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Is backward-looking behavior in pricing or imperfect credibility of stabilization efforts responsible for the failure of inflation rates to decline to targeted levels during many disinflation programs? This paper assesses the relative importance of these two factors during a number of...
Persistent link: https://www.econbiz.de/10014404169
money growth and implied exchange rate paths along with a jointly determined inflation forecast. The approach uses two broad …
Persistent link: https://www.econbiz.de/10014402063
used for 'nowcasting' the output growth. The conditional forecast results illustrate that regular updates of external …
Persistent link: https://www.econbiz.de/10011445607
We produce a social unrest risk index for 125 countries covering a period of 1996 to 2020. The risk of social unrest is based on the probability of unrest in the following year derived from a machine learning model drawing on over 340 indicators covering a wide range of macro-financial,...
Persistent link: https://www.econbiz.de/10012796240
Persistent link: https://www.econbiz.de/10012796674
documents of the following years to understand the evolution of fiscal forecast errors. Our findings suggest that: (i) for most … terms of drivers, we show that forecast errors for the fiscal balance-to-GDP ratio are positively correlated with GDP growth … and terms of trade changes and negatively with GDP deflator surprises; (iv) forecast errors for public debt-to-GDP ratios …
Persistent link: https://www.econbiz.de/10012612338
In this paper I assess the ability of econometric and machine learning techniques to predict fiscal crises out of sample. I show that the econometric approaches used in many policy applications cannot outperform a simple heuristic rule of thumb. Machine learning techniques (elastic net, random...
Persistent link: https://www.econbiz.de/10012612343
An essential element of the work of the Fund is to monitor and forecast international trade. This paper uses SWIFT … (PMI), to improve the short-term forecast of international trade. A horse race between linear regressions and machine …
Persistent link: https://www.econbiz.de/10012392595
contributors to overall inflation forecast errors. Perhaps more importantly, relatively small core inflation forecast errors appear …
Persistent link: https://www.econbiz.de/10012103690
-recession years are revised slowly; in recession years, the pace of revision picks up but not sufficiently to avoid large forecast …
Persistent link: https://www.econbiz.de/10012112326