The Economic Variables That Make Up the Leading Economic Indicators

question 42

Multiple Choice

The economic variables that make up the Leading Economic Indicators Index tend to move in the ______ direction as overall economic output and do so _____ changes in real GDP.

• A)Opposite; prior to
• B)Same; after
• C)Opposite; after
• D)Same; prior to
• E)Same; simultaneously as

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Definitions:

Expansion Policy

A strategy or set of guidelines that an organization follows to grow its business operations, either by expanding into new markets, increasing product lines, or enhancing capacity.

Cash Stream

A series of incoming and outgoing cash transactions over a period of time.

Capital Appreciation

An increase in the value of an asset or investment over time, not including dividends or interest earnings.

Tax Implications

The effect that various financial transactions and investment decisions have on the tax burden of an individual or business.