Procyclic

No, it's not a type of condom. When something is “procyclic,” it means it positively correlates with the state of the economy in general. In other words, its value goes up when the economy improves and goes down during economic downturns.

For example, real estate prices tend to be procyclic. When the economy is doing well, housing prices go up. When the economy is doing not so well, like after the 2008 recession, housing prices tend to go down. Car prices, smartphone prices, and even grocery prices tend to behave the same way.

But it’s not just goods and services that can be procyclic. Our own societal behavior can also move in line with the economy. Think about it: in a stagnant or recessing economy, we tend not to spend as much on unnecessary stuff like vacations and dinners at fancy restaurants. Our collective discretionary decreases as the economy declines. And legislators aren’t immune either. Consider the Federal Reserve’s practice of raising and lowering interest rates to stimulate economic growth. They don’t make those decisions willy-nilly; they are always positively correlated with the economy as a whole.