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Canadian Securities Course (CSC) Practice Exam · Question

Which of the following is an example of an economic 'lagging indicator'?

A lagging indicator is a measurable economic factor that changes after the economy has already begun to follow a particular pattern or trend. The unemployment r

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Question: Which of the following is an example of an economic 'lagging indicator'?

Answer options: ✅ Unemployment rate

  • Stock market performance
  • Building permits
  • Manufacturing new orders

Correct answer: Unemployment rate

Explanation: A lagging indicator is a measurable economic factor that changes after the economy has already begun to follow a particular pattern or trend. The unemployment rate typically declines only after an economic recovery is well underway.

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