lagging indicator

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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 indicator

a run of statistical data that past experience has shown tends to reflect earlier changes in some related area of the economy and can thus be forecast from information about these changes because they follow the changes in a consistent manner and by a relatively constant time interval. For example, unemployment and company bankruptcies’ statistics both tend to change after a lag as a result of changes in economic activity as measured by changes in GROSS NATIONAL PRODUCT and thus can be forecast from changes in GNP See LEADING INDICATOR, FORECASTING, TIME-SERIES ANALYSIS.
References in periodicals archive ?
However, McDaniel said that while lagging economic indicators such as gross receipts and unemployment reports show expansion has occurred, a few leading indicators point to a potential slowdown in economic activity.
When evaluating the health of the economy, there are both leading and lagging economic indicators to consider.
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."
Now, according to keynote speaker Narendra Mulani, managing director for Accenture's supply chain management service line, high energy costs, environmental concerns, and lagging economic indicators are forcing supply chain managers to bring those things a little closer to the vest through a process called "near-shoring."
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.
Bureau of Labor Statistics www.bls.gov Stock Research www.stockresearch.com National Association for Business www.nabe.com Economics National Bureau of Economic Research www.nber.org The Conference Board: A series of weighted www.conference-board.org composites of leading, coincident and lagging economic indicators Sublease.com: A national sublease listing www.sublease.com service.
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.
Japan's index of lagging economic indicators for August has been revised upward to 50.0% from a preliminary 41.7%, reaching the boom-or-bust threshold of 50% for the first time in four months, the Economic Planning Agency (EPA) said Wednesday.
The concept of the project was to develop a system of leading, coincident, and lagging economic indicators for the major industrial countries which would be comparable to those already developed for the United States.
"In addition to the revenue picture, leading and lagging economic indicators paint a positive picture for the state's economy."<br />During the fiscal year, gross receipts to the treasury increased by $1.2 billion, or 11.1 percent, from the previous fiscal year.