CORDIS Project
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This project develops a new methodology for economic modeling that can quickly adapt to changes in macroeconomic behavior. It aims to enhance the forecasting abilities of central banks by providing a flexible tool for analyzing economic data.
Central banks worldwide routinely use models in assessing and forecasting the global and domestic economic outlook in order to determine the most suitable monetary policies.
Economies evolve over time and policies that worked in the 1980s might not be viable at the present time, thus models must be flexible to account for these changes.
Undoubtedly, it is difficult to identify the exact point in time when a change in macroeconomic behaviour occurs, particularly a change that will trigger a react…
BCAM - BASQUE CENTER FOR APPLIED MATHEMATICS
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