lagging economic indicator

Lagging Indicator

Statistics of economic performance that follow other indicators. Lagging indicators are used to confirm a previous economic trend. For example, an increase in job creation and a fall in the unemployment rate are considered lagging indicators of economic recovery. That is, they occur after other indicators of recovery, such as GDP growth. As such, job creation and lower unemployment show that the GDP growth has been, and will likely continue to be, sustained. See also: Leading indicator, Coincident indicator.

lagging economic indicator

An economic or a financial variable, the movements of which tend to follow the movement of overall economic activity. Thus, a lagging economic indicator would reach a peak after a peak in economic activity and would hit bottom after a bottom in economic activity. Compare leading economic indicator.
References in periodicals archive ?
Employment increased for the first time since March, but employment tends to be a lagging economic indicator.
Employment is a lagging economic indicator, so coming out of a recession, it is typical for jobs to be the last thing to return," said Wallace.
And the latter is a lagging economic indicator, telling us what's happened, but not where we are going.
Unlike the unemployment rate, which is a well-recognized trailing or lagging economic indicator, Gallup's job-creation measure -- much like jobless claims -- is more of a leading or at minimum a coincident indicator of economic performance.
The outcome was no surprise as an unemployment rate, a lagging economic indicator, normally continues to rise for about one year after industrial production bottoms out,'' said Takuji Aida, senior economist at UBS Securities Japan Ltd.
Real estate is a lagging economic indicator, and it follows the job market, which has been weak for white-collar workers.
Population, however, tends to be a lagging economic indicator, usually reaching its peak well after other economic indicators have already turned downward.
Foreclosure activity is actually a lagging economic indicator because it signals financial distress up to a year old.
In a global threat assessment report submitted to the Senate Select Committee on Intelligence, Director of National Intelligence James Clapper said, "The leadership transition in Beijing continues to unfold as Chinese leaders grapple with a confluence of domestic problems -- including lagging economic indicators, corruption and pressure for political reform -- that are fueling fears about the potential for serious domestic unrest.
Other lagging economic indicators, such as employment and capital (business) spending, are often mistakenly viewed as primary economic drivers that deceive the unwary into remaining positive well past the peak in the economy or remaining pessimistic well beyond the trough.
org composites of leading, coincident and lagging economic indicators Sublease.
The Cabinet Office also said the indexes of leading and lagging economic indicators were below 50% in the reporting month, the first time since October 1998 that all three indexes have been below the 50% line.