Can ad agency revenues predict a recession? When the economy is doing well they are, in fact, moving in tandem with GDP growth. However, like a the proverbial canary in a the coal mine, advertising stocks start to plunge a full quarter before a recession.
And advertising is not just an early indicator. It is also a laggard, tending to recover a full two quarters after the recession officially ends.
Full story: Double-dip recession? Advertising stocks say so – Forbes