Mulero, Rodrigo; Garcia-Hiernaux, Alfredo - In: SERIEs : Journal of the Spanish Economic Association 12 (2021) 3, pp. 329-349
This paper presents a method to improve the one-step-ahead forecasts of the Spanish unemployment monthly series. To do so, we use numerous potential explanatory variables extracted from searches in Google (GoogleTrends tool).Two different dimension reduction techniques are implemented (PCA and...
