LTYM - Leading Indicators

Letters to a Young Manager

Leading Indicators, #145
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Please note that this letter is in-process; the following are my notes

Conversation with Sarah about imperfect measures (e.g. counts and amounts that don't tell you about quality.) Use the analogy of the CPI. An index of measures that are each believed to be leading indicators of inflation.
"Good enough" metrics. (See also 80% solutions.)

The CPI includes milk and gasoline prices. Yet a lactose intolerant resident of Manhattan --not needing a car are not perfectly represented in the CPI. But it is still a "good enough" measure on which we can make economic decisions

Need a story to illustrate this

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References...

Takeaways:

There are no perfect data

Discussion Questions:

For Further Reading: