A series of hydrophobically modified poly(acrylic acid) (PAA), poly(2-phenoxyethyl acrylate-co-acrylic acid) (poly(PHEA-co-AA)), have been synthesized and characterized by Ubbelohde type viscometry, Nuclear Magnetic Resonance (1H NMR) spectrometry and Differential Scanning Calorimetry (DSC). The shear thinning Non-Newtonian fluid behavior of their aqueous solution and the dependence on pH and hydrophobic group contents were found through apparent viscosity and rheological property investigating. Decolourization performance in C. I. Vat Yellow 1 aqueous suspension was evaluated through visible absorbance data. Decolourization performance of hydrophobically associated polymer indicates two times better than that of PAA. The quantitative relationship was mainly studied.