Which of the Following Economic Series Is NOT Included in the Conference

question 150

Multiple Choice

Which of the following economic series is NOT included in the Conference Board lagging indicator group?

• A) average duration of unemployment
• B) ratio of manufacturing and trade inventories to sales
• C) number of employees on nonagricultural payrolls
• D) percentage change in the labor cost per unit of output in manufacturing
• E) All of these are correct (that is, all are included in the lagging indicator group).

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Definitions:

Variable Cost

Variable cost pertains to a cost that changes in proportion with the level of activity or volume of production in a company.

Average Fixed Cost

The fixed costs of production divided by the quantity of output produced, which decreases as production increases.

Law Of Diminishing Returns

An economic principle stating that if one factor of production is increased while others remain constant, the overall returns will eventually decrease after a certain point.

Economies Of Scale

The situation when a firm’s average total cost of producing a product decreases in the long run as the firm increases the size of its plant (and, hence, its output).