Gross Domestic Product (GDP) serves as a lagging indicator, reflecting past economic performance rather than current or future trends. While GDP compiles all economic activities into a single figure every quarter, it may not promptly inform about ongoing economic changes. This delay can hinder the quick identification of a slowing economy or a recovery, making GDP a less efficient tool for immediate economic analysis.
In today’s episode for 25th March 2024, we explain the latest results of India’s Flash Purchasing Managers’ Index.