Leading Indicator Project Lithuania

June 2000 - A method for forecasting growth cycles in economic activity (measured as total industrial production), as applied to Lithuania. Everhart and Duval-Hernandez present a method for forecasting growth cycles in economic activity, measured as total industrial production. They construct a seri...

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Veröffentlicht: Washington, D.C The World Bank 1999
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520 3 |a June 2000 - A method for forecasting growth cycles in economic activity (measured as total industrial production), as applied to Lithuania. Everhart and Duval-Hernandez present a method for forecasting growth cycles in economic activity, measured as total industrial production. They construct a series which they aggregate into a composite leading indicator to predict the path of the economy in Lithuania. The cycle is the result of the economy's deviations from its long-term trend. A contractionary phase means a decline in the growth rate of the economy, not necessarily an absolute decline in economic activity. The indicator they select for economic activity is usually the Index of Industrial Production, plus a group of variables that, when filtered and adjusted, becomes the composite leading indicator that forecasts the reference series. Variables include economically and statistically significant financial, monetary, real sector, and business survey data.  
520 3 |a They base selection of the components of the leading indicator on the forecast efficiency and economic significance of the series. Once selected, the relevant variables are aggregated into a single composite leading indicator, which forecasts the detrended Index of Industrial Production. They apply the Hodrick-Prescott filter method for detrending the series. This is a smoothing technique that decomposes seasonally adjusted series into cyclical and trend components. One advantage of the Hodrick-Prescott filter is that it provides a reasonable estimate of a series' long-term trend. The OECD uses a system of leading indicators to predict growth cycles in the economies of its member countries. These exercises have been very effective in their forecasting ability and accuracy - but for the technique to work it is essential to have an adequate statistical system that provides many economic variables in a precise and timely manner, preferably monthly.  
520 3 |a The authors extend the OECD technique and present an application to a country of the former Soviet Union. This paper - a joint product of the Poverty Reduction and Economic Management Sector Units, Europe and Central Asia and Latin America and the Carribean Regions, and the Mexico Country Management Unit - is part of a larger effort in the Bank to foster the development of macroeconomic monitoring techniques. Authors may be contacted by email at severhart@worldbank.org or rduval@worldbank.org 
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Leading Indicator Project Lithuania Duval-Hernandez, Robert
Washington, D.C The World Bank 1999
1 Online-Ressource (22 Seiten))
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June 2000 - A method for forecasting growth cycles in economic activity (measured as total industrial production), as applied to Lithuania. Everhart and Duval-Hernandez present a method for forecasting growth cycles in economic activity, measured as total industrial production. They construct a series which they aggregate into a composite leading indicator to predict the path of the economy in Lithuania. The cycle is the result of the economy's deviations from its long-term trend. A contractionary phase means a decline in the growth rate of the economy, not necessarily an absolute decline in economic activity. The indicator they select for economic activity is usually the Index of Industrial Production, plus a group of variables that, when filtered and adjusted, becomes the composite leading indicator that forecasts the reference series. Variables include economically and statistically significant financial, monetary, real sector, and business survey data.
They base selection of the components of the leading indicator on the forecast efficiency and economic significance of the series. Once selected, the relevant variables are aggregated into a single composite leading indicator, which forecasts the detrended Index of Industrial Production. They apply the Hodrick-Prescott filter method for detrending the series. This is a smoothing technique that decomposes seasonally adjusted series into cyclical and trend components. One advantage of the Hodrick-Prescott filter is that it provides a reasonable estimate of a series' long-term trend. The OECD uses a system of leading indicators to predict growth cycles in the economies of its member countries. These exercises have been very effective in their forecasting ability and accuracy - but for the technique to work it is essential to have an adequate statistical system that provides many economic variables in a precise and timely manner, preferably monthly.
The authors extend the OECD technique and present an application to a country of the former Soviet Union. This paper - a joint product of the Poverty Reduction and Economic Management Sector Units, Europe and Central Asia and Latin America and the Carribean Regions, and the Mexico Country Management Unit - is part of a larger effort in the Bank to foster the development of macroeconomic monitoring techniques. Authors may be contacted by email at severhart@worldbank.org or rduval@worldbank.org
Online-Ausg
Averaging
Benchmark
Business Cycles
Cd
Cred Economic Activity
Currencies and Exchange Rates
Debt Markets
E-Business
Economic Research
Economic Statistics
Economic Theory and Research
Education
Emerging Markets
Expectations
Finance and Financial Sector Development
Forecasting
Forecasts
Information Security and Privacy
Interest Rate
Knowledge for Development
Leading Indicators
Macroeconomics and Economic Growth
Money
Private Sector Development
Science Education
Science and Technology Development
Scientific Research and Science Parks
Statistical and Mathematical Sciences
Trade
Trends
Trough
Unemployment
Value
Variables
Duval-Hernandez, Robert Sonstige oth
Everhart, S. Stephen Sonstige oth
Duval-Hernandez, Robert Leading Indicator Project
http://elibrary.worldbank.org/content/workingpaper/10.1596/1813-9450-2365 Verlag URL des Erstveröffentlichers Volltext
spellingShingle Duval-Hernandez, Robert
Leading Indicator Project Lithuania
Averaging
Benchmark
Business Cycles
Cd
Cred Economic Activity
Currencies and Exchange Rates
Debt Markets
E-Business
Economic Research
Economic Statistics
Economic Theory and Research
Education
Emerging Markets
Expectations
Finance and Financial Sector Development
Forecasting
Forecasts
Information Security and Privacy
Interest Rate
Knowledge for Development
Leading Indicators
Macroeconomics and Economic Growth
Money
Private Sector Development
Science Education
Science and Technology Development
Scientific Research and Science Parks
Statistical and Mathematical Sciences
Trade
Trends
Trough
Unemployment
Value
Variables
title Leading Indicator Project Lithuania
title_auth Leading Indicator Project Lithuania
title_exact_search Leading Indicator Project Lithuania
title_exact_search_txtP Leading Indicator Project Lithuania
title_full Leading Indicator Project Lithuania Duval-Hernandez, Robert
title_fullStr Leading Indicator Project Lithuania Duval-Hernandez, Robert
title_full_unstemmed Leading Indicator Project Lithuania Duval-Hernandez, Robert
title_short Leading Indicator Project
title_sort leading indicator project lithuania
title_sub Lithuania
topic Averaging
Benchmark
Business Cycles
Cd
Cred Economic Activity
Currencies and Exchange Rates
Debt Markets
E-Business
Economic Research
Economic Statistics
Economic Theory and Research
Education
Emerging Markets
Expectations
Finance and Financial Sector Development
Forecasting
Forecasts
Information Security and Privacy
Interest Rate
Knowledge for Development
Leading Indicators
Macroeconomics and Economic Growth
Money
Private Sector Development
Science Education
Science and Technology Development
Scientific Research and Science Parks
Statistical and Mathematical Sciences
Trade
Trends
Trough
Unemployment
Value
Variables
topic_facet Averaging
Benchmark
Business Cycles
Cd
Cred Economic Activity
Currencies and Exchange Rates
Debt Markets
E-Business
Economic Research
Economic Statistics
Economic Theory and Research
Education
Emerging Markets
Expectations
Finance and Financial Sector Development
Forecasting
Forecasts
Information Security and Privacy
Interest Rate
Knowledge for Development
Leading Indicators
Macroeconomics and Economic Growth
Money
Private Sector Development
Science Education
Science and Technology Development
Scientific Research and Science Parks
Statistical and Mathematical Sciences
Trade
Trends
Trough
Unemployment
Value
Variables
url http://elibrary.worldbank.org/content/workingpaper/10.1596/1813-9450-2365
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