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economic indicator
(redirected from Lagging indicators)

   Also found in: Financial, Wikipedia, Hutchinson 0.02 sec.

economic indicator

Statistic used to determine the state of general economic activity or to predict it in the future. A leading indicator is one that tends to turn up or down before the general economy does (e.g., building permits, common stock prices, and business inventories). Coincident indicators move in line with the economy; lagging indicators change direction after the economy does.



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The lagging indicators such as employment figures and spending on capital equipment have also started to rise off their cyclical bottoms, and they too will now start to contribute to the recovery.
Maybe such skittishness is a residue of the war, another one of those lagging indicators, but the economists at UCLA's Anderson School have been similarly skeptical about a big-time turnaround and those folks are not often wrong.
Managing the financials will not necessarily produce better financial results, because financials only tell you where you have been--they are lagging indicators.
 
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