We introduce a new definition of forecasting coherence based on the Likelihood Principle and a “Scoring Structure” environment where a Forecast User interacts with a Forecast Producer and Reality to detect strategic interaction among economic agents’ forecasting bias. This mathematical object is necessary to identify and parametrize coherence in a feasible econometric model and give it a structural interpretation. Structural coherence is evaluated through a formal test that satisfies theoretical requirements in small samples. Three case studies illustrates the evidence of strategic judgment. The economic interpretation and the consequences of our approach in Central Banking are also discussed.
Zanetti Chini, Emilio, (2025). The judgmental strategy of professional forecasters [nuova versione] (WORKING PAPERS OF DEPARTMENT OF ECONOMICS 31). Bergamo: Retrieved from https://hdl.handle.net/10446/297845 Retrieved from http://dx.doi.org/10.13122/WPEconomics_31
The judgmental strategy of professional forecasters [nuova versione]
Zanetti Chini, Emilio
2025-01-01
Abstract
We introduce a new definition of forecasting coherence based on the Likelihood Principle and a “Scoring Structure” environment where a Forecast User interacts with a Forecast Producer and Reality to detect strategic interaction among economic agents’ forecasting bias. This mathematical object is necessary to identify and parametrize coherence in a feasible econometric model and give it a structural interpretation. Structural coherence is evaluated through a formal test that satisfies theoretical requirements in small samples. Three case studies illustrates the evidence of strategic judgment. The economic interpretation and the consequences of our approach in Central Banking are also discussed.File | Dimensione del file | Formato | |
---|---|---|---|
WPEconomics_31.pdf
accesso aperto
Versione:
publisher's version - versione editoriale
Licenza:
Creative commons
Dimensione del file
1.55 MB
Formato
Adobe PDF
|
1.55 MB | Adobe PDF | Visualizza/Apri |
Pubblicazioni consigliate
Aisberg ©2008 Servizi bibliotecari, Università degli studi di Bergamo | Terms of use/Condizioni di utilizzo