leading indicator
DefinitionAn economic indicator that changes before the economy has changed. Examples of leading indicators include production workweek, building permits, unemployment insurance claims, money supply, inventory changes, and stock prices. The Fed watches many of these indicators as it decides what to do about interest rates. There are also coincident indicators, which change about the same time as the overall economy, and lagging indicators, which change after the overall economy, but these are of minimal use as predictive tools.
This content can be found on the following page:
leading indicator is ...
... part of the Economy subject.
... part of the Economy subject.
Related Terms
leading indicator appears in the definitions of these other terms on BusinessDictionary.com
Loading...
| |







