Forecast Bias and MSFE Encompassing

B-Tier
Journal: Oxford Bulletin of Economics and Statistics
Year: 2000
Volume: 62
Issue: 4
Pages: 533-542

Score contribution per author:

2.011 = (α=2.01 / 1 authors) × 1.0x B-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

We show that the standard condition for MSFE encompassing is no longer valid when the forecasts to be compared are biased. We propose a simple modification of such a condition and of tests for its validity. The theoretical results are illustrated by an empirical example on inflation and deficit forecasts, key variables for the formulation of monetary and fiscal policy.

Technical Details

RePEc Handle
repec:bla:obuest:v:62:y:2000:i:4:p:533-542
Journal Field
General
Author Count
1
Added to Database
2026-01-25