing Obama administration.

“What’s shaping up is a pro-business environment,” he said in a conference call with reporters after the survey was released. “The idea here is pro growth.”

Trump has vowed to cut corporate taxes, reduce regulations and rebuild the nation’s public works in an effort to attract or maintain more jobs and businesses in the United States. Stock markets have rallied sharply after his surprise election win in early November and executives including Oberhelman sound more upbeat than they have in years.

Oberhelman acknowledged “worries” about some of Trump’s “rhetoric,” such as a tougher approach to foreign trade and a 35% tariff on the products of American companies that move operations outside the country.

(On Tuesday, Trump caused another furor when he suggested the government cancel a contract with Boeing to produce a modern Air Force One because of what the president-elect called excessive cost.)

The U.S. has only 5% of the world’s population, Oberhelman noted, and it’s reliant on trade to sell many of the goods made in America. The economy could be hurt if other countries retaliate, he said.

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Yet Oberhelman seemed confident Trump will work with companies to improve the U.S. business climate. “I think we are going to be happy at the end of that,” he said.

Oberhelman sidestepped questions about Trump’s willingness to single out certain companies or to negotiate deals like the one with Carrier to keep jobs in the U.S.

“We ought to fight for every job,” he said.

He pointed out that U.S. states as well as foreign countries work hard to woo businesses from all around the world. The federal government can help with tax reform, “smarter regulation” and more spending on roads, bridges, ports and other projects vital to a well-functioning economy.

One potential obstacle, though, is weak business investment.

CEOs lowered their forecast for capital spending in the first half of 2017 even though they plan to hire more workers. The combination of soft spending and higher labor costs is likely to keep productivity on the low side, depriving the economy of the necessary investment and innovation that leads to higher worker pay and a rising standard of living for American families.