A Disequilibrium Adjustment Inflation Forecasting Model.
Abstract
This paper describes the development and testing of a forecasting model for future rates of inflation (measured by the Gross National Product price deflator). Limitations of conventional multiple-equation econometric model approaches (both economic and mathematical) are discussed. Correlation function analysis and stationarity considerations are employed to screen potential economic input variables before the application of regression analysis. Simulation results of a one and two-year horizon forecaster are examined, and a unique disequilibrium adjustment treatment for periods of price freeze is proposed. (Author)
Document Details
- Document Type
- Technical Report
- Publication Date
- Jul 01, 1975
- Accession Number
- ADA014302
Entities
People
- John S. Brush
Organizations
- United States Air Force Academy