20.9k views
5 votes
The employment rate has been going up for the past six months. To economists, this change in the unemployment rate is considered a?

A.Coincident indicator
B.Lagging indicator
C.Leading indicator
D.Nonessential indicator

1 Answer

5 votes

Answer:

A. Coincident indicator

Step-by-step explanation:

Option B is not the answer as the lagging indicator is the occurrence after the target variable has associated with the economy.

Option C is not the answer as the leading indicator is the changes before the beginning of the economic factor. It means it predicts economic activities.

Option D is not an economic indicator, so it is incorrect.

Option A is the answer because the employment rate and interest rate are examples of the coincident economic indicator. It occurs when both factors occur at the same time. It also suggests the current state of an economy.

User Dave L
by
3.3k points