An economic variable that moves in the same direction as aggregate economic activity (up in expansions,down in contractions)is called
A)procyclical.
B)countercyclical.
C)acyclical.
D)a leading variable.

Question

Quizplus · Accepted Answer

A variable that moves in the same direction as aggregate economic activity, i.e., up in expansions and down in contractions, is known as procyclical. Examples of procyclical variables include employment, wages, and profits.

An Economic Variable That Moves in the Same Direction as Aggregate