3 Economic Indicators (Appx)

Question 1

Average weekly hours of production workers (manufacturing)

Answer 1

Leading indicator (tends to rise and fall in advance of the economy)

Question 2

Initial claims for unemployment insurance

Answer 2

Leading indicator (tends to rise and fall in advance of the economy)

Question 3

Manufacturers’ new orders

Answer 3

Leading indicator (tends to rise and fall in advance of the economy)

Question 4

Percentage of companies reporting slower deliveries

Answer 4

Leading indicator (tends to rise and fall in advance of the economy)

Question 5

New orders of non-defense capital goods

Answer 5

Leading indicator (tends to rise and fall in advance of the economy)

Question 6

New private housing starts

Answer 6

Leading indicator (tends to rise and fall in advance of the economy)

Question 7

Yield curve

Answer 7

Leading indicator (tends to rise and fall in advance of the economy)

Question 8

S&P 500

Answer 8

Leading indicator (tends to rise and fall in advance of the economy)

Question 9

Money supply (M2) growth rate

Answer 9

Leading indicator (tends to rise and fall in advance of the economy)

Question 10

Index of consumer expectation

Answer 10

Leading indicator (tends to rise and fall in advance of the economy)

Question 11

Employees on non-agricultural payrolls

Answer 11

Coincident indicator (tends to change at the same time as the economy)

Question 12

Personal income less transfer payments

Answer 12

Coincident indicator (tends to change at the same time as the economy)

Question 13

Industrial production

Answer 13

Coincident indicator (tends to change at the same time as the economy)

Question 14

Manufacturing and trade sales

Answer 14

Coincident indicator (tends to change at the same time as the economy)

Question 15

Average duration of unemployment

Answer 15

Lagging indicator (tends to follow or lag economic performance)

Question 16

Ratio of trade inventories to sales

Answer 16

Lagging indicator (tends to follow or lag economic performance)

Question 17

Change in index of labor cost per unit of output

Answer 17

Lagging indicator (tends to follow or lag economic performance)

Question 18

Average prime rate

Answer 18

Lagging indicator (tends to follow or lag economic performance)

Question 19

Commercial and industrial loans outstanding

Answer 19

Lagging indicator (tends to follow or lag economic performance)

Question 20

Ratio of consumer installment credit outstanding to personal income

Answer 20

Lagging indicator (tends to follow or lag economic performance)

Question 21

Change in Consumer Price Index (CPI)

Answer 21

Lagging indicator (tends to follow or lag economic performance)