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We produce predictions of Norwegian GDP. To this end, we estimate a Bayesian Dynamic Factor model on a panel of 14 variables (all followed closely by market operators) ranging from 1990 to 2011. By means of a pseudo real-time exercise we show that the Bayesian Dynamic Factor Model performs well...
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policy, DORY is used to identify the underlying trends in the main macro variables in Norway. DORY has been gradually …
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business cycle turning points with Norway's main trading partners, we find that a Markov-switching factor model provides the …
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