A ____ economic indicator tends to rise or fall a few months after business-cycle expansions and contractions.

Question

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Lagging economic indicators are often used to confirm or deny the state of the economy. They tend to rise or fall a few months after the business cycle expansions and contractions have taken place, providing evidence of what has already happened in the economy. Examples of lagging indicators include the average duration of unemployment, labor cost per unit of output, and outstanding consumer credit. Leading economic indicators, in contrast, provide early evidence of where the economy is headed in the near future, while coincident indicators are often used to identify the current state of the economy.

A ____ Economic Indicator Tends to Rise or Fall a Few