Judgmental Macroeconomic Forecasting on the Basis of Probability Estimation of the Economic Indicators

Authors

  • Giorgi Baghaturia International Black Sea University

DOI:

https://doi.org/10.31578/job.v3i2.87

Keywords:

Bayesian methodology, crisis, cybernetic understanding, judgmental forecasting, macroeconomic systems, “noise”

Abstract

The paper deals with the opportunity of Judgmental Macroeconomic Forecasting for the behavior of the economic systems and processes on the basis of the estimation of a priori, a posterior and conditional probabilities of the relevant economic indicators. This approach shows a path of economic crisis forecasting that should be an essential tool for policy makers in order to avoid or to mitigate the consequences of a possible economic crisis. The method will be especially useful for small countries with transient economy in order to create an optimal strategy of country’s development during the crisis.

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Published

12-06-2015

Issue

Section

Articles