Explain How the Use of Leading Economic Indicators to Predict

question 44

Essay

Explain how the use of leading economic indicators to predict recessions can lead to less accurate policy decisions.
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Definitions:

Responsibility

A tenet of ethics in which you accept the consequences of your decisions and actions.

Sarbanes-Oxley Act

The Sarbanes-Oxley Act (SOX) is a law passed by U.S. Congress in 2002 to protect investors by improving the accuracy and reliability of corporate disclosures made pursuant to securities laws, including those regarding financial statements.

Financial Controls

Procedures, policies, and means by which an organization monitors and manages its financial resources and operations.

Information Processing

The process of gathering, manipulating, storing, retrieving, and classifying recorded information.