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An economic indicator is simply any economic

statistic, such as the unemployment rate, GDP, or

the inflation rate, which indicate how well the

economy is doing and how well the economy isgoing to do in the future. As "How Markets Use

Information To Set Price investors use all the

information at their disposal to make decisions.

If a set of economic indicators suggest that the

economy is going to do better or worse in the

future than they had previously expected, they

may decide to change their investing strategy.

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A procyclic economic

indicator is one that

moves in the samedirection as a economy.

So if economy doing

well this number is

usually increasing

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Counter cyclic

A counter cyclical economic

indicator is one that moves in theopposite direction as the

economy. The unemployment rate

gets larger as the economy getsworse so it is a counter cyclic

economic indicator.

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An acyclic economic indicator is one that

has no relation to the health of economyand is generally of little use. The number

of home runs the Monteal expos hit in a

year generally has no relationship to thehealth of the economy, so we could say

it is an acyclic economic indicator

economic indicator

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1,Leading - leading economic indicators are

indicators which change before the economy

changes. Stock market returns are a leadingindicator, as the stock market usually being to

decline before the economy declines and they

improve before the economy being to pull out

of recession. Leading l economic indicator are

the most important type for investor as they

help predict what the economy will belike in

the future

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2, lagged A lagged economic indicator is one

that does not change direction until the fewquarters after the economy does. The

unemployment rate is the lagged economic

indicator as unemployment tends to increase

for 2 or 3 quarters after economy starts to

improve

3, Coincident - a coincident economic indicatoris one that simply moves at the same time the

economy does. The gross domestic product is a

coincident indicator

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1, total output, income, and spending

2, Employment , unemployment and wages

3, production and business activity

4,prices

5, Money, credit, and security market

6, federal market

7 international statistic

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Gross domestic product (GDP)

Real GDPImplicit price def lator for GDP

Business output

National incomeConsumption expenditure

Corporate profits

Real gross private domestic investment

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The unemployment rate

Level of civilian employment

Average weekly hours, hourly

earning, and weekly earningLabor productivity

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Industrial production and capacity

utilization

New construction

New private housing and vacancy rate

Business sales and inventories

Manufacturers, shipment, inventories,

and orders

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Producer prices

Customers pricePrices received and paid

by farmers

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Money stock

Bank credit at all commercial banks

Consumer credit

Interest rates and bond yieldsStock pricces and yields

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Federal receipts

Federal outlayFederal debt

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Industrial production and

consumer prices of majorindustrial countries

U S International trade in goods

and services

U S International transactions

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means how much each individual receives, in monetary termsmeans how much each individual receives, in monetary termsmeans how much each individual receives, in monetary termsmeans how much each individual receives, in monetary termsmeans how much each individual receives, in monetary termsmeans how much each individual receives, in monetary terms, of the yearly income generated in the country. This is

means how much each individual receives, inmonetary terms, of the yearly income generated in

the country. This is what each citizen is to receive

if the yearly national income is divided equally

among everyone. Per capita income is usuallyreported in units of currency per year. When

comparing nations per capita income reflects

gross national product per person, but it is also

used to compare municipalities within nations.When determining the per capita income of a

community, the total personal income is divided by

the population.

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