Lagging indicators

Lagging indicators,

Definition of Lagging indicators:

  1. Economic and financial-market indicators which tend to change only after an economy has already changed, or has begun to follow a particular pattern or trend. They trail behind (usually by six months) the overall economic cycle instead of moving with it (as coincident indicators do) or moving ahead of it (as leading indicators do). Major lagging indicators include the unemployment rate, outstanding consumer loans, outstanding business loans, business spending, business profits, book value of business inventories, unit labor costs, and consumer price index (CPI).

Meaning of Lagging indicators & Lagging indicators Definition